The Government is considering the possibility of scrapping the controversial Approved Permit (AP) scheme for imported vehicles to ensure a system that is acceptable for all.
Deputy International Trade and Industries Minister Datuk Mukhriz Mahathir said scrapping the scheme was not the only option as there were many other ways to look at the matter.
“However, the basis of any solution is that, any levy or tax should benefit the Government.
“In the end, cost saving, if there is any, should go to the people,” he said adding that, the ministry expected to announce a decision soon.
He was commenting on the request of the Kuala Lumpur and Selangor Car Dealers and Credit Companies Association, which asked the Government to open the AP scheme to everyone or give a 30% quota to the Bumiputra and have the rest open for auction.
He was speaking to pressmen after launching the Bumiputra Entrepreneurs Symposium held in conjunction with the Unit Trust Week here on Sunday.
Mukhriz explained that it was high on the ministry’s agenda to discuss and finally decide on a new mechanism on the AP issue, as it had long been a contentious one.
“We want to look at it in a very comprehensive manner and come up with a solution that is amiable to all,” he said adding that, the ministry should be given a little bit more time before the minister makes a decision with the approval of the Cabinet.
Meanwhile, commenting on the new liberalisation policy, Mukhriz said that he was confident that the new policy would attract more Foreign Direct Investment (FDI) into the country.
“We have not estimated how much FDI would flow into the country with introduction of this new policy.
“It is certainly an added attraction for foreign companies to invest in the country,” he said.
Monday, April 27, 2009
Rising vehicle sales point to early signs of recovery
After two consecutive quarters of declining sales, Malaysia’s motor vehicle industry is showing signs of a pick-up. This is good news for those looking for possible signs of an economic recovery.
Earlier this week, the Malaysian Automotive Association reported that sales in March had risen 20.5% to 44,205 units from a low point in February. The association expects further improvement in April and is sticking to its year-end total industry volume (TIV) projection of 480,00 units.
While this will be a contraction from the 548,112 units achieved in 2008 – the second best year ever – the outlook has brightened considerably for the industry.
Crowds looking at the new Exora at a Proton Edar branch. However, from the consumer’s point of view, the latest developments in the car trade have mixed implications.
For example, the head of a Proton car dealer association was recently quoted as saying that the car loan approvals rate had gone up to about 50% in the past month from as low as 30% previously. This shows that banks are more willing to lend to car buyers.
Easier credit, however, comes at a price. The Star reported on Tuesday that banks had raised interest rates for loans to purchase non-national cars effective almost immediately.This has narrowed the gap in the rates charged for loans for non-national cars and national cars, which had previously favoured the former by about one percentage point.
Due to competition, banks do not normally advertise their car loan rates, but it is relatively easy to get the latest quotes for any brand or model by calling up hire-purchase officers at any bank branch.
The rates for loans of longer tenure (say, nine years) are a bit higher compared with those for a five-year loan. Also, different makes and models carry slightly different rates. At some banks, the rates may vary a little from branch to branch.
The one percentage point increase translates to about RM80 in extra monthly instalment for a RM100,000, seven-year loan.
Bank Negara has slashed its benchmark interest rate three times since November last year to 2% currently. The market is expecting another rate cut when the central bank’s policymakers meet next week.
The recent rate adjustments by banks “reinforce our view that hire-purchase rates are unlikely to be reduced despite lower base lending rates,’’ says AmResearch in an April 21 report.
The higher rates for non-national cars will curb demand for foreign marques such as Toyota and Nissan.
The two Japanese brands have the biggest share of the local multi-purpose vehicle (MPV) market, but their dominance is being challenged by the newly launched Proton Exora.
While sales at Proton are set to rise, other carmakers are still feeling the pinch from the economic slowdown.
Analysts believe that the domestic TIV will remain sluggish for the rest of the year as consumers hold back big-ticket purchases, while banks adhere to strict lending requirements.
But for those with cash to splurge, the current car market is probably as good as it gets. To keep the stocks moving, car dealers are likely to step up their promotional campaigns in the coming months.
Shop around for the best deals. Sales representatives are usually more than willing to help in getting the best rates, and some carmakers are offering arrangements that have lower interest rates for certain models compared with those quoted by the banks. Unsold stocks are also available at a discount to the sticker price.
If you need to trade in your vehicle, then it is imperative to visit more than one dealership for quotes. Bear in mind that as used-car prices drop, so will the trade-in value of your vehicle. The consumers’ appetite for a new car, as they say, has taken a back seat in these tough times.
