Government not happy with minimal car price reduction

najib_tulan.jpgWe’ve seen some effects of the new National Automotive Policy only 3 days after it was announced. Most manufacturers have announced that their CKD vehicles would cost less.

Proton says it would cut prices between 2-5% although no official figures have been announced. Other companies which have announced price reductions are Toyota, Perodua, and Mercedes Benz.

However DPM Najib has expressed that the government is not very happy with the reduction of car prices so far and hopes to see further reduction in car prices.

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • Ricc (Member) on Mar 26, 2006 at 12:51 am

    Yeah.. a reduction of 2%~5% is nothing… The car will be less from around RM700 ~ RM3500 for a RM75K car… We can get this amount of discount in their respective "special promostion" sales, such as Hari Raya, CNY, or Christmas…

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  • TheMachine (Member) on Mar 26, 2006 at 1:28 am

    Govt not happy …… then do something la. Proton & Perodua take note the reduction announced is pittance ! other non-national have cut prices 6%-10% all CKD cars should be lowered further !!!

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  • jehutyz (Member) on Mar 26, 2006 at 2:03 am

    Wah!!!! gov not happy with the price wor. Then they set the minimum limit lor. All the car must at least drop 10%. Then will be great. Anywhere CKD unit all stop but CBU unit all up.

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  • NeedGoodCar (Member) on Mar 26, 2006 at 2:12 am

    For benchmarking purposes, people would expect the magnitude of reduction in the car prices bring forth by the NAP as below:

    Honda City 1.5 DSI : Below RM65k (Selling for RM52K now in Langkawi).

    Honda Civic 1.8S : Below RM85k (Selling for RM70k now in Langkawi).

    Honda Accord 2.4 VTL-i : Below RM130k (Selling for RM100k now in Langkawi).

    (Prices are retail price without insurance)

    Sadly, 2-5% is way too insignificant, how long do we need wait for car prices to drop to a reasonable level?

    Frankly, very disappointed with the NAP, especially on the part with regard to no issuance of manufacturing licence if there is excess domestic capacity, what nonsense, if domestic manufacturers keep on producing inferior products, how can anyone expect them to sell? and of course, there will forever be excess capacity in the domestic front!!! This is totally not in line with making Malaysia a regional hub for cars.

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  • Hilmax (Member) on Mar 26, 2006 at 2:18 am

    The G's now want lower price. Then GIVE MANUFACTURER/IMPORTER/COSTUMER MORE CUT IN NAP.

    Or better 50% reduced overall, not cut this part and plus anything taxes what..

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  • mydurian (Member) on Mar 26, 2006 at 2:55 am

    At least minimum 10% cut. Also monitor the prices of spare parts too. Wouldn't want: buy cheap, maintenance expensive.

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  • DAN (Member) on Mar 26, 2006 at 3:27 am

    this government all r cowboy, (pencuri pun dia polis pun dia) that means tiff n police also by them, all r bullshit. prove n do something then we see.

    down this up that, is like unprofessionally way to our country, is like cheating n monkey business.

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  • motorhead (Member) on Mar 26, 2006 at 4:27 am

    Yeaa.. finally they heard.. motorhead was maddd!!!.. TPM heard it.. all motorheads here are oso not happy… the reduction is not enough.. but their fault oso.. who ask to reduce the tax so low?? now motorhead is mad, they blame the manufacturers… but dont care la.. nasib la engkauorang.. the important is we all should get cheaper cars.. and more… i speak on behalf of all motorhead friends here… they can loose quite some votes here…

    ps:motorhead has 1 car & 2 motorbikes… his head spins like motor..

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  • PGlang (Member) on Mar 26, 2006 at 7:18 am

    Wo..wo..wo..This is like a slap on their face. No point to be unhappy coz the Nonsense Auto Policy is proposed n passed by them. Y not let the whole country the free port status like Langkawi. Then all will be happy!!! ke..ke..ke

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  • cavino (Member) on Mar 26, 2006 at 8:04 am

    NeedGoodCar,

    Ur benchmark on Honda City (I got one recently) of 65K will be way too low. Based on 2006 rate vs 2004 rate practice b4 NAP, it will be at most 10% difference, thats abt RM5K differences. So new iDSI price should will be in the range of RM76K or more.

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  • OpTiMuS (Member) on Mar 26, 2006 at 8:22 am

    man..i really do think the prices of cars shud drop more….

    perodua juz a mere 4%…can get thru discount la…

    howcome toyota can drop more????anyone can enlighten me??

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  • NeedGoodCar (Member) on Mar 26, 2006 at 1:58 pm

    cavino,

    I stand corrected, plz tell me if honda is selling at a loss in Langkawi for the City 1.5 DSI at RM52k?

    BTW, my benchmark is the level of price that a typical malaysian like myself wish to see after the NAP, afterall that's only "wish", it might not be translated into reality. Dream on……..

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  • Pentan Sakua (Member) on Mar 26, 2006 at 6:48 pm

    All Governemnt people, especially the leaders like to TALK COCK. Turun 5% tax, then how much do you expect the car price to come down. TURUNLAH 50%, then baru ada ummmmmppphh.. NI turun 5%, sembang macam turun 50%. Piiirraaahhhhhhhhhhhhh….. Sembang kuat, cakap kosong, cakap tak serupa bikin…..

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  • NeedGoodCar (Member) on Mar 26, 2006 at 6:55 pm

    I have this feeling that the NAP is bound to fail if the fundamental element underlying the setting of the policy is to lend protection to potong and ptua.

    Please prove me wrong.

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  • wyejon (Member) on Mar 27, 2006 at 8:05 am

    heheh…. that picture of our DPM is priceless

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  • Paul Tan on Mar 28, 2006 at 2:17 am

    wyejon: chosen for the "tulan" effect.

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  • DAN (Member) on Mar 28, 2006 at 2:34 am

    push to other , point to other that all is like monkey business, only know how to burden us s a Malaysians.

    monkey business for their own minority.

    talk cock!.

    eat shit la.. there only know how to find easy money from us n do nothing, then act like there r good to be true!…

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  • shaif (Member) on Mar 28, 2006 at 11:29 pm

    With 30 cents increase in petrol, I would like to see more friendly consumer approach by the Gov. Not only rebate for cars but extend it to the fast food service tax, electronic goods, rebate in car road tax and insurance. Our money become lot smaller this day, purchasing power reduce. What a stressful year for a motorist.

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  • paxter (Member) on Mar 29, 2006 at 9:23 pm

    YEAH! dpm tell them to reduce more! :D

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  • altis_fan (Member) on Mar 30, 2006 at 5:31 pm

    If minister asked them to reduce more, this means that the price is still

    high. Let's wait some more months.

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