Proton Edar Dealers Association Malaysia (Peda) has urged the government to scrap old vehicles in order to boost vehicle sales and grow the automotive sector, The Malaysian Reserve reports.
In the report, the association wants the government to pursue the Vehicle End of Life policy that was first brought up in 2009. When first proposed, the policy required owners of vehicles that are aged 15 years or older to bring them for mandatory annual inspections as a requirement for road tax renewal. Failure to pass the inspection will require the vehicle to be repaired until it is able to, as opposed to being scrapped immediately as is the case in Singapore.
The policy was scheduled to be implemented in 2014, but was rejected due to an unfavourable response from the public, with minister of international trade and industry Datuk Seri Mustapa Mohamed saying at the time that “the public is not ready” for it. Later on in 2015, the Malaysia Automotive Institute (MAI) suggested the policy be changed to follow a Cash for Clunkers scrappage scheme.
The new proposal would allow owners of vehicles aged 10 years or more to obtain a rebate of up to RM5,000 when they trade in their vehicles (regardless of brand) for a new one from any local OEM producer. Proton offered a scrappage scheme of a similar nature with the Proton Xchange Programme in 2007.
This incentive-based scrappage scheme looks set to be introduced, although an official deadline has not been set. Last year, Malaysian transport minister Datuk Seri Liow Tiong Lai said such a policy is important because the older a vehicle is, more issues or problems arise, and that a study on the policy was now at its final stage.
“Currently, there are about 28 million cars registered, but many of these vehicles are not roadworthy anymore,” said Peda advisor Datuk Armin Baniaz Pahamin. He added that vehicle scrappage schemes are already being practised in developed countries like Singapore, and is a big factor for generating new car sales.
“The government must be willing to address the issue in the next National Automotive Policy (NAP) review as the market is already matured,” he noted. Do you agree with the implementation of a Vehicle End of Life policy in Malaysia? Share with us your thoughts in the comments below.
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In order to boost vehicle sales?
WTF are they thinking?
Car makers’ profit should not be the priority of government policy, rakyat’s well being is the top priority!
How shameless are these people trying to force rakyat to buy new cars, so that they can make more money!
Yup. The RM5,000 comes from our tax money – which we are then forced to buy only local cars. It’s not even fair.
Malaysia has the highest car prices in the world. And we have one of the smallest pay packets in the world. So, the car is very precious to us no matter how old
Infact, our car prices are 3X global car prices. Not only that, in Western countries, not only car prices are cheap, the pay packet is high also.
For example, Toyota Corolla Altis is only USD14k and Toyota Camry is US$22k. The fresh graduate in USA starts salary at US$4500. If he dont eat, he can pay out right for his Corolla in 3 months
In Malaysia, Altis is RM139k. Camry is RM175k. Fresh grad earn RM2500
That is how expensive cars are in Malaysia
So how to scrap no matter how old?
You try so had to make ur fact look so right. I do admire ur effort but if u put ur effort at the right place i might support u kunta.
Well said Mr Kassim..great info pertaining old cars..old cars have safety and quality..new cars are not even near to Old Cars build quality…why must it be scrap..if good maintenance practice is carried out time to time to keep vehicle in good running order…buying new cars is an overhead in our budget ..loan 9 years…in three years of driving all moving parts have to be renew…if not high risk of Breakdown…it is beside the point new or old car..all that matters is pro-active maintenance carried out before it breaks down.thats matters most.not buying a new car makes a difference.
Please go and live in US and you’ll know how high is the cost of living there. Salary is high, vehicles are cheap, but tax is extremely high. All the money you earn goes back to the gov. In malaysia, your tax are being subsidised by so many things. Whereas in US, don’t ever dream of getting tax rebate.
Have you ever worked there before or not otherwise don’t mentioned partial truth only.
Know a bit act like pro.
Deswaii sell burger & keropok free tax..
