The federal government has deferred to January 2026 the implementation of the Excise (Dedication of Worth of Regionally Manufactured Items for the Goal of Levying Excise Responsibility) Rules 2019, or for brevity’s sake, OMV/402.
Full rationalization right here, however this mainly implies that come January 2026, Malaysians might pay between 10% and 30% extra for a locally-assembled (CKD) automobile. So anybody wanting a CKD automobile ought to have a look at getting it this yr, and this ahead shopping for curiosity is what’s supporting Kenanga Funding Financial institution’s resolution to stay to its 805,000-unit complete business quantity (TIV) forecast for this yr, Bernama stories.
Notably, Kenanga IB stands out for being the one organisation thus far to foresee greater than 800,000 new automobiles to be bought in Malaysia this yr – RHB Funding Financial institution predicts 730,000, Maybank Funding Financial institution Analysis 750,000, CIMB Securities 755,000 and the Malaysian Automotive Affiliation 780,000. A report 816,747 new automobiles have been bought in Malaysia final yr, breaking 800k for the primary time and beating 2023’s 799,821-unit report by 2.1%.
Kenanga IB stated in a word at present that Perodua, which holds 44% market share and has an all-CKD line-up with a excessive localisation price, is more likely to profit essentially the most, however the premium section could also be hit as upper-tier M40 and T15 teams might maintain again from shopping for new automobiles, downsize to smaller automobiles or change to hybrid and electrical automobiles as focused RON 95 petrol subsidies loom forward.
“Generally, the business’s earnings visibility continues to be good, backed by a reserving backlog of 150,000 items as of end-December 2024. Greater than half of the backlog is made up of latest fashions, alluding to the enchantment of latest fashions to automobile patrons. This pattern is more likely to persist all through 2025 given a robust line-up of latest launches,” it stated, including that battery-electric automobiles might additionally prop up the numbers because it’s the final yr for fully-imported (CBU) EVs to be tax-free.
“We anticipate extra beneficial incentives from the federal government, which has set a nationwide goal for EVs and hybrid automobiles of 20% of TIV by 2030 and 38% by 2040. In the meantime, the federal government will velocity up the approval for charging stations. The variety of proposed charging stations is at present at 4,235 (3,354 constructed to this point), and this could greater than double to 10,000 by end-2025,” it stated.
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