Tweet
Relentless rise in COE premiums
A piece of Cat A COE, used for small cars of 1,600cc and below, now cost $34,001, up by 19.8 per cent. Similarly a Cat B COE would now cost $45,501, a 26 per cent rise from its last price.
Premium for the open category, used largely for cars, closed shy of the $50,000 mark, at $49,000.
Premiums for commercial vehicles and motorcycles weren't let off either. Both went up to finish at $36,551 and $1,221 respectively.
Feeding frenzy
Car distributors are in a hurry. In an unusual scene, there were more bids than pieces of COEs before bidding closed.
45 minutes before the close of bidding at 4pm, there were already 603 bids for 372 pieces of Cat E COEs. A similar situation persisted in Cat B - there were 629 bids for 571 pieces of COEs.
The frenzy can be attributed to the pent-up overall demand for cars, stoked up by two factors:
1) last-minute buyers rushing to book new cars before expected price hikes; and
2) early buyers who took the plunge earlier in the year when car distributors slashed prices in a price war.
According to a Business Times report, some distributors had collected "hundreds" of orders when last-minute buyers rushed to book a new car before price hikes.
Another Straits Times report also revealed that Borneo Motors had failed to secure COEs for some buyers who had booked their cars in January, when prices were much lower.
Win 1 Year's Free Fuel Daily with Shell!
The upward trend is unlikely to ease anytime soon however, due to the sudden mismatch in demand and supply.
Industry pundits are expecting COE premiums to hit the $60,000 mark, according to a report in The Straits Times.
And the numbers support this.
Over 1,700 bids for COEs were unsuccessful in March's last bidding. And in April's first bidding, there were 1,665 unsuccessful bids.
Premium for the open category, used largely for cars, closed shy of the $50,000 mark, at $49,000.
Premiums for commercial vehicles and motorcycles weren't let off either. Both went up to finish at $36,551 and $1,221 respectively.
Feeding frenzy
Car distributors are in a hurry. In an unusual scene, there were more bids than pieces of COEs before bidding closed.
45 minutes before the close of bidding at 4pm, there were already 603 bids for 372 pieces of Cat E COEs. A similar situation persisted in Cat B - there were 629 bids for 571 pieces of COEs.
The frenzy can be attributed to the pent-up overall demand for cars, stoked up by two factors:
1) last-minute buyers rushing to book new cars before expected price hikes; and
2) early buyers who took the plunge earlier in the year when car distributors slashed prices in a price war.
According to a Business Times report, some distributors had collected "hundreds" of orders when last-minute buyers rushed to book a new car before price hikes.
Another Straits Times report also revealed that Borneo Motors had failed to secure COEs for some buyers who had booked their cars in January, when prices were much lower.
Win 1 Year's Free Fuel Daily with Shell!
The upward trend is unlikely to ease anytime soon however, due to the sudden mismatch in demand and supply.
Industry pundits are expecting COE premiums to hit the $60,000 mark, according to a report in The Straits Times.
And the numbers support this.
Over 1,700 bids for COEs were unsuccessful in March's last bidding. And in April's first bidding, there were 1,665 unsuccessful bids.
anyone here from transport authorities
Comment