This USD14k price for a Corolla in the USA is pure fantasy, and can definitely be classified as fake news. In this age of the Internet, it took me only a couple of clicks to find out that the dealer price for a Toyota Corolla 4 door 1.8L sedan in L (most basic) trim and with CVT is USD18.1k. And that’s before state sales tax which in California is 7.25% and New York 8.875 percent. Factoring in these, you’re unlikely to get a base Corolla automatic on the road (without insurance) for less than USD20k, substantially more that USD14k mentioned. However, USD20k is still only about RM80k. But then the U.S. Corolla is produced in the USA so there it is considered a domestic, mainstream model and priced appropriately, unlike in Malaysia.
LOL kasim. US starting salary US4500? LMAO. 70% of americans cant even have 1000USD saving. did you visit USA ? watch too many hollywood movie ? LOL know what is the USA tax structure ?
Abang-abang Wira will not be happy about this.
Local grads special promo.
https://paultan.org/2017/03/21/more-than-70-of-local-university-grads-choose-to-buy-foreign-vehicles-rather-than-the-national-car-proton/
I don’t think you get the message ketumpat. Govt is not forcing ppl to buy new cars. But instead of a 25 yrs old proton iswara, owner maybe can buy 8 yrs old persona. Which is abt 15k. Owner of that persona can now buy a suprima or exora CFE. Owner of 18 yrs old saja maybe want to buy 7 yrs old inspira
There r lots of 15-25 yr old cars in the rural community…be careful….dont simply scrap their cars…they r the ones who bought the initial batch of sagas n wiras…and some of them r still in good condition.
PEDA,if u want to boost sales….tell DRB and Geely to cut prices of Protons by 20 percent….sure BOOMING SALES.How to achieve this…just remove all the deadwood local car vendors n bring in the china competent suppliers.If local vendors cut prices by 30 percent,yr protons will have zero QC.
PEDA,this is more humane than scraping cars that people bought from you 15 yrs ago.
You are right. 25 year old Iswara and Wira are stock Mitsubishi. They can even last 40 years if properly serviced.
Only the newere Proton cars…..mid Waja onwards, the Campro came into play. They only have 10 years lifespan.
This is why you hardly can see any Waja, Persona, Saga FLX, Preve on our roads without it giving non stop problems and posing as a danger to other road users.
would be interesting to see how you came up with the theory that waja, persona, etc are full of problems and pose a danger to road users.. i have so many friends who still own those cars and drive them every day.
Sokong!
Again, please do it for commercial vehicle first and see if it’s feasible. Thank you.
Personally I don’t agree to implement this idea to the commercial vehicle. We school bus operator kept well maintain our vehicle. Every 6 month we have to undergo Puspakom inspection. We didn’t make to much profit with this business. Just enough to make a living. My idea all vehicle especially private vehicle have to undergo Puspakom check every year or every 2 year
Puspakom?? That is nothing to shout about. You guys always like to practise something like this. There are ppl who offer services for pre-Puspakom inspection. Put in new tyres, purposely reduce amount of fuel to engine so tht you will not fail the emisions test. After inspection you will switch back to your cheap rethreaded tyres and remove the fuel limiter. There goes all the black smoke everywhere. No matter wat u do, your bus chassis will get weakened when it gets older and endanger the ppl on the road when you get into an accident.
Totally agree with you..maybe this is what they called “dahulukan rakyat”…
Public transports > all
If you can, we will. In fact I am regularly using Public transport despite possessing car. Are you?
I take public transports whenever in Klang Valley. R u?
Yes, I take Public transport in KL, Even interstate Ipoh – KL only public transport.
KL is ok. But try widen the scope to Subang and Shah Alam. It aint so bad.
Subang and Shah Alam r super OK. Selangorku free bas Ahaksss..hidup Sgor!!
Agree if the government remove the tariff and toll collection. We are being taxed 2 times at the toll and the high price tariff making our car prices one of the highest in the world.
But we can drive new safer & roadworthy cars. So good job PEDA & govt!
How people can accept this policy if the new car price in Malaysia is still like a bomb! Reduce the car price first, then only talk!
And don’t forget to remove the AP also
Pipu buy P1 becoz its cheap, not cuz its gud. Oh waitt… cheap P1 car yet pipu no buying.
