Motor vehicle sales for April 2007 registered a drop again compared to the same month in 2006 – this time a 17% drop from 40,482 to 33,679. MAA blamed the decline on lack of consumer confidence, difficulty in obtaining hire purchase loans and poor resale value of used cars. In line with lower sales, production for April 2007 was also lower by 26% compared to the same period last year – 33,829 units from 45,718 units.
For the year so far – January to April 2007 compared to the same period in 2006, car sales were lower by 16 percent – 138,629 units this year compared to 164,434 units the previous year. As for April 2007 compared to March 2007 the month before in the same year, the number is also a drop – 12.8 percent or lower by 4,940 units.
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Well, no surprises there… And we owe all this to Proton's rather vaque future… MAA, stop blaming things like not easy to obtain loan or poor resale value, these kind of excuse are so God damn OLD SCHOOL!! At least be creative and make up some new excuses la!
Bottom line – New car is too expensive and old car is too cheap.
With this situation, dealers would be throwing more offers to consumers as they are desperate for sales. Good for consumers, but only for those who can afford at the moment. The salary increase for government servants might encourage purchase of new cars. Hopefully private sector will increase as well.
only rich ppl buy cars nowadays…. if cars werent so expensive, i'd buy one myself.. my car has been giving me a lot of problem…
MAA basically means its not their fault, its our fault. As usual.
Its like when you fry fish, and the fish hangus, and you blame the fish, the pan and the oil. Why not spend some time reading some fish recipe?
gov servants increase
public sectors soon to increase
artis berjadual – no increment at all…
btw, check out this saturn astra… looks like neo
http://bp2.blogger.com/_FoXyvaPSnVk/Rknz7s0pA5I/A…
Brothers! Sisters! And Countrymen! What can I say???
WELL DONE !!!!
One of these days, we'll pop the champagne (and JW Sparkling Juice)!!!
If you can whole off your purchase, hold on! Bring back the consumer’s voice! We have every right to demand the Right for Transportation (this includes decent, honorable and reliable public transportation) and Rights for Automobile and Road Safety. Tranportation is not a luxury want but an everyday need for survival.
The reality is right in front of us. poor resale value, and tighter credit checks by the banks. Its partly due to the NAP. as said by MAA, and i think they're pretty right about the reasons.
Also, new cars are still basically around the same price as they were for the last 3-4 years, with some cars actually cheaper today than they were a year ago. So why arent new cars selling better?
mayonaise, if you say proton is the reason for the slump, and not the reasons MAA said, so how does proton stop a person buying a hyundai for example? or a kia? i really wanna know.
guess that simple-brainer head of MAA had to swallow her own words…
ITS A CONSUMER MARKET !!!!!
MARKET COMES FROM DEMAND!
WE, RAKYAT, CONSUMER CREATE THE DEMAND!
We can't let some monkey pulling our nose leading our ways…
there too many tax, duty, NAP and this and that!
Toyota sales may overtake P1 soon
To hondadriver:
"mayonaise, if you say proton is the reason for the slump, and not the reasons MAA said, so how does proton stop a person buying a hyundai for example? or a kia? i really wanna know."
OK, ask yourself this, why was NAP implemented in the first place? If you know the answer to this, then you'll know what I mean. You see, foreign carmakers are very unsure of what the future will be like at the moment, they r having a hard time getting things planned due to Proton's future being vague, and the possibility of a merger is still unknown. NAP was implemented to protect local carmakers namely Proton (and more or less Perodua), this makes Proton a dominant figure in the industry, any changes in Proton, tax structures tend to get "affected"… It's not a good idea for foreign carmakers to make so many plans in such a volatile situation… That's why for example, Honda M'sia won't be bringing in the new gen Honda Stream to M'sian market due to exactly this situation.
Any sales figure based on car makers?
hondadriver:
“mayonaise, if you say proton is the reason for the slump, and not the reasons MAA said, so how does proton stop a person buying a hyundai for example? or a kia? i really wanna know.â€
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bcoz of proton ler most ppl cannot afford to buy cheap kia/hyundai/honda..etc….just imagine vios at RM50k, sure "goreng pisang panas lor"
the rakyat has acted. Doesn't MAA knows that our tax regime for cars are one of the priciest in the world? If only there is a national movement to actively push the G to abolish those taxes, I'll be happy to donate and join the group.
