The New Automotive Policy 2014 – Prices going down, but not news on APs
The highly anticipated NAP or National Automotive Policy 2014 was unveiled by Datuk Seri Mustapa Mohamed, the Minister of International Trade and Industry.
After months of speculation, the details were finally revealed although there were some which were not mentioned. Among those covered include:
- Possibility of reducing excise duties gradually
- Car prices to be reduced gradually by 20 to 30% in the next 5 years
- More models and variants to be introduced by the national car makers for 2014. They will be priced at competitive levels.
- More new models will be launched in the local market. They are to be safer models which are greener as well.
- Efforts to be in place to make Malaysia a hub for production of EEVs (Energy-Efficient Vehicles). This includes hybrid, electric vehicles, alternative-fuelled vehicles and those that are fuel-efficient. There will be strategies and efforts to strengthen and enhance the entire value chain that covers job creations, environment conservation, technology transfer and creating of more business and economic opportunities for the local players and producers as well as all involved in the automotive industry.
On the issue of Aps (Approved Permits) however, the government will only be carrying out an ‘in-depth’ study on the impact of terminating the Bumiputera participation in the auto industry in this context and a decision will only be reached after that.