The issue of car prices in Malaysia has been simmering until Pakatan Rakyat turned up the heat by making ‘Turunkan Harga Kereta’ as part of its election manifesto. The government then responded to the issue by saying that it will gradually reduce car prices by 20% to 30%.
Earlier this month, Utusan Malaysia front paged a story with the headline “10 Model Kereta Turun Harga”. The report carried an infographic featuring models from the Volkswagen Golf and Peugeot 308 to local favourites like the Proton Saga and Perodua Myvi with before (Jan 2013) and after (May 2013) prices, plus the percentage of price reduction.
However, those who follow the car industry would have questioned some of the numbers at first sight, and it wasn’t long before the certain carmakers came out to refute the figures cited by the report. Perodua went to the extent of calling a press conference to clarify things, which we attended yesterday evening in KL.
“With regards to the article on Utusan Malaysia titled “10 Model Kereta Turun Harga” on page one dated June 10, Perodua wishes to clarify that the reduction mentioned is referred to the reduction to the cost of ownership, as well as improving the value proposition to our customers with the introduction of the S-Series as well as the three-year free service package for all our vehicles,” said Datuk Aminar Rashid Salleh, president and CEO of Perodua.
“With the launch of Perodua’s S-Series, we are able to give our customers greater value for money products and services by way of price rationalisation as well as free service for three years. Perodua has also extended the three years free service package to all its variants this year in conjunction with our 20th anniversary,” he added.
At the S-Series launch, it was explained that the S-Series cars (Viva S, Myvi 1.3 SE and Alza S) were replacements for certain discontinued variants (Viva BZ, Myvi 1.3 Premium and Alza Standard), and compared to the outgoing variants, S-Series cars were cheaper by RM2,000, had added equipment, and came with three years of free service.
“For the S-Series that we launched in March, the monetary value we give to our customers for both in increased specifications as well as the three-year free service package is worth between RM4,000 and RM5,600,” he pointed out, urging reporters to focus on total ownership cost, as opposed to the on-the-road price alone.
To offer the customer effective savings of up to RM5,600 means that costs have to be reduced on Perodua’s end, something that does not happen overnight.
“This is done via cost reduction activities carried out throughout the entire supply chain including improving efficiency and eliminating wastages, which started two and a half years ago. Perodua has been in engagement with the government, through MITI and MAI, since three years ago by providing input to improve further on the yet to be announced revised NAP,” Aminar explained.
The former UMW Toyota top exec shared that Perodua’s cost saving target was 15% by the end of 2012, a figure they missed by just 3%. The long term target is to reduce costs by 30% by 2016, something described as vital for the company’s survival come market liberalisation.
Like Proton’s new Saga SV, the Perodua S-Series is the first fruit of our national carmakers’ drive to reduce costs and increase efficiency, with the net result of cheaper cars. That’s a good thing, any way you slice it.
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This is a good thing to create market excitement and push other companies to bring down their prices too…now Perodua and Proton is competing, I hope to see the like of Honda, Toyota, Nissan, Kia , Chevvy to join in this open market competition too…what ever it is, the consumer will reap the benefit out of it.
But this is entirely the company’s own initiatives by lowering some specs like Saga SV or profit margins. Not reduction of tax by the govt as promised. Super bullshit.
fyi toyota is major share holder in perodua, d gov is a small share so cannot make much noise unless they gov reduce d e duty.
actually d gov make more money than toyota from d e duty they took so dont blame them for being high price, the whole world knows that our cars r more xpensive here.
not to downgrade people or what, but orang kampung easily tend to believe this price reduction scheme. in fact, no tax cut at all.
no tax + initiatives from car manufacturer = more price reduction. sounds better right?
This is not reduce price car , this is lower specs car! take this out, take that out, wallah! cheaper car. BS!!
P2 should cut down the prices for viva even more. they managed to achieve localization % target, which cheaper than CKD. they also put pressure to local vendors to lower the part cost. they don’t spend lost money for real R&D as the parts except cosmetics related are carry-over from daihatsu.
