Transport ministry could revive Cash for Clunkers plan to help reduce the number of old cars on the road

Transport ministry could revive <em>Cash for Clunkers</em> plan to help reduce the number of old cars on the road

In order to reduce the number of old cars on the road, the transport ministry could look to revive the Cash for Clunkers programme, according to a report by The Edge.

This isn’t the first time such a programme was suggested, which offers rebates to owners who trade in their old vehicles for a new one. “There is no decision made on this as yet, but I have been briefed by my officers that there are some plans related to this,” said transport minister Anthony Loke.

Previously, the Malaysian Automotive Association (MAA) put forth the Vehicle End of Life policy that would be implemented though a Cash for Clunkers scrappage scheme. Under the programme, owners of vehicles aged 10 years or more would be given 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.

Transport ministry could revive <em>Cash for Clunkers</em> plan to help reduce the number of old cars on the road

In April this year, Proton Edar Dealers Association Malaysia (Peda) urged the government to expedite the implementation of the policy. The policy was originally scheduled to go live in 2014, but was rejected due to an unfavourable response from the public.

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 pass the insepection.

Once again, this brings up the question: are you in support of a Cash for Clunkers programme in Malaysia?

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Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard's strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • TreeHugger on Jun 14, 2018 at 1:22 pm

    Fully 100% sapot. Proton Edar dealers were very concerned with all the pollution caused by old cars. They were right to urge government to implement the Cash for Clunkers program.

    Like or Dislike: Thumb up 45 Thumb down 39
  • rchoo on Jun 14, 2018 at 1:51 pm

    Once again support only voluntary

    Like or Dislike: Thumb up 18 Thumb down 5
    • Khurd Urn scriptor on Jun 14, 2018 at 2:02 pm

      The problem of resentment from third world mentality people of country side and jungle villages, if it’s made compulsory!

      Like or Dislike: Thumb up 6 Thumb down 13
    • 4G63T DSM on Jun 14, 2018 at 2:04 pm

      Must restrict rebate of RM5,000 when voluntary trade in for a new one only from P1 or P2

      Like or Dislike: Thumb up 1 Thumb down 17
      • 4G63T DSM on Jun 15, 2018 at 9:26 pm

        Who is using my handle? Can’t think of something more original?

        Like or Dislike: Thumb up 0 Thumb down 0
  • This move will only benefit Proton & Perodua.

    Most owners of old cars on the road are those who are unable to upgrade their car due to high car prices in Malaysia.

    This programme will thus force them to buy Proton or Perodua simply because they are the cheapest in the market.

    Proton & Perodua are the cheapest in the market due to high taxes on foreign car brands.

    The high taxes is not only meant protect Proton & Perodua, but to create a market for them to flourish out of thin air.

    Proton & Perodua are already given a price bracket to sell (around 30k~60k) AKA a budget to work with. All they had to do is to optimize themselves (or not) and reduce specification to meet it. Their vendors also know this and thus the vendors can freely markup high high as they know Proton & Perodua can afford it and the public is forced to buy Proton & Perodua.

    Proton & Perodua and their vendors can of course optimize and reduces prices but why would they? Unless there is a fair and open competitions with foreign car brands, it will never happen. Proton & Perodua and their vendors will forever rely on their ‘tongkat’ of high taxes on foreign car brands.

    Yes, the new Perodua Myvi(~50k) is a very good car compared to say…Honda City(~90k). But remember, the Honda City is sold at ~90k simply because of Proton & Perodua existence. If the Honda City is sold at ~50k without hose high taxes then suddenly the new Perodua Myvi(~50k) doesn’t look that good anymore.

    What we should compare the new Perodua Myvi is to its own value in RM, is it really worth paying RM50K?

    It is known that without those high taxes on foreign car brands, Proton & Perodua may not survive and I can guarantee you Perodua and its Myvi will not be the best seller in Malaysia.

    We know and the Government knows that local car manufacturer like Proton & Perodua are fat cash cows and we, the public are the suckers.

    Well-loved. Like or Dislike: Thumb up 71 Thumb down 5
  • vVivi Zurianti on Jun 14, 2018 at 2:53 pm

    Even “IF” I could sell my clunker for RM5000, I could not even use the money to buy a new decent motorbike.

    The old clunker at least protect me from sun and rain, safer during accident, comfy with AC, can take grocery and go jalan-jalan with family, etc.

    Now, what and how am I going to do all these with a bike??

    Well-loved. Like or Dislike: Thumb up 66 Thumb down 7
    • Yang mahal on Jun 14, 2018 at 7:35 pm

      Why don’t choose public transportation?

