Demand for diesel vehicles to remain high despite fuel price increase from subsidy rationalisation – MAA

Demand for diesel vehicles to remain high despite fuel price increase from subsidy rationalisation – MAA

The Malaysian Automotive Association (MAA) says it does not expect the sales of diesel vehicles to be severely impacted by the government’s targeted diesel subsidy programme, which began earlier this week and has seen the retail price of Euro 5 B10 and B20 diesel in the peninsula being increased from RM2.15 to RM3.35 per litre.

In a statement, the association said it anticipates that the total industry sales (TIV) volume for the year will continue at planned levels, with any change in volume not reflecting much in the TIV, given that diesel vehicles only account for less than 12% of the vehicle registrations in the country.

How the move will have an impact on sales won’t be seen immediately, but a clearer indication will come about within the next month or so. However, any dip in numbers may be temporary.

Demand for diesel vehicles to remain high despite fuel price increase from subsidy rationalisation – MAA

This is because the association says that demand for commercial diesel vehicles, pick-up trucks and vans is expected to remain high. It said that apart from private use, users of diesel vehicles are mostly from the construction, plantation, logistics, tourism and transport sectors, and such vehicles were crucial to many business operations in these sectors.

It added that while consumers will be cautious in making a purchase decision at the beginning, they would not hold off on a purchase of a diesel vehicle for long, given their necessary use in many applications.

The association however said that having an accurate and efficient rebate mechanism is very important, and called on the government to make the subsidy quota for the transport sector clear in order to prevent operators from raising transport rates, which would affect the public and the country’s competitiveness.

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • Diam-ler on Jun 14, 2024 at 10:58 pm

    Please don’t talk cock la MAA. A lot of car makers are still clearing their Q1 or 2023 stocks. Trucks like Triton still have not cleared their old stock, leaving them to massively delay the launch of new triton. Same it goes with Isuzu. You can still buy the pre-fecelifts. Not all in the news we can trust these days

    Well-loved. Like or Dislike: Thumb up 65 Thumb down 4
    • Dah Menang Semua on Jun 16, 2024 at 12:22 pm

      Demand for commercial use is real
      E300, G350d, GLE400d, xDrive30d, Q8 50-TDI
      Those personal Raptor, Triton, sure Hailat one

      Like or Dislike: Thumb up 0 Thumb down 0
    • Lorryrocks on Jun 17, 2024 at 11:46 am

      Needs more motivation for poor pickup truck sales. Lorries buses haulers briskly sale….

      Like or Dislike: Thumb up 2 Thumb down 0
    • Make Malaysia Great Again on Jun 19, 2024 at 12:16 pm

      This gomen remove subsidy immediately causing Price Hikes just before a majority celebrated festival is certainly doing to target them. Guess whom the majority are not voting?

      Like or Dislike: Thumb up 0 Thumb down 0
  • ThePolygon on Jun 15, 2024 at 9:09 am

    Barely 1 week after the subsidy life and they got statistics of sales and demand already?

    Like or Dislike: Thumb up 45 Thumb down 2
    • Spin Too Much on Jun 15, 2024 at 4:42 pm

      Just like MACC immediately says no need investigate Asia Mobility.
      Just like Rafizi immediately says there is no Price Hikes after subsidy remove.
      Just like PMX immediately says there is no kleptocism when appointing his daughter into Cabinet.
      Can anything what they say be trusted?

      Like or Dislike: Thumb up 0 Thumb down 0
  • MAA the jilat jilat expert

    Like or Dislike: Thumb up 0 Thumb down 0
  • Bieight on Jun 15, 2024 at 2:52 pm

    At least start switching to euro 6 fuel if you going to remove subsidy

    Like or Dislike: Thumb up 0 Thumb down 0
  • Zaman Jahiliah Malaysia 2022 - Kini on Jun 15, 2024 at 3:46 pm

    Syabas PMX!

    Like or Dislike: Thumb up 0 Thumb down 0
  • WinDisel on Jun 15, 2024 at 8:49 pm

    Best way for bury bad news is give press release at long weekend friday night.

    Like or Dislike: Thumb up 2 Thumb down 0
  • Damage Control...Too little,too late on Jun 15, 2024 at 10:30 pm

    MAA has to tokok like the namewee dude.
    It tries to paint a rosy picture .
    Put it straight…membodek…
    Whether they pembodek or not,they will have to report the next few months sales figures.
    By then,the petrol prices are already floated.
    So those suppliers without petroleum bantuans,already have upped prices across the supply chain.
    We poor rakyat,at the receiving end..
    The M40 has dropped into the B40…only the T20,the upper echeleon is left,still not badly affected.

    Like or Dislike: Thumb up 3 Thumb down 0
  • anwar menang rakyat dikencingkan on Jun 16, 2024 at 9:53 am

    This is what they call propaganda. MAA never reveal any todate data!!

    Like or Dislike: Thumb up 2 Thumb down 0
  • try to avoid diesel cars for now. i own triton. the difference of full tank compare to last week is Rm90. what stupid decision was that? more than 50% price increment one shot?

    Like or Dislike: Thumb up 2 Thumb down 0
  • You think this is first time diesel price increase?

    As if MAA dont have data from decades past

    Like or Dislike: Thumb up 0 Thumb down 0
  • Tokok lah! Just announce then can talk about demand? What is your formula? Same as the government, announced smuggling reduced!

    Like or Dislike: Thumb up 10 Thumb down 0
  • opmanmy on Jun 18, 2024 at 7:57 am

    So much talk kok nowadays. Konon smuggle diesel, nak naik harga just naik harga la…tak yah…cerita BS byk byk tuh. Sandiwara penuh. Byk brg dah naik harga…gaji tarak naik!

    Like or Dislike: Thumb up 3 Thumb down 0
  • Jeremy on Jun 18, 2024 at 8:46 am

    this shows that Diesel Vehicles mainly used for Business.

    Business need Diesel Vehicles and Tools to run anyway.
    and now the ‘Premium Diesel’ is still cheaper than Ron97.

    at the price range, there is no Ron97 petrol car can beat Diesel Vehicle’s Power and Robustness, Space and Function.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Ongtk on Jun 18, 2024 at 10:41 am

    If indeed sales does go down, it will only be a temporary blip. Diesel trucks and SUVs are fuel efficient and powerful. I drive a 2.2D AWD CX-5 and will continue to use it. It is powerful, smooth and fuel efficient notwithstanding the post engine replacement nightmare I went through. But that’s all been taken care of now albeit at my own cost. I am enjoying my ride again.

    Like or Dislike: Thumb up 0 Thumb down 2
  • Jakob on Jun 18, 2024 at 6:30 pm

    I am one of the guy who changed decision not to buy pickup truck due to this.

    Like or Dislike: Thumb up 2 Thumb down 0
 

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