I believe the Yen had devalued about 20% over the past months/year. Significant enough to expect noticeable price reductions for Japanese cars.
Utusan is bloody joke. They just can’t seem to stop making fool of themselves. Memang tak malu.
Yes it is good to see that Perodua and Proton are competing by reducing the car prices but I would still avoid choosing the saga sv. Just can’t trust their built quality.
Nissan, Toyota and Honda are also in game with recent announcement of rebates and goodies they have been offering for the Almera, Vios, Camry, City, Accord and a few more. It seems to be a good deal for the moment as we can’t expect the car prices to plunge any time soon.
We would like to know who is good to rakyats, we don’t want iklan palsu, it is not news.
0.7% , is this their IQ ?
Without excise duty, with price control from authorities under PR government (effort) + abolishment of protectionism, with free competitions, what do you think? (of course I suggest certificate of ownership based on c.c. or reduction of subsidy of petrol as a trade off)
Do not implement additional taxes on the poor people. Does sales tax exclude the poor?
Haha, 0.7%.
Speaking of excise duty, I believe, in fact most of us think that B-segment models should not have such high excise duty. Cars within that range aren’t that pretty or luxurious to have such a price tag on it.
These cars are just basic vehicles made for those who are getting their first car once they’ve gotten a job or to those who are earning below 3k a month and even that would be a burden with the current cost of living. Is it fair to just grab 20k from these group of people just because they need to travel???
Rich or poor you will still be slapped with these taxes and the ones who suffers more are the lower income group.
Come on la, I’m pretty sure Proton can survive if they abolish the excise duties. All they have to do is improve the QUALITY, QUALITY aaaaand QUALITY. Not forgetting efficiency, not only engine efficiency but also in operations. If you they can implement all this stuffs I am absolutely sure they can survive. It’s just that they are lazy and taking the easy way out. Just imagine what they could have achieved if their staffs and vendors consists of only individuals that has passion for the automotive industry.
Such a disappointment. Well this is my opinion. There is a lot more to say but it would be a never ending tale.
Few suggestion for govt to implement:
– minimum 10-years whole car warranty unlimited mileage
– minimum 10-years free service (parts and labour) unlimited mileage
Only then any cars bought in Malaysia no matter 75% car excise duty paid it’s well worth it your hard-earned money.
Any car firms failed to comply, MITI can revoke their business licence banned from selling cars here! HA HA HA!
Actually no car price reduction happened here! Manufacturer just introduce the new series with new prices. Of course low price, but low spec lah…
had a little chuckle when i read “local favourites like the Proton Saga and Perodua Myvi”.. haha.. more like we (the lower income group) are FORCED to favour them..
First, UTUSAN IS BULLSHIT.
Second, oh.. that’s what you meant by “The government then responded to the issue by saying that it will gradually reduce car prices by 20% to 30%.”. Well played BN, well played.
And the ruling party once said that reduction in car price would lead to country’s bankruptcy (duh, stupid explanation, not very economical). Just imagine how much money the ruling party would make of the opposition party never came out with this manifesto. In fact, the opposition brought it with trustable figures.
the “turunkan harga kereta” by pakatan rakyat was to abolish the tax on the cars, hence car importers can automatically reduce car prices… The so called bn’s (who later copy the manifesto to win hearts) car price reduction as reported by the retarded utusan malaysia is the own excercise and effort done by car makers/importers without the tax being reduced/abolished…the people are not stupid, utusan, ur tactics will become obsolete in the future, younger generations will spit on ur news papers..
So janji ditepati or janji dicapati?
Janji Di Third-party
haha to gov. Busted!
Tok koo king.
So are you saying our GOV has taken us for a ride??
Manufacturer dicapatikan. Rakyat just started to enter the ride.
bullcrap
just wanna share. my line of work involved the engagement with the govt. n i know long before PR manifesto, the govt. actually hv started the process to reduced car prices. but for me, the govt. actions r too slow.
Easy to say that Gov mana pernah Ikhlas untuk turunkan harga kereta demi rakyat.
Less safety CAR….