Pipu kena tipu
The main purpose of ELV is for a good cause BUT when PEDA urged the gomen to scrap old vehicles in order to BOOST vehicle sales & grow the automotive sector, it sound like they are thinking of Sales ONLY.
Bukan Semua Rakyat Kaya Macam Mu Bro. Ada yg Kais Pagi Makan Pagi Bro. Ingat Sebelum Buka Mulut Mu(PEDA).
Can implement the ELV project, BUT the vehicle price and spare parts price need reduce include import tax too. Also the insurance and road tax cannot place too high that vehicle more than ELV period. So that whoever can’t afford to buy new vehicle, still able continue use it. Of course must fulfill the pustakom policy.
Don’t forget, must remove AP also on top of the high taxes
To boost Proton sales and a cleaner Malaysia, gomen must pursue this now
Stupid scheme…buy the car already expensive …after 15yrs worth only 5k for scrap…my old Honda c50 worth more than 5k…after getting new car have to service loan for 9yrs…bank, car dealers, gov all get income due to this….all paid for by rakyat…BTW don’t forget another 6%GST somemore
here we go again!!
No no no no……. Think about their own stomach. My 2006 picanto still running smooth….
My 2006 Myvee still running smooth, good accelerative power somemore eventhough it’s only 1.0L (thanks to manual gearbox).
New Myvee, unless poodua reinstate water temperature gauge (at the very least) i will NOT going to change it, even if i can afford to buy with cash payment.
please check on those old lorries with over weight load and move like turtle on the roads. those are road worthy?
Prepare for this crap/scrap system after GE14 when we are still living in the “blue”.
hahahahha…buy a proton/perodua for 50K…10 years later…after serving 9 years loan…value only RM5K when want to trade in..better keep the car..Hello bugger…the paid interest already more than 10k for 9 years
A good move, HOWEVER our current income nation cannot afford, cannot afford refers to use car below rm20k,one have to study how many percentage of current cars that have a resale value of 20k below now. if its say 5%, than its reasonable to implement, if its more than 10%, not the time, we can’t copied Singapore/Japan as they are high income nation. no new factories investment, all goes to indon, thailand, vietnam, how to have high income nation. my personal benchmark is always based on goverment employee, do singapore or japan same job scope, say over the counter employee can we comfortable enough to afford a RM1,500-RM2,000 tablet, assuming all been equal, no of children etc etc.
Not agree, my Civic year 2007 still in very good condition. The End of life policy not suitable for Malaysia, due to the new car price is high for our income level.
sure…impose vehicle end of life and remove protective tariff.
bloody lazy people. Always having their hands out asking government to help feed them.
Another PEDA idiot, think of he own good and make others suffer…
if no P1 n P2, everyday will be Sunday to all of us, cause we no need to worry about you guys are not making money.. Car tax won’t be that high, ppl won’t drive a car for more then 15 year once the car are cheap.
I think the issue here is that not people dont want to buy new car. they cant afford to buy a new car. some people cant even afford to maintain their current car, thus having many cars which are not road worthy. i also dont think malaysia should compare to singapore as they have very limited space and excellent public transport.
This create more opportunity for inspector. U help me, i help u.
“He added that vehicle scrappage schemes are already being practised in developed countries like Singapore”
Sometimes minister say don’t compare or make examples. Now idiots wanna compare & make an example out of it. Adui, sakit KELAPA (oops, kepala) ~
Whenever it suits them.
What a stupid suggestion and only want to get free lunch from the G.
There are many good condition car more than 10 years old on the road like Estima/alpha….etc and you proposed to scrap at the rebate of RM 5000?
Please provide a better proposal for win -win situation like scrap it at the market rate if you intend to implement.
Agree! market value scrap style
Bad Idea. Cannot scrap at market value. Because if scraping laws is implemented, there will not be any “market value” left your 15 years old car!!
Ya, better you destroy your own car and insurance pay you back market value. haha. Consider sell to the insurance company.
Try to introduce this end of life policy, we’ll see which party, minister or smary alex will meet his or her of term. Better end the life of car company that is not sustainable and getting millions of taxpayers money.
yeah…scrap a good 10 year old car and change it for a lousy new one? nice try
You don’t need to wait for 10 years to check for road worthiness. Just implement it straight from the start. ANY car that is not road worthy should OFF the road regardless of the age of the vehicle.
