Honda Malaysia has announced new prices of its models following the government’s reimplementation of the sales and service tax (SST) effective September 1. The new prices are inclusive of the 10% sales tax imposed on motor vehicles.

Like Perodua, the prices for Honda’s completely knocked-down (CKD) model range are all cheaper with SST than prices inclusive of the 6% goods and services tax (GST), which was zero-rated in June. The on-the-road prices of the Jazz, BR-V, City, Civic, CR-V and Accord are down by 0.5 to 3.1% with SST compared to that with GST.

The CR-V 1.5 TC 4WD features the biggest price adjustment, being RM4,868 cheaper with SST (RM156,732) compared to with GST (RM161,600), but it’s the Jazz 1.5 S that shows the largest percentage gain, 3.13% cheaper now than with GST in place.

SST: Honda releases new prices, up to RM4.9k cheaper

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Two models, however, see a price increase, though they are both CBU imports – the Odyssey 2.4 EXV and Civic Type R are now RM4,096 and RM10,002 more compared to their GST inclusive prices.

Both the Jazz Hybrid and City Hybrid are not in the new price list, the reason being that their pricing has not been finalised, pending government approval. As for the HR-V, it’s not on the list because the facelift will be introduced shortly, and its price has not been revealed. Elsewhere, the company added that after-sales services will be subjected to a 6% service tax for labour charges.

So, with two companies having released prices with SST in place, the trend is pointing towards cars being cheaper as a result of moving away from GST, at least where local assembly is concerned, essentially baulking the forecast made by the Malaysian Automotive Association (MAA) that car prices would increase with the introduction of SST.