The approved permit (AP) system for cars must be maintained so that priority is given to the local industry in line with the aspirations of the National Automotive Policy 2020, said Tengku Datuk Seri Zafrul Tengku Abdul Aziz.
The minister of investment, trade and industry also said that having the import license system in place helps curb the dumping of CBU imports, including electric vehicles (EV) which do not comply with local safety standards.
Zafrul said this during the ministers’ question time session in the Dewan Rakyat today, reported by Bernama. He was responding to a question from Kepong MP Lim Lip Eng regarding the issuance of import APs and tax exemptions on all EVs.
The AP system came back into the conversation lately due to Tesla being given franchise APs without having a local partner with bumiputera shareholding. This allows Elon Musk’s EV company to practice its direct-to-consumer, no dealer, no partner business model in Malaysia.
Tesla is the first successful applicant of MITI’s BEV Global Leaders programme, which comes with the concession. Here’s a closer look at the BEV Global Leaders programme and the list of AP holders for every car brand in Malaysia.
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AI-generated Summary ✨
Comments express strong skepticism and criticism toward the AP system, accusing it of benefiting cronies and protecting local brands at the expense of consumers. Many believe the system is a form of protectionism and corruption, hindering fair competition, increasing costs, and allowing unsafe or junk cars to enter the market. Several comments suggest abolishing or reforming the AP system to promote transparency, open competition, and better vehicle safety standards. Sentiments are largely negative and distrustful of government motives.