You can also properly enforce window tinting, hid, number plate, loud exhaust etc. Killing 21321 birds with 1 stone.
Also, there is no need scrap old cars if they still pass the road worthiness test. Some people drives immaculately maintained 15 year old cars but some people can’t even bothered to fix the brake lights on their new Myvis and Alzas.
Your Excellency Nik,
Our new cabinet after GE 14,should have such brilliance as you.How we wish Malaysia have positive people like you,instead of people who tokok all the time.
The rear seatbelts ruling,hardly we see enforcements.
Now ,insanity…if we start scraping and scraping ,just to bailout protong one more time.
Wowzers! You even went so far as to praise your own dupe this much that I feel like throwing up. Seriously dude. Get help.
Lol like i have no better things to do.
I’m just as surprised as you but I’m sure this won’t change your mind.
Good idea! Why not set the lifetime to 5yrs only? This would boost car sales even more…
Yes why not scrap a 20 years old car provided:
– It is not road worthy. (say 50 companies to be determined by RTD via a tender and with good, historical track record ya, not your abang dan adik).
– No more Excise duty on cars
– No more GST on cars.
– No sales tax.
– No AP (whatever form of AP) on cars.
– No ABC tax on cars.
Then and only then you are trustworthy to raise such issue.
PEDA would be better off putting a donation box with “Derma untuk selamatkan pengedar-pengedar Proton” written on it, in front of every member’s sales office
Reduce the taxes on the car. They are simply TOO EXPENSIVE!!!!!
Why no? We can opt for subscription plan such as Care by Volvo. No need to own the vehicle and after say 2-3 years we can change to the newer model.
Proton again? They think people will buy their junk if vehicle EOL policy is implemented. Kebodohan tahap gaban.
Plot twist: even with this policy, people will buy other cars except P1.
No thanks to this, my 2006 Yaris still running fine.
You Pedaphiles.
1) Singapore government scrapping car is to reduce traffic and not to increase sales.
2) make sure all politicians never ever become members of director in company’s, when this politician become board members then the company have to pay them big money. How many time poor Rakyat have to pay this Politicians
3) ask this clever ppl to do sales in other country n increase sales n not only focus local market.
4) why this clever ppl taking about car sales n not doing anything or help Rakyat to buy house house???
y car is so important then house ???
Stupid rascals
I strongly disagree… Malaysian motorist are having to contend with high taxes during vehicle purchase, high annual road tax and insurance costs, CBU cars subjected criminally high import tax and AP costs, as well as high spare part costs. If the government of the day cares for the welfare of the Rakyat, abolish AP permits, and introduce scrap policy for trucks and prime movers that are above 10 years old, as old trucks are far bigger safety hazards in comparison to private cars… To that first before implementing scrap policy for old private cars…
Before do it to private cars, please implement it to commercial vehicles first la…. See all these more than 20 years old lorries / trucks / backhoe / taxis running around town slowing down traffics causing accidents…
Use a bit of common sense please…
Some rapid Kl busses seem like they’re gonna fall apart by the time you reach your destination and also there are puddles inside the busses HAHAHAHAHA! PUDDLES of rain water …
If you live in big cities, then this is a good idea to reduce amount of cars on the road.
But think about the rakyats that live in rural area, kampung roads, and have barely a grand monthly income.
They surely cant afford to buy new car, or get their vehicles up to standard, let alone pay the fees.
Don’t think about using public transportation when it is non-existent.
Save ur effort, peda. Even my car is scrapped, I won’t buy a potong…
Who cares if you don’t make profit? We want you all dead. That’s why we don’t buy p1
if buy a new car at the age of 25, every 15 years buy new car till the age of 55. at least 3 cars . More poorer
And also if people are forced to scrap their cars… I doubt they’ll buy your tin milo instead they’ll buy Korean cars which are a billion times better that your CHINA TIN
Please dont compare with Singapore. They are far advanced, rich etc.