MAA was established in November 1960. The main objectives of MAA are to :
1) Develop and protect interest of members
2) Make common representation to Governmental Agencies on issues affecting the motor vehicle industry
3) Communicate with the public through various media on industry issues,position and objectives.
They care ONLY for automotive players, NEVER consumers. Deal with it. MAA never with consumers since its establishment. If you want to put blame on govt and cronies, MAA is part of them.
The banks tightening their belt on loan approval, lower car production, lower consumer confidence – i think this is roght and it is good! There shouldnt be soooo many cars on the road. It is like never ending flood of un sold used cars. In ASEAN, m'sia is the largest passanger car market.
The MAA figure should be looked at as a technical correction just like the stock market. They cant go on going up exponentially.
Car manufacturere should look at the lack of sales as normal, absorb the loss and get on with life – produce beter quality cars.
Paul, can help to compile some statistical data camparison based on the first 4 months data of 2006/2007? It would be best if we visualized everything into bar chart: it helps pass the message faster.
Actually what is the function of MAA ??
Thanks
The problem IS caused by the low trade value of old cars. My friend just traded in his 8 yo wira for rm13k only! Somemore it has been mod to a 1.8 DOHC engine with 4-sp auto and lancer dashboard. A wira biasa Y1999 will probaly fetch rm 12k or less. RM12k! that's absurd. How to buy new car?!
Can't blame the bank for being cautious. They know that Proton buyers aregenerally from the low to medium-low income groups and used car buyers are no bettter.
Bank don't give loan, nobody buy Proton. Trade-in value low also can't buy cars. So Proton dies!
MAA indirectly blame the consumers and banker but always kipas besar to G. The only culprit in this is P1/NAP and the real hero is the consumers by "STOP THE BUYING, STOP THE SUCKING". Consumers rights eventually will prevail over this P1/NAP sucking machine, including "benefactors
like cronies vendors, croc and of course PEDA and MAA! Hidup rakyat, hidup hak konsumer dan pergi masuk longkang agen2 penghisap darah!
Good for the Global Warming. Malaysia is doing their job well ;))))
Bad news for proton = good news for the future of ours and our childrens automotive pleasures.
is it so hard to explain the decline? people are now poorer and have to save MONEY. This is same for everything, not only cars. Economy better my ass!
I predict this year continue decline in sales until Gov go sell to VW, whenever that is
Just imagine ………… if Vios/City ~ RM60K and Gen2/Waja ~ RM40K, wonder if Toyota sales will overtake P1.
Still RM20K difference and savings right?
Not surprise…..times are bad….
Our wages cannot cope with the increase prices of all necessities, so where got extra $$$ to spend on cars.
yea…not that i don't wanna buy a new car…but the resale value for my 2nd hand wira is super low…and then wanna get a good car like city for RM80k? still not affordable for me now…if wanna ask me buy proton again? i'm thinking long and hard and not yet decide to buy another proton…
so ? just wait lor…
kekeke
The main reason is the car too expensive, I have to pay RM80k to get the small quality car with good safety feature, I am not sure how long I have to take to save RM80k…plus we have to pay a lot of expense…
If our national car is hyundai or kia, price from 40k with quality and good safety feature, I don't mind to own one, but for proton, I have to consider first…
"MAA blamed the decline on lack of consumer confidence, difficulty in obtaining hire purchase loans and poor resale value of used cars."
Not exactly untrue. But thats like stating the bloody obvious already.
The issue like many pointed out, are cars are still too expensive, and resale values are low. What the industry bigwigs dont realise or are in denial, cars are also getting more reliable (especially on certain marques). Most people tend to hold on to thier cars (or buy 2nd hand), well, because there is nothign really wrong with them.
That and having really cheap spare parts for protons is not doing proton any favours …(just wait and see, MAA will ask to put an additional 100% duty on "imported" spare parts, not satisfied to put 2nd hard dealers on the chopping block, they will go after parts dealers now).
The "new car smell" is too expensive perfume for most of us.
The CONSUMER has spoken. MAA, however you want to kick the ball, it will roll back to you.
I'm one of the "I can afford to buy a new car but chose not to…."