A car is probably a person’s second-most expensive purchase after a home. This is true here, as the cost of owning a car in Malaysia is high. Depending on the engine capacity and origin of make, a significant portion of the showroom sticker price includes a hefty tax bill.
The car needs to be insured and the road tax paid before you can drive up to the nearest petrol station for a fill-up.
The sales tax for petrol in Malaysia is set at 58 sen per litre, but based on the international crude oil price of US$50 a barrel, it is estimated the actual collection is about 40 sen per litre at current RON 97’s pump price of RM1.80. Drivers also have to pay toll whenever they use roads built by private concessionaires.
So never mind the current hire-purchase rates and the variety of models available in the market, our choices are actually limited to the amount of cash that we can afford to pay every month.
A rule of thumb is that you should not be spending more than a third of your monthly income on car expenses.
Friday, April 24, 2009
Talks To Save Proton Failed
According to a report by The Edge, talks between the car manufacturer Proton Holding Bhd and Europe's biggest carmaker Volkswagen AG and Volkswagen known producers of components --- Van, who last year pushed by the function that the government hopes , Malaysia.
The weekly newspaper has stated that the officials from Proton and Volkswagen met repeatedly, but no concrete agreement was signed. The newspaper added that the talks were not so good and it seems that the German car maker has something "cool" and less worried lately.
The newspaper also quoted a source familiar with the situation with the words: "This period could be considered as my doubts." The Malaysian government is also under pressure to announce details of the partnership for the loss of proton, its status as the country 's biggest rival Perodua Vehicle Service. The government believes that the new Proton, the partnership with Volkswagen , it can help.
In the last week, Proton announced third quarter as a result of losses, which it a more competitive distribution and stagnation. The Company receives a net loss of 281.45 million RGT for the third quarter compared to net income at the end of December it adopted a year earlier, amounting to 86.51 million RGT.
The Second Finance Minister Nor Mohamed Yakcop said that the government was an ad on a strategic partner of the proton in this month. Nobody knows whether it is still Volkswagen or any other company. But after The Edge newspaper, "If this timetable is consistent, known as General Motors, the largest car manufacturer in the world, but still a partner for Proton.
The main goal of a partnership with Proton foreign automotive industry is to further reduce the market share than the competition. It should be noted that if a possible new partnership with Volkswagen on the run from the proton, but after the announcement of the partnership was not confirmed by proton dipped.
Apart from Volkswagen, Proton was in talks with General Motors and PSA Peugeot Citroen in France more than three companies in the automotive Malaysia showed interest for the purchase of shares in the company. It should be noted that the Government of Malaysia has 59 percent of the protons, including the participation of 43% owned by Khazanah Nasional, the investment arm of the government.
For more information about your premises, such as Volkswagen, Volkswagen Van parties, go to the source of trust online.
Growing up with three brothers, Natalie Anderson is too early to give lectures in the world of the automobile. This 29-year-old account manager now dreams of a separate top-of-the-line vintage car.
New MPV made by PROTON
Finally, it comes to the end the long awaiting Proton MPV will be called Proton Exora. The Exora is based on the name of the Ixora flower, with the tagline “Keriangan Keluarga”. “Exora” was the winning entry in Proton’s nationwide MPV naming contest which began in September last year. The month long contest attracted 251,763 entries. The name was given by Norsholihan Bt Abdul Eanich of which she will get 1 unit of the Proton Exora when it is launched this April. Proton Exora MPV will be tagged under RM80,000 and available in 5 colours Genetic Silver, Tranquility Black, Blue Haze, Pyrite Brown and Gaia Blue. If you interested with this Exora, you can place your booking from 21 Feb 2009 onwards. Be the first to drive Proton MPV.
“Exora” was the winning entry in Proton’s nationwide MPV naming contest which began in September last year. The month long contest attracted 251,763 entries. The name was given by Norsholihan Bt Abdul Eanich of which she will get 1 unit of the Proton Exora when it is launched this April.
Proton Exora MPV will be tagged under RM80,000 and available in 5 colours Genetic Silver, Tranquility Black, Blue Haze, Pyrite Brown and Gaia Blue.
If you interested with this Exora, you can place your booking from 21 Feb 2009 onwards. Be the first to drive Proton MPV.
Subscribe to:
Posts (Atom)