Do you think if msians can afford, they dont want a new car??
Our income is still too low as such if scrapping policy implement we will be unaffordable to own car.
Get our currenxy strong and more income first than we sure change not need any policy
dont compare with singapore please.. they scrap cars for a different reason all together.
are you guys serious.. there is now too many cars on the road already… it’s jam everywhere.. this is just a plot to enslave ppl with bad debt.
No difference since enforcement is so lacking look at commercial vehicles so many badly maintained ones are still able to pass the so called inspections and ply the roads
Sure and how about people who cant get bank loans for a new cars. If they want to implement this then make sure all applications are approved
Okay.. I own a 20year old satria..I can’t afford to pay for new car.. You take my car & let me walk meh?
I dare you s.o.b!!
Not viable for Malaysian s cars expensive and salary low.Should be implemented for commercial vehicles especially buses and lorries which cause a lot accidenst most of it because not roadworthy and heavier uses.Should set max 15years.
Aku elak beli kereta baru sebab xmau pening bayar hutang.. xnak terlibat dengan riba.. ko buat mcam ni.. umpama ajak kami buat dosa pulak.. dh lah banyak sangat tax.. kalau dpat hasil balik xpa.. nih apa pon xdak.. pas tuh xdpat nak byar kne tarik.. nak harap public transport.. bapak haram mahal.. pendapat peribadi.. lebih bagus beli kereta lama in good condition dari beli kereta baru tapi pening nak hutang2 bgai.. hutang rumah dah ckup pening.. lagi nak kereta bagai..
I own a 1991 proton saga and it is as better than many new cars.
Agree but in one condition all new cars must be cheaper like most of country did
No, we shouldn’t do that! The road worthiness cannot be determine by age. It will depend on how its maintained.
These can be solved if govt give us a new car similar to have the sale. Correct ? And dont take away people car just for the sake of money self by force.
Halo Peda! If you want the End of Life policy, start with Proton first! Start with new registered proton cars. I will see whether u tutup kedai or not.
When money rules the mind; ideas like that will surface!
This PEDA is just some stupid morons who just think for themselves…
Car in malysia price too high to trade in. Not worth it. Some people making endsmeet rather to change car after 10 yrs. If car price is cheap than xan consider.
Yes, it’s long overdue. Make it 20years limit then slowly down to 15years
Scrap kereta lama, aku nk beli kereta baru loan tk lulus nama blacklist amacam…lol
my wira still going strong after 21 years….
No way, just because they want to improve their sales they want us to scrap our good cars. They can get lost!
Scrap your car to get 5k rebate on new car. Cheapest new car how much?? Get secondhand la you say…how old is the car?? 2years…5years. Who profit??? Car dealers and banks. Buyers….you pay loan la sampai mati
No matter how old the vehicle is,very important key is that the vehicle is well maintained.Body,engine & condition gd on the vehicle why should be disposed the old vehicle?New car purchased it is no need to be maintained kah!what about the downpayment & longtime instalments need to pay?Dont follow Singapore,so small country how to provide so many vehicle thats their policy.We Malaysian also now face hard times as BNM reported so many bankcrupcy & NPL rising.So please considerate little bit to a lower income group.
My car is an imported model and it was custom declared for USD8k but I paid RM69k for it. Now it is almost 15 years old. After having clocked 100k during the first 2 years, I have hardly driven 5k a year ever since. Everything is still in a good state of repair. Am I supposed to scrap it for the sake of making sure Proton are able to keep up their sales? Wouldn’t it be more logical to lower custom duty, road tolls and road tax on the vehicles so that more people could afford to buy car? In return impose more taxes on petrol/diesel. Anyone who doesn’t drive need not have to spend on fuel but can still afford to change vehicles if desired. I was told that there are no road tolls in Hainan Island but the govt gained back from heavier taxes on petrol. Not sure if it is really true or not but it is a really good idea. The more you choose to drive, the more you need to pay for fuel.