MAA shouldnt blame us consumers.
fyi, average income of malaysian is around RM2~2.5k
trede in yr old car with RM10~15k, then u opt for a vios with additional 5k from pocket
you get loan around 50k. and monthly installment will cost you around RM1k per month.. This is half of your salary. then..how bout petrol, insurance, maintanance?
so… do u think malaysian can affort to buy new cars
my advise, we should just hold on for a little bit longer, we shall see the rescue light very soon. Looking forward to buy Civic with 80k maybe…cheers.
morning all :)
hm~ i think some decisions have to be made faster.
the decision makers should also take note of current buyers' situation.
P1 to VW?
scrapping old car?
peace~
I dont think Malaysian Automotive Association (MAA) intend to put the blame on anyone in this contect. It is just Paul's choise of word of 'blame' that make some people feel that MAA is pointing fingers at others. Theese are merely statement from MAA on the reason for the vehicle market to remain weak.
MAA present to you the statistics, the breakdown of vehicle sales in the country. If it goes up..so what? It is just maa's responsibility to update us (which they dont) on the current car industry situation.
One thing I would like maa to do is to open up membership to everyone not just vendors, vehicle sellers etc. MAA is always late in producing reports..like 1 to 2 months lagging. What the heck man! very frustrating. Or are these market report released only to members? what a stingy assosiation..prevent people to become member and then stop the news from flowing out.
why the market still slump … the used car u can c how many unit still can't sell …. the used car also trade in with very low price … how to ppl affort to buy new cars …. The P1 also don't accept trade in with the own product … how ppl gonna change new cars … if other nation car no G tax … i think this will diffrent so far … actually don't waste money on car … the car really no value … it won't gain price only keep droping like hell … only a transport ..
granturismo said,
May 24, 2007 @ 10:08 pm
Just imagine ………… if Vios/City ~ RM60K and Gen2/Waja ~ RM40K, wonder if Toyota sales will overtake P1.
Still RM20K difference and savings right?
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My fren,…Yes that should be the ideal situation. P1 should be arnd 25-40k range & P2 should be 15-25k range. If not mistaken, actual price for a Kia Picanto w/ot taxes is just 19k & toyota wish arnd 60k.(saw the price list in the gazetted prices in Custom website)……just imagine……
One point to think about. I know someone who works at a HQ of one of the other recon car importers (not Naza or Mofaz) and their business is booming, selling at least 100 cars per month or more. These are higher end recon cars with an average price of RM 150k or higher.
In other words, the mid to upper range buyers are still not voting with their wallets, they're buying cars at a faster rate than ever before because they can afford it and banks are giving them their loans.
The rich are getting richer, and the poor are getting poorer.
So it Proton wants to sell, produce something in the 5 series or E-class category lah…
But then, they can't even do a proper job in the compact class, how? That's where most of the people belong to and can afford.
a true fact that high end market for vehicles is booming but in small numbers since its luxury anyway, mercedes and BMW doing good and posting rise in sales figures……so who's pullin it down? from what i see, its those cars with low resale value, low brand value and high maintainence cars. not only P1 is suffering, koreans and americans are suffering too, their sales is nose diving because their cars are not much different in price from the japs making it unattractive. japs i believe are still hanging in there since they have a good reputation with their marques. (of course this is in general, doesnt mean all are doing well but its just a sum up in groups).
maybe its time to see the truth behind it…..those extra 10-20% sales figures before were probably those who arent eligible for loans but banks close an eye during approval and ended with an NPL and tarik kereta. now they cant buy a new car due to loan restrictions and hence lower sales figures. car prices werent much different few years back from now when it was selling well leaving only the resale value to worry.
1 more to add…..those figures also include commercial vehicles….and these few months have seen drastic drop in sales as well, another contributor to the decline….seems that companies feel that its not worth changing vehicles so often anymore….
i think the MAA should stop reporting what we already knew for the past decade or 2 would happen and get a move on to boot proton out of the car industry. proton has 0% chance to being successful in the market (locally or internationally) and everyone knows that. kill the rotting company faster and bring in the international investments instead of losing it to countries like phillipines and indonesia.
a country with so much potential like msia should not be pulled down by a car company (and its cronnies) that has only burdened the whole country for 20 years . the lower and middle class deserve better.