At its 2014/15 review and insight on the local automotive landscape, it was revealed that the Malaysia Automotive Institute (MAI) is set to introduce a Cash for Clunkers scrappage programme. The consumer incentive scheme, pending approval from the government and several manufacturers, “may increase TIV figures to 750,000 units,” said MAI CEO, Mohamad Madani Sahari.

Viability factors are now being evaluated as the necessary recycling infrastructure need to be present and up to standards before operation can begin. The scheme aims to present itself as a form of scrappage programme for most, if not all, manufacturers based in Malaysia.

In 2007, Proton introduced its own scrappage scheme with the Proton Xchange Programme before pulling the plug at the end of 2009. The Malaysian Automotive Association (MAA) has also lobbied for such a programme to be implemented with annual sales of cars increasing, leading to more severe traffic congestions.