sounds nice at concept level but executionally flawed later on. puspakom supposed to be mot equivalent in the uk but lots of lorries still putting out black smoke
if they want to implement this then scraped the ridiculous taxes for cars. we are already paying a lot for our cars at the moment
and good luck getting the public (read used car dealers) ready. how many votes would that cost
Come on proton, we dont want to be in debt forever just because you wanted to generate car sales. Does not make sense, why wanted to burden citizen… we are already in heavy burden with high cost of living, expensive houses, commodities, taxes… NO..NO..NO…
The economy climate here in Malaysia are not ready yet with the scheme….Gov must not bend down to certain quaters’s request…Gov must protect the rakyat well being first….u want to boost the sales, got a plenty of ways to do…Korea & Japan also dont have the scheme….but their cars are selling well….why?…because they penetrated overseas market.
When a large group of Rakyat still only have a ” cukup makan” life style…this scheme will be a burden to rakyat….if our economy is ok, then we shouldnt have millions of rakyat taking up BR1M….it shows that that our rakyat still susah.
and do remember, if the scheme implemented, most of the rakyat will not afford to buy new cars & when there is not much cars on the road, then petrol pump industries as well as used car business will be affected.
If our public transport is reliable, ok lah juga…but everyone knows that our public transport still can not cope up with a lot of maintenance issues.
And also a lot of kampung folks used these old cars as their mean of main transport…not to mention using these old cars in kebun & ladang.
A responsible gov will consider all factors & will not agree to this hakamimi scheme.
my opinion
My old wira is tougher n faster than any amodern same segment car n rarely breakdown
My saga i bought in 2006 still well oiled and no problem.. heh..they thinking about their pocket.. lower car price..
Lets start by totally scrapping new cars & only buy luxury scrapped cars from Singapore, Japan, UK etc.
We should fight this stupid policy together..this will make much more people suffer!!!
Why must follow Singapore that Implemented End of Life Policy? Singapore is a very small country & not enough space for vehicles.
Ape kata buang that imported vehicles tax ?
Personally I am not agree with the suggestion. Malaysia and Singapore is a different country. Malaysian people are not wealthy as singapore people. Many of us just can’t afford to buy new car. The old and used car are well maintain by people like us. The public transport system is not as good and excellent as Singapore.
Stupid idea. Not relevant. Think about the rakyat who just afford to buy used car in cash. They used it not for luxury. They used the car because they really need the vehicle to make a living. I agree with ELV system just to make sure the vehicle in good condition
bring down the prices of cars first.
the prices in malaysia are ridiculous.
then improved country’s public transport first. stop spending on KL’s public transport already!
There is NO SUCH thing as compulsory car scrapping in Singapore. If you renew your COE, your car stays!
Don’t take away my Corolla!!!
With the extremely high price of vehicle in Malaysia, car ownership is very expensive.
To scrap old car for a new one. Not because of the car itself, but to find reason to boast sale to unefficient Proton sales Team.. is very much regreated.
Implement this on commercial vehicles first. I can still see lori balak that is at least 40 years of age on the road. The amount of smoke they put out is worse than the smoke grenade the fru used during bersih demonstration.
This is an good ideal to gain the sales. However if based on voluntary basis for owner to scrap their old car belived is much welcome.
Under MM2H import car , how we do a scrapped ?
still we have to pay a duty or not ? please advice to me
this car already 19 Year’s old
Vehicle End of Life Policy is a must.
This improves overall general quality of vehicles on the road, cut down emissions and may cut fuel consumption at national level.
In the country I work, apart from 3 years old cars rest all need to go through mandatory vehicle inspection annually. Even those vehicles fail given chances for correcting the issues. Not just scrapped.
Vehicle End of Life Policy proposal was for mandatory inspection of vehicles aged 15 years or older.
Why afraid for mandatory vehicle inspection for old cars if they are maintained properly.
A Car is just a car no matter how much you love it.
Rakyat started giving extreme sentimental value just because they had repaid their years of loan for a car.
It is prone to unexpected break down if not maintained well and the only method to ensure this doesn’t happen is through government controlled and monitored annual vehicle inspection system.
Also, it is very dangerous to have unmaintained old car on the road. Not only for its drivers and passengers but for fellow motorists those who use the same route.