So sorry, that’s such a silly and stupid clarification.
First, I really doubt what kind of spec update that worth 1.4k.
Second, I don’t like Perodua service, and it’s not worth 1.2k at all !
Lastly, your Viva is still fooking expensive after price reduction !!
Talk so much, at the end of the day. Car price still stays the same.. BN.. u have faled us once again. As expected.
As expected lay…..
But the majority had won, and they want the price of cars to remained HIGH. So minorities, just live with it and find more money to buy cars…..
The won majority state parliament seats not by majority. Majority voted for PR so we are actually the majority.
Excuse me, the majority voted for the unified Opposition with 52% of the vote.
The BN received 48% of vote, despite having more seats. This is something irregular in any democracy, even compared to the UK.
So I should say that this Government is a minority Government.
Chill Daus. I think most understand what you’re trying to say there but we shall play by rule. The day will come. Sabar.
Your problem is that this is what happened with the Westminter model. There is NOTHING wrong. Go check your figures and you will see DAP won more seats in percentage than the number of votes they got.
It’s all fair on that basis. Go learn the law first before commenting. It’s sad to see you do not understand the laws.
Sabar bro, u noe kerajaan haram? yeah, they are. Never mind, rakyat day will come. for now, just do our job and work hard to afford our desired car. tats all.
Never believe the mainstream news, especially those with literal language. They are not entirely true.
Bullshit!! these ppl talk crap…and utusan as usual…only the page number can be trusted..the rest is crap
page numbers…LOL
And date also.
I dont even trust the page number on utusan…
another thing..then prayer time and the date…
Even 4D and Toto result numbers in Utusan could not be trusted.
Hmm…that is quite weird since Utusan is playing Malay and Muslims sentiments, yet still publishing 4D results, that’s haram you know.
Cheating about car prices, this newspaper is full of lies and should be rejected by everyone.
muahahaha……
felt insecure driving my friend’s viva. viva is really not a safe car. now people can buy saga :)
insecure?
depending on how you drive it!
if speeding, itu cari pasal namanya.
i drive slow and steady with mah x-manual kancil 660!
it is fun to drive. only 2 problem, semua gegar, and if speeding car potong you, can feel a little swaying! well, what to expect, small futt.
Ya! Harga kereta sudah turun..!! clap clap clap. oh wait… thats not what i mean..actually eh like this “blablabla”…..
cis cilaka punya wayang!
“Like Proton’s new Saga SV, the Perodua S-Series is the first fruit of our national carmakers’ drive to reduce costs and increase efficiency, with the net result of cheaper cars. That’s a good thing, any way you slice it.”
Well said, Danny,
I don’t understand the naysayers on this site. Except Honda and Toyota, you can actually see reductions now for Proton, Perodua, Kia, BMW, Mercedes, Hyundai, WHEN you compare the current to the outgoing models.
These were not solely done by the manufacturers only but with engagement by MITI, MIDA, and Govt. in general.
Please don’t judge and opined in blind hatred.
And of course, Proton and Perodua also received research grants from the Government, worth hundreds of RM. Therefore if you say Government co-operation in terms of assistance, that’s true.
But unfortunately, the price for entry level cars remain high, yet the Govt does not respond by reducing duties involved for cars (except for those expensive hybrid cars.
Oh yes, how on earth could national cars also being taxed by the Government? That’s so greedy, ‘tamak haloba’ in my opinion.
Mind ur words..please dont use vulgar words..it reflects.
well again like i say, it reflects.
This viva shud be selling < 30k..rm 35k is still pricey. saga sv has bigger storage n better safety, only starts at 33k….thats value for money.
to be precise, they treat malaysian as fools!
Paper not very accurate la
LOL, Car price turun??? Bila ?? tunggu ??? lagi tunggu, sampai PRU–14, pandai, Kita nak betul betul tenggok Harga Kereta turun sekarang juga. Akhir nya Harge kereta turun, tak perlu apa servis,tambak alat dll.. tak guna, tak perlu. kalau bagitu, kereta dulu di jualnya, quality tak mutu.