      Opsss
      All public transportation project cancelled

      Like or Dislike: Thumb up 11 Thumb down 12
      • Maya Jelatek on Jun 14, 2018 at 8:53 pm

        MRT, LRT, Monorail, BRT dgn Rapid all Ok jer

        Like or Dislike: Thumb up 7 Thumb down 6
        • If not becoz of Najib, LRTs & Monorel alredi lingkup and stop service, MRT & BRT & Rapid all yelek. You only left with overpriced P1 2.0.

          Like or Dislike: Thumb up 10 Thumb down 4
        • Pi dah on Jun 15, 2018 at 1:08 am

          Ingat Malaysia ni kuala lumpur je ke? Rasa org dok sarawak boleh naik LRT balik rumah?

          Like or Dislike: Thumb up 19 Thumb down 1
        • vVivi Zurianti on Jun 15, 2018 at 9:35 am

          bro, Other places without mass public transportation then how?? like small town area? Housing area?? Kampung?
          Wait to build MRT, LRT too?

          I better use my 35 years old Toyota like that…..

          Like or Dislike: Thumb up 19 Thumb down 1
  • Bernard on Jun 14, 2018 at 2:54 pm

    If you are going to only give RM5k, definitely no one will be interested.

    People should be given the freedom to own cars without threats being made to take away their cars and force them to buy cars they dont want.

    Please stop this cash for clunkers bullshit, once and for all!

    Like or Dislike: Thumb up 54 Thumb down 5
    • Yup. Hey at least make car cheaper to own. Kampung folks would surely hate this idea.

      Like or Dislike: Thumb up 12 Thumb down 0
  • Ben Yap on Jun 14, 2018 at 2:56 pm

    Tun will use this rebate only for his new national car.

    Like or Dislike: Thumb up 8 Thumb down 4
  • Semi-Value (Member) on Jun 14, 2018 at 2:59 pm

    sorry la. my 30 year old car is better than most of the new cars.

    Well-loved. Like or Dislike: Thumb up 62 Thumb down 11
  • Its OK to be based on voluntary basic and the RM 5K is a bit low for certain branhed car.

    Some of the car like Estima (ACR 50 year 2006) & Alpha more than 10 years still in tip top condition.

    Like or Dislike: Thumb up 22 Thumb down 1
  • takNakP1 on Jun 14, 2018 at 3:14 pm

    please clean up old, slow, over weight and dangerous lorries too…

    Like or Dislike: Thumb up 34 Thumb down 0
  • So like, is there anything new or original coming out from Loki other than to saman innocent pipu left, right and center?

    Like or Dislike: Thumb up 11 Thumb down 6
  • My 10 yrs old Civic FD still in good condition, no way to trade in for P1 or P2.

    Like or Dislike: Thumb up 24 Thumb down 0
  • Facebook on Jun 14, 2018 at 4:29 pm

    Here we go for Tun M’s P3… Same old tricks…

    Like or Dislike: Thumb up 6 Thumb down 2
  • transformer on Jun 14, 2018 at 4:58 pm

    WE, Rakyat, paid billions of unfair tax barrier due to the existence of Proton!!!

    WE, Rakyat should get higher rebate and not limited to local brand only! WE, Rakyat should be given the choice, its our right!

    Like or Dislike: Thumb up 14 Thumb down 2
    • Rakyat Malaysia on Jun 14, 2018 at 7:27 pm

      We the Rakyat Malaysia, now will willingly pay even higher for the success of TUN’s National Car Program 2.0!

      Like or Dislike: Thumb up 5 Thumb down 8
    • u pay income tax meh ?

      Like or Dislike: Thumb up 7 Thumb down 0
  • H Mayer on Jun 14, 2018 at 5:27 pm

    My 25 year old BMW 7 series is million times better than the new current shit cars out there. So those who support this move probably have no idea what they’re saying.

    Like or Dislike: Thumb up 28 Thumb down 4
  • Reading on all the comments and looking at those likes I know Malaysia is very hard to move forward when most of rhme can’t even afford to change a new car every 10 years.

    Like or Dislike: Thumb up 10 Thumb down 1
  • Mokmok on Jun 14, 2018 at 10:21 pm

    Insepection instead of inspection correction there Gerard, para 5..

