Foreigners to pay 50% to 200% more for local motor vehicle registration – up to RM900, effective April 16

The cost for private vehicle registration, ownership transfer and driver’s license application for foreigners will be raised between 50% to 200%, and it will be effective beginning April 16, 2018. This involves all motor vehicles from Class B1 and B2 motorcycles, as well as Class D vehicles, as reported by Berita Harian.

Deputy minister of transport Datuk Ab Aziz Kaprawi said the decision on the hike was made by the Cabinet, and added that there has been no revision in the fees since the country’s independence in 1957. He said the initiative will also raise the country’s GDP without burdening Malaysians.

“Beginning April 16, the government will implement the new fees involving private vehicle registration, vehicle ownership transferral and driver’s license application to all foreigners residing in the country,” said Aziz.

Foreigners to pay 50% to 200% more for local motor vehicle registration – up to RM900, effective April 16

This means that the cost to register a motorcycle under 500 cc and above 500 cc in Sabah will be RM100, and in Sarawak it costs RM20. The current fee is RM5 for both states. For bikes above 1,500 cc, the new registration fee will be RM350 (from RM150) for the Peninsular, while the cost in Sabah and Sarawak is pegged at RM120 (from RM60).

For Peninsular vehicles (excluding motorbikes) with an engine capacity between 1,501 cc to 3,000 cc, the cost is up to RM600 (from RM300). For East Malaysia, it costs RM120 (from RM60). However, cars above 3,000 cc will have to fork out RM900 for registrations in the Peninsular and RM160 in Sabah and Sarawak.

As for motorcycle ownership transferral, the new rate of RM20 is now standard across Malaysia. Previously, it’s RM3 in West Malaysia, RM4 in Sabah and RM5 in Sarawak. For cars, the new fee is RM200 (from RM100) for Peninsular and RM120 (from RM40) for East Malaysia. However, ownership transferral for foreigners with disabilities remains free of charge.

Foreigners to pay 50% to 200% more for local motor vehicle registration – up to RM900, effective April 16

Lastly, driver’s license fees. Currently, the renewal cost for Class D license is RM30 (which is the amount we Malaysians currently pay) per year, but this will be raised to RM60 for foreigners. In other words, from April 16, it will cost RM300 for a five-year term.

Meanwhile, for Class B1 motorcyclists, the current fee foreigners pay for license renewal is RM20 a year. This will be tripled to RM60 per year – same as for a Class D license.

“The implementation of the revised fees will increase the projected national income with an estimated amount of RM31 million annually,” said Aziz. “The initiative shows just how privileged Malaysians are – that they get to enjoy the benefits of being exempted from the increased cost.”