You can expect as much from the G’s mouthpiece. News from mainstream sources are heavily controlled so only those ‘beneficial’ to the G reach the masses.
Personally, i think P2 is not doing enough in reducing prices so more people can afford cars. Reducing cost of ownership is an half-arsed attempt to show that they ‘care’ about rakyat’s plight. What not, with their cars still being poor value compared to the high selling prices. Perhaps this is expected since the main shareholder in P2 is…
Utusan Meloya = MUCKY NEWS
please have a look at dacia UK spec , all the car equipped with ESP , ISOfix , 3 point seat belt as standard features , if you plan to reduce the car price , why not added the safety system first ? your cheap spec don’t even have ABS ?
Exactly, what value is in these:
– Leather steering
– Silver trim
etc
wtf? This is not savings. This is making the “cost” of the car look higher by using their own inflated prices of add-ons. Why not like poster above said, put the value in safety or I don’t know, DON’T put useless add-ons and reduce the price further? Suppliers of said add-ons rubbing hands in glee probably.
Also, free service is never good service. My car manual says 40kkm change air filter, all they do is spray compressor air on it to clean it. When I queried them they said air filter change at 100kkm, their own schedule. I bought my own filter and changed it, why deviate from the owner’s manual?
And this is just one example…
UK is first class country…while us only 3rd low minded people…we deserve a low quality then…maybe we get better in future…our HDI is not enough to deserve better..
Apa lagi? Kantoi lah Utusan! ummmmmm… it’s the 1398th kantoi actually…
What people want is bring down price for ALL variants! not only came out with another cheaper version!!
Government said will reduce the car price by 20-30% but the highest i see is 11%. If we take the average, the discount % is less than 5%. Trying to cheat us on math? Or playing on words?
in 5 years lor… not now….
utushit meloya failed maths. they think sum of all “discount” = “discount” on each car. Orang kampung, hutan sume percaya, syukurlah, mission accomplished.
Da bodoh tak boleh diajar, nak buat camne. For the author of that article, should burn his house, beat his mother!
Be Grateful. If you dont want harga kereta mahal, please live in another country – umno hardcore fans.
then i can see u are those mutt head with no brains. its ok, continue to live in jungle. Umno is kerajaan kampung and hutan.. stay put there. dont come out kacau.
Will perodua be boycotted?
the sad fact is thousands and thousands who read the Utusan wont know about the outside world other than what Utusan writes.
Enough of Be-eNeded bullshits!
never buy utusan papers. I never buy any of them as they are lotsa bullshit, lies and racist.
the paper lack of integrity and run by manipulative people. only fools read Utusan.
Kalu u tak suka bayar excise tax,you can choose to buy pick up truck or hybrid….there is option…
there are many ways to reduce car prices. cutting cost is one of it and it has been clarified that some government agencies are involved. so i guess to be fair gov has kept its promise. i wonder if you guys ever think that reducing tax is the only way to reduce car prices. hold on to your horses.. the car price will gradually decreased accordingly to time. now it is only months since the new gov won the election. do not expect the car prices to drop like dubstep bass.
Cutting cost in Malaysia always go hand in hand with reduced quality and safety!
See penang 2nd bridge collapse? substandard support used to cut cost, end up collapsed, people died. Sure utushit say salah LGE.
LRT construction mishap killed at least 2 innocent commuters, clear as day there was negligence, for what other reason than to cut cost?
I see no difference in automotive sectors. Cut cost with reduced specs, this is the progress we want to be proud of? When Proton sells Saga with ESP in Australia, Preve with 6 airbags, here we bersyukur get saga with 2 airbags, not even ABS?
Kaizen costing, JIT, TQM, Six Sigma are alien to Malaysian industries, the true ways to cut cost through improvement in efficiency. That, is the difference between Malaysian cut cost and first world countries’ cut cost.
Price slash and giving better value for money offer for consumer is good but why don’t our maker think about improving their product quality when getting more and more competition?
only if they had a brain to think, they wouldn’t heading “that way”.
i think Utusan reported was corrected…reduced RM2,000..only Perodua increased the prices by adding new specsification and three year free services..
is that truth??
