Despite the country being shrouded in haze, the vibes sent out by the big three Japanese brands are clear: car prices are going up. Perodua and Proton may be the top two best-selling brands in Malaysia, but it’s the triumvirate of Toyota, Honda and Nissan – with a collective market share of around 33% – that still sets and validates mass market pricing trend.
Countersteer has recently learnt that the price hike is slated to happen in the beginning of 2016, when current stocks are expected to be depleted. Depending on brands, the lead time for ordering stocks (be it CBU or CKD) can range between three months to six months. For certain companies, the price hike might happen later, especially those saddled with slow-selling inventories. But if you’ve been eyeing popular model such as the Toyota Camry hybrid, Honda HR-V and Nissan X-Trail, best place a booking soon and hope they do not run out of stocks before your turn to take delivery.
As the Ringgit has depreciated some 26% in value against the US dollar since the beginning of the year (or close to 20% since June), it was always going to be impossible to maintain current prices. In case you’re wondering why Japanese brands are affected since the Japanese Yen hadn’t appreciated as much as the Dollar or the Euro, the answer lies in the fact that CKD packs are largely imported from our neighbours (namely Thailand or Indonesia) and are traded in Greenback.
In the words of an industry insider, the expected increase in retail prices “won’t be able to cover the considerable currency movement” as the car brands are weary that too high a hike would further dampen the already weak sentiments. We expect an average of 5% onwards.
So if you’re looking to score a deal, it’s never a better time, but do bear in mind that prices of spare parts are also going up as well (if not already), hence securing a “free” maintenance package that includes parts replacements over multiple years would also be in your best interest.