    Like or Dislike: Thumb up 0 Thumb down 0
  • Kismisputih on Jun 15, 2018 at 9:35 am

    Please make it 18 years instead, but subject to car performance, condition and drivability. I don’t believe the standard 20 years car was better than current car. That’s just simply rubbish

    Like or Dislike: Thumb up 4 Thumb down 3
  • Cikgu Ahmad Che Mat on Jun 15, 2018 at 9:38 am

    Just read the fine prints for old car scrapping. Lots of condition. Very discouraging. Hempeh only….

    Like or Dislike: Thumb up 1 Thumb down 0
  • intermilan on Jun 15, 2018 at 2:42 pm

    Improve the scheme.. No limit on what brands owners can buy (redeem the rebate). Maybe can limit what vehicle eligible by new car price. Below rm200k (for example) so they can’t buy luxury car. Vehicle inspection conditions should be relaxed. If its old but in good running conditions (bcoz can passed Puspakom inspection), why would anyone want to ‘trade in’ them for merely rm5k and commit themselves to new financial burden? Better if rebate value is set to 5% of the price of the car when new or rm5k, whichever is higher, but only up to rm7k max limit. Be smart in making this policy if want it to succeed. Else better dont do it.

    Like or Dislike: Thumb up 6 Thumb down 0
  • Steve on Jun 15, 2018 at 7:30 pm

    100% NO AND TOTALLY DISAGREE to scrap policy as some old cars are safer and better built than the new Perodua and new Proton

    Until the PH government can learn from Japan, Hong Kong and Singapore to resolve and to provide an efficient and fast Public transportation within walking distance of each residentials and offices areas.

    New cars sales only create more traffic jams and make the malaysia automotive manufacturers becomes rich and no benefit for the RAKYAT..

    The new look east policy should look to learning and get investors from Japan to build and establish a very ultra modern and efficient public transport system include Timely feeder bus services rather than making the third national car ( that is of no benefit to the rakyat but to engaged more foreign workers in manufacturing)

    Like or Dislike: Thumb up 7 Thumb down 0
  • Perodua No Value Brand on Jun 15, 2018 at 7:37 pm

    Why can’t the new Transport Minister focus on the most important issue like

    1) How to manage an efficient public transportation system rather than wasting time on scrap policy

    for example : having more better buses and bus routes in a strict time table manner AND make sure all LRT lines are run accordingly to schedule , increase capacity during peak hours .

    Trained all bus drivers to be efficient and keep to time schedules ( not lepak long hours in Mamak stalls)

    Like or Dislike: Thumb up 3 Thumb down 3
  • panjang on Jun 15, 2018 at 8:04 pm

    Mandatory inspection – yes
    Failed inspection must repair until pass – yes
    Cash for vehicle beyond repair – yes
    Mandatory scrap after certain period – NO NO

    Like or Dislike: Thumb up 3 Thumb down 1
    • polla on Jun 18, 2018 at 10:22 am

      now no old car already wait like hell, when all the old cars come in for inspection matilanak

      Like or Dislike: Thumb up 0 Thumb down 0
  • Mr. Minister, hope you implement this to old lorries and buses first. Have you seen trailers with old mercedes head with heavy black smoke trying to pull heavy loads on road? And buses when involved in accident due to brake issue, no one was charged for poor maintenance schedule WHICH is essential for public transport? After those machine, you can implement this clunk thingy to cars..

    Like or Dislike: Thumb up 3 Thumb down 0
  • Idham on Jun 16, 2018 at 6:30 pm

    I didnt have any debt to own my current car. It still run and kickin well. And it currently brings me and my family to my hometown go and back from KL to Teluk Intan, Johore and back to KL with a comfort for a Hari Raya celebration. I drove Honda city year 2003. And it stil run smoothly. So do my perodua kancil which is make on 2001. I drove it everyday to my work untill now without any problems.And my current insurance stated that my honda city is worth rm16k which can be covered by them. Our sallary is not YET meant to implement this.

    Like or Dislike: Thumb up 5 Thumb down 0
  • RainDark on Jun 18, 2018 at 3:11 am

    You c2pid idea will bring us suffer to hell, most of the people buy a car go for 9 years installment, and after 9 years, 1 more year and u wan us to go back to continue 9 years installment for a new car again, how u wan poor people to accept. If Mr. Minister cant think of a way to control the traffic and accident cause by the atittude of the reckless driver, is mean Mr. Minister is useless, and please do not blame to old car for excuse.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Tarro on Jun 18, 2018 at 12:30 pm

    Ihave no more debt obligation on all my old cars. Why i need to take more unnecessary loans to buy over price Malaysian car price?

    If you need to do this, fixed car price in Malaysia.

    Like or Dislike: Thumb up 2 Thumb down 0
 

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