Allowing imports of low-cc CBU cars will hurt local industry; affect local vendors, employment – MITI

Allowing imports of low-cc CBU cars will hurt local industry; affect local vendors, employment – MITI

Allowing the import of cars with small engine capacity will hurt the local automotive industry, reports Bernama. Allowing their import will lead to the dumping of such vehicles in the local market, and hamper the government’s efforts in developing the local automotive industry, said deputy minister of investment, trade and industry Liew Chin Tong.

The goals of National Automotive Policy (NAP) 2020 will be affected if automakers shift the focus of their activities from local car assembly to CBU (fully imported) vehicles, he said.

“At the same time, it will affect the long-term investment planning for local production by OEM (original equipment manufacturer) companies as well as national car companies. This will, in turn, affect local vendor development efforts and lead to the loss of employment opportunities for locals in the future, Liew said.

Honda S660 Modulo X Version Z, Japan domestic market

Liew was responding to a question in Dewan Negara, regarding the government’s willingness to review the standard operating procedure and import regulations for the entry of vehicles with smaller engine capacities, such as those displacing 660 cc.

An example of such a car is the Honda S660, that is powered by a 660 cc three-cylinder turbo petrol engine producing 64 PS and 104 Nm, which is built to meet the kei car regulations of Japan.

The focus of the local automotive industry roadmap is to encourage local assembly activities by national carmakers and other OEM companies, regardless of vehicle brand or engine capacity, Liew said. “Having a small engine capacity does not necessarily mean a particular vehicle would be sold at a cheap price as imports are still subject to import tax, excise duty and sales tax,” he said.

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Mick Chan

Open roads and closed circuits hold great allure for Mick Chan. Driving heaven to him is exercising a playful chassis on twisty paths; prizes ergonomics and involvement over gadgetry. Spent three years at a motoring newspaper and short stint with a magazine prior to joining this website.

 

Comments

  • Bob Mal on Dec 08, 2023 at 10:45 am

    Actually why do you think the local vendors which are set up as cronies company deserve all this recognition even when Geely came into Proton and demand -30% reduction in price you want to guess why and who’s tax payers money has been wasted since Proton established in 1983 (40 years ago).

    However I will give you the credit stating the obvious to protect cronies as it is ingrained in our beloved culture to protect the cronies who contribute little back to the economy rather than the Investment guy who stated abolishing AP will lead to EV sold being unsafe.

    Well-loved. Like or Dislike: Thumb up 78 Thumb down 1
    • rosdi on Dec 08, 2023 at 12:00 pm

      Ekceli many serious buyers for the all new Honda Fit/Jazz 147HP. not sold here..

      Like or Dislike: Thumb up 5 Thumb down 0
    • PM Zimbabwe on Dec 08, 2023 at 2:18 pm

      Mythomania bermaksud kelainan psikologi yang menyebabkan seseorang mempunyai perilaku berbohong secara terus-menerus dan dalam jangka waktu yang lama.

      Berikut adalah ciri-ciri mythomania:

      – Pembohongan mereka tidak mempunyai kelebihan tertentu

      – Kisah biasanya dramatik, rumit, dan sangat terperinci

      – Biasanya mereka menjadi penyelamat atau mangsa utama dalam cerita

      – Mereka percaya bahawa kisah mereka benar-benar berlaku

      – Pembohongan diceritakan berulang kali.

      Like or Dislike: Thumb up 9 Thumb down 10
      • MB Sanusi on Dec 08, 2023 at 6:00 pm

        Hoii kepala hang jangan kasi londeh kite punya rahsia.. Pas LOL

        Like or Dislike: Thumb up 4 Thumb down 0
      • Bob Mal on Dec 08, 2023 at 8:55 pm

        Glad you like to live in the fantasy world good for you dude. Bravo.

        Like or Dislike: Thumb up 4 Thumb down 0
    • Janji dicapati on Dec 08, 2023 at 2:19 pm

      Refer my name

      Like or Dislike: Thumb up 2 Thumb down 2
    • Everlasting protection...times up on Dec 10, 2023 at 8:33 pm

      Perlindungan Selama lama nya …PSLN
      Everlasting protection.
      Crutches for life..
      Have u seen a normal person using double crutches?
      Only handicapped,oku use crutches.

      Like or Dislike: Thumb up 0 Thumb down 0
  • Fiat Multipla on Dec 08, 2023 at 10:56 am

    Why not limit it to a certain body type, like number of doors, or seats. Niche car like the s660 wouldn’t hurt anybody as it will remain a 2nd or 3rd car in a fleet at best. With fully import tax, it would be hard to justify it’s price for common people.

    Like or Dislike: Thumb up 14 Thumb down 1
  • Local market is a spoiled kid, just excuse from MITI to protect local automotive manufacturers which is just rebadging and slight alterations on cosmetic

    Like or Dislike: Thumb up 35 Thumb down 1
  • all bullshit on Dec 08, 2023 at 11:35 am

    what rakyat want is open competition , not protecting cronies at the expense of the normal people….all the madani here and there all bullshit only..bottomline normal people still taken for granted , exploited and only cronies benefitting the most…

    Like or Dislike: Thumb up 52 Thumb down 3
  • Wiraturbo on Dec 08, 2023 at 11:37 am

    So local vendors in AFTA Thailand and Indon all dead?