I wrapped buah jambu using Utusan paper but 2 days later it rotten and spoilt.
That’s how bad Utusan paper to agriculture industry!
Utusan Dongeng memang suka buat lawak jenaka suruh rakyat miskin bermimpi di siang hari!
They’re trying to play smart with the internet generation. Tipu orang kampung boleh la..
Sorry to say this, i am a salesman from volkswagen the price that they mentioned in the paper volkswagen golf 169888 never exist at all.
Golf 1.4 has been selling 157888 since 2012 until today. What a Joke. Newspaper cannot be trusted now days.
You are just the salesperson..not the person in charge deciding the OTR prices..actually customer can get lower than RM157,888…because of your handsome profit margin of sale..people had to pay RM157,888
Sir….How much RM you get sell this GOLF?????Can be reduced 30-70% of your profit????
Why always questions what our gov promiseand has been done but not oppositions promise and did?
Yes, UTUSAN report was correct.. Just people dont or never try to understand it…
PERODUA has reduced their car price with diff measure/path. Let look on business angle. If PERODUA just reduce their car price they will lost some profit to consumer. To prevent that happen & make sure the diff (RM $$$$) still within their control/reach, PERODUA just add some additional accessories + 3 yrs maintenance/services free.. So with this business method/strategy, Perodua wont lost the diff (RM- Price Reduce) to consumer or even 3rd party mechanic/workshop…
At the end, diff Car Marker diff way/path/method doing business. Just to gain or protect their profit…
Masih tak puas hati, baling bihun sebungkus lah LOL!
make sure baling masuk pinggan tau… baru boley makan.. ;)
Good to hear that no reduction of tax from Gov. At least my existing cars will not subject to high depreciation and has no intention to buy new car for the next 5 years.
I pity those poor rural pakcik and makcik who has voted for BN and need to pay high price for new car.
Good to continue to vote BN and feed the AP cronies to become filty rich.
and not forgetting the coming GST!! rural folks will take the blunt the most.. kesian
congrats to those who voted for BN
too slow for autmoaker reducing the car price…UTuSAn has taken over in decision making on reducing the car price…no automaker dare to challenge Utusan…heeeheee
FORCE to reduce or management change !!!
Dont buy C product….Only buy Proton…
aiyohh where ur brain, ploton sparepart (components) also got some C product ma.. so mau stop buy ploton sama meh?
What do you expect more? It is the Newspaper written by idiots, edited and published by idiots, for idiots to read..
Too quick to point finger to govt..I suggest you’ll apply post in govt sectors rather than become a full time armchair critics or keyboard warriors here.Yes it’s true the national cars is indeed overpricing cause its part of the country tax and structure to keep Malaysia going strong as they’re now.You go Japan and see the total cost per month on having car below 1600cc,Singapore car pricing and cost ownership,Indonesia tax structure.Yes some countries their car price is cheaper than Malaysia in some sense but bear in mind it haven’t include the their govt tax and etc..Know why I know cause I’ve been travel to many countries that Proton and Perodua export their cars.But I can’t deny Proton and Perodua ought to reduce their car prices by another 15%
allo kawan, fren, komrad.. ok ok kita tau u sudah jauh jalan2 banyak negara. u betul2 banyak untung punya orang boleh perigi jalan2, tapi kita sini misken punya orang itu pasai kita mau kalu boleh gov. bikin harga murah sikit la..
Travel skit je trus banggala.
Singapore, Japan. How crucial is a car to those people? How far superior their public transport is to ours?
They have viable substitute, here good luck la, boss will think u crappy staff always come late, same excuse ktm delayed, bus wait long then stuck jam, taxis all slaughterhouse etc.
As I see it in London, car is just an option. For daily mundane tasks, public transport is very good. You use car less, only for off-peak, occasional weekend family getaway or emergency. So they’re cheap to buy, expensive to run to discourage extensive use, like we have to here.
In New York you can also be a car-free person. The public transportation is good.