    Like or Dislike: Thumb up 23 Thumb down 1
  • CM how on Dec 08, 2023 at 11:53 am

    Why all the protections given … Time to let Malaysian enjoy

    Like or Dislike: Thumb up 15 Thumb down 0
  • PH BN semua sama on Dec 08, 2023 at 11:55 am

    Dulu pembangkang hentam tak ingat mak bapak. Sekarang dah jadi gomen nyanyi lagu sama dgn penyamun & perompak.

    Open market promotes competitiveness and competencies

    Protectionism harbours laziness and corruption

    Like or Dislike: Thumb up 35 Thumb down 21
    • MB Sanusi on Dec 09, 2023 at 10:44 am

      Rindu geng kita lah tu. 33bulan Pas tk buat apebende.. amik gaji elaun. Tapi ramai yg sayang

      Like or Dislike: Thumb up 6 Thumb down 3
  • U also used to from back door, didn’t u?

    Like or Dislike: Thumb up 1 Thumb down 0
  • newme on Dec 08, 2023 at 11:59 am

    Hurting local vendor is not ok but hurting the rakyat is ok?

    Like or Dislike: Thumb up 25 Thumb down 0
  • ThePolygon on Dec 08, 2023 at 12:31 pm

    Yes.. doing anything at all will hurt local industries… just stay status quo while the world outside move forward.
    Wouldn’t smaller engines meaning lesser fuel consumption thus saving gov petrol subsidy?

    Like or Dislike: Thumb up 11 Thumb down 0
  • @NotBruceWayne on Dec 08, 2023 at 1:05 pm

    You’re hurting us rakyat since 1985. Stop this protect crony culture for God’s sake!

    Like or Dislike: Thumb up 20 Thumb down 0
  • alibaba on Dec 08, 2023 at 1:45 pm

    why force ppl to buy junkie stuff if there are more better choice to made???

    Like or Dislike: Thumb up 12 Thumb down 0
  • thomas bondan on Dec 08, 2023 at 1:49 pm

    In Indonesia there are also many JDM kei cars. But it has no effect on the car industry itself. The market segments are different

    Like or Dislike: Thumb up 6 Thumb down 0
  • Nurul Izzah on Dec 08, 2023 at 2:17 pm

    Anwar menang AP hapus

    Like or Dislike: Thumb up 5 Thumb down 0
  • Aikon on Dec 08, 2023 at 4:18 pm

    Honestly will Perodua or Proton make K-Cars these days? How about sporty K-Cars? No way they will make those. Those are low volume and niche models here. Hence, the argument doesn’t hold much water. How will Honda make the N-Box here? Or will Perodua rebadge the Daihatsu Thor as the Kenari’s replacement? Pretty remote. They already have entry level cars for the B40 group. These niche models are low volume.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Using Local parts is same as on Dec 08, 2023 at 5:03 pm

    using substandard poor quality parts

    Like or Dislike: Thumb up 0 Thumb down 0
  • too much protectionism when our own local automotive industry is just rebadges of foreign vehicles.

    Like or Dislike: Thumb up 3 Thumb down 0
  • Lancermania on Dec 08, 2023 at 5:41 pm

    err, which local car maker stil making 660cc eng car???

    Like or Dislike: Thumb up 1 Thumb down 0
  • Sohai on Dec 08, 2023 at 6:47 pm

    How would it hurt local industry when we don’t produce 2 door convertibles to begin with?
    And you seem to forget smaller Cc car is better for the environment in general. Hurting the environment is ok?
    For all you know, using smaller Cc cars by the rakyat could cut down government fuel subsidy. You ever consider that?
    Protecting local industries are ok, but there needs to be an exist plan that they eventually do not need protection. Where is the timeline that eventually we will not have NAP and protection be lifted?

    Like or Dislike: Thumb up 5 Thumb down 0
  • Foxtrot Uniform Kilo Charlie on Dec 08, 2023 at 7:02 pm

    Eh? How to JDM K-tuned after dis? Wahlao die liao.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Your mom still wear hot pants ah on Dec 09, 2023 at 11:58 am

    You all toking nonsen I never buying local car b4, go buy any thing else bcos no buy sure die.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Gomorrah on Dec 09, 2023 at 3:43 pm

    It is as if the word “competition” causes an instant allergic reaction in Malaysia lah. 40 years of this crap, so many cronies sucking at the teat of power as well as providing campaign contributions. That’s where the real economy of this country is, completely circular, excludes the majority of Malaysians and the rest of us get to pick up some scraps…if we are lucky.

    Like or Dislike: Thumb up 3 Thumb down 0
  • Bossku on Dec 10, 2023 at 6:49 am

    There is only race that benefits the most from such policy. To maintain the fake facade of racial harmony, this protection should continue to exist.

    Like or Dislike: Thumb up 0 Thumb down 1
  • Boy Racer on Dec 11, 2023 at 8:35 am

    “Local vendors”? What have these “local vendors” done in the past donkey years besides making their own pockets fat and making the rakyat pay the price?

    Like or Dislike: Thumb up 4 Thumb down 0
  • Lance Chau on Dec 11, 2023 at 11:04 am

    Mau protek sampai bila?

    Like or Dislike: Thumb up 0 Thumb down 0
  • I wonder how many people lost their lives in accident over the past 40 years because they cant afford a better/safer car.

    Like or Dislike: Thumb up 0 Thumb down 0
 

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