RM7 Billion Car tax revenue but lost to Rasuah also tak guna.
Better off reduce or abolish car taxes, give that tax money back to car buyers and reduce loan cost too.
Kroni makin kaya, rakyat makin miskin. PTUII DACING
Danny… cheaper cars is NOT ALWAYS a good thing.
You may be right but I am pretty sure many Malaysians want the car price to be cheaper. I take my chances with “most of the time a good thing” rather than “not always a good thing”.
Yes cheaper cars means:
– bad for Kronies, less big useless projek from that RM7 Billion car tax lost
– bad for Banks, less silly profits from car loan interest charges
– bad for Proton, less sales as more better cheaper cars offered to car buyers
Too quick to point finger to govt..I suggest you’ll apply post in govt sectors rather than become a full time armchair critics or keyboard warriors here.Yes it’s true the national cars is indeed overpricing cause its part of the country tax and structure to keep Malaysia going strong as they’re now.You go Japan and see the total cost per month on having car below 1600cc,Singapore car pricing and cost ownership,Indonesia tax structure.Yes some countries their car price is cheaper than Malaysia in some sense but bear in mind it haven’t include the their govt tax and etc..Know why I know cause I’ve been travel to many countries that Proton and Perodua export their cars.But I can’t deny Proton and Perodua ought to reduce their car prices by another 15%
——————————
What a stupid comparison done on Japan and Singapore. Tell me what is the cost of ownership in US or Australia for a Honda Civic? ($15K US?)
You need to know why certain country imposed high tax on car to discourage the people from owning one. The gov is smart to provide a choice for their people with an advance transport system.
In Malaysia, look at all the new and old township built and no transport to be provided. Car is basic necessity to work and high tax will kill the disposable income thus unable to stimulate the economic as a whole.(how to become develop?)
I don’t mind if the gov imposed 200% for a perodua and sell at RM 80K if their transport system as good as Singapore/japan/hongkong.
Get the fact right before compare.
hooray! harga kereta turun
Manufacturers can reduce price, or introduce new models with lower price. But for a real price reduction, the government must reduce tax, nor car price. A real price reduction means all cars will cost less, from Perodua S-series to Mercedes S-class, from Saga SV to Lamborghini SV.
Until the tax reduction is announced, all these so-called price reduction report are just clueless spin by untrustworthy newspapers.
In malaysia every day is fool day. January fool, febuary fool, march, april,may……. every day is our fool day. Boleh land ma… can apply malaysia record or not?
Daus – a true Malaysian….. I salute you
Good if its a fool day for u mate. U guys seems to be good keyboard warriors. I really salute malaysians for this. U guys just dont understand economics and the auto industry here. But just let the comments coming in. Gday all. Cheers for a blessed country.
Whatever it is, end of the day perutdua cars are just very poor value for the amount of dough they are charging.
even by bolehland’s high price standards.
boleh cayeke?
That’s reduction? Why am I still not convinced? Its just like one of those ‘harga minyak sebenar’ at the kiosks. Granted the actual price of gas, but the quality is so different. A Bruneian Ron95 is almost on par with our Ron97.
Rolls Royce Malaysia also should offer the new Wraith S-Series…cheaper by RM100K…orang kaya juga sama-sama enjoy harga turun sikit lah…
Waaa…Perodua very good at spinning..just like some politicans…they ask you to focus on Cost of Ownership not price of car…wah..pandai….Mr Perodua, before you talk about cost of ownership, you first have to purchase the car! If it is an entry level car, the cost of ownership will of course be ‘affordable’ not like owning a BMW, and not cheaper than a motorbike.
Beberapa hari Lepas VIVA Accident kat federal Highway
Perghhh Bersepai…Less Safety CAR…
The same Dr that created Proton also created Perodua. Go blame you idol lah
Sorry, just had to make this after looking at first pic for a bit hahahaha
http://www.quickmeme.com/meme/3ux4up/
no esp ?
Our government will keep on bull shiting & treat the people like a fool, because they always feel that the people are stupid like them, but the fact is the people are smarter then all of them.