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 Car price reduction, what can we expect?

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kadajawi
post May 9 2013, 11:05 AM

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I beg to disagree with laptops and computer parts. Go for a cheap power supply, and your computer may die soon, or it will be unstable.

Or my laptop... I bought a Dell. A bit more expensive than a similarly speced Acer, and I topped up a bit for extended warranty. What can I say... It is still working after 5 years, where my friends had to replace their Acer after 2-3 years. laugh.gif

It's not so easy... With CE and IT I would invest in good quality and not just look at specs.

For contis the FL can be a significant upgrade, with new engines, new features, ... while sometimes the exterior remains unchanged.

Also for some reason new tech doesn't trickle down to ASEAN Japanese cars...
mystvearn
post May 9 2013, 11:19 AM

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QUOTE(kadajawi @ May 9 2013, 11:05 AM)
I beg to disagree with laptops and computer parts. Go for a cheap power supply, and your computer may die soon, or it will be unstable.

Or my laptop... I bought a Dell. A bit more expensive than a similarly speced Acer, and I topped up a bit for extended warranty. What can I say... It is still working after 5 years, where my friends had to replace their Acer after 2-3 years. laugh.gif

It's not so easy... With CE and IT I would invest in good quality and not just look at specs.

For contis the FL can be a significant upgrade, with new engines, new features, ... while sometimes the exterior remains unchanged.

Also for some reason new tech doesn't trickle down to ASEAN Japanese cars...
*
Correct. Mybad. There is where "brand recognition" comes into play. If not everyone will get a cherry over a honda cause better specs. I personally had not have a laptop die under my watch. Dell/Asus/Toshiba. Also, if you buy the cheapest laptop with poor spec there is a higher chance they use cheaper components. Same with PC. Buy cheaper stuff components usually mean poor capacitors regardless that cap ayam motherboard can accept a i7 cpu.

Jap cars tend to be over-engineered which each new generation. That is why fewer upgrades come FL time. Conti cars different. The actually have better stuff which they can give as standard but offer it as optional. When FL come, they give stanrd. Seems like there is a minimum set amount of upgrades regardless of FL or not.
phearfiery
post May 9 2013, 11:45 AM

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QUOTE(mystvearn @ May 9 2013, 11:05 AM)
It will change, but very subtle, very slowly. Not RM10k/year difference. Those used car salesman will all bankrupt if you do that. RM5k/year at most. Even then used car salesman will tension. RM5k/year cheaper = RM5k lost per car. Now times 10 cars same make, RM10k gone like that. Unless of course, gomen decide, to remove tax altogether like hybrid-which is unlikely.
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Agreed!
If they do really change it won't be so drastic or extreme
But for now i still wonder is Japanese car price cheaper.now? ( just asking )
Just continue to work hard for your dreams and pray that it will goes to the ways we all wanted.
Cheers smile.gif
achol77
post May 9 2013, 11:46 AM

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QUOTE(kcng @ May 8 2013, 02:19 PM)


Point is, this sensitive topic, requires people to be involved in the industry to understand...
those outside will only see things on the surface and no amount of explaining to them will make them understand...

Let me see if my last 2 line proves me right.
smile.gif
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TRUE TRUE
kadajawi
post May 9 2013, 11:57 AM

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I disagree with Japanese cars being over engineered. Germans probably are more over engineered. Look at the video of a sales man jumping on the open door of a Golf, rocking the car. And after that it is still like new and closes perfectly. Also they so an incredible amount of testing on their cars, under extreme conditions.

Japanese cars were over engineered perhaps, but now they seem to rely more on reputation and old tech.

Contis usually don't skip on their safety features, though they may otherwise be a bit empty. Those things are optional then. Several A and B segment cars now have city brake... A system that stops the car if sensors detect an obstacle in front and it becomes necessary to avoid a crash. And those are very affordable cars that may come without air con.

Also some of these new features that come as standard With the FL aren't available as an option before. I think what you described is more common with Japanese cars.
mystvearn
post May 9 2013, 12:15 PM

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QUOTE(kadajawi @ May 9 2013, 11:57 AM)
I disagree with Japanese cars being over engineered. Germans probably are more over engineered. Look at the video of a sales man jumping on the open door of a Golf, rocking the car. And after that it is still like new and closes perfectly. Also they so an incredible amount of testing on their cars, under extreme conditions.

Japanese cars were over engineered perhaps, but now they seem to rely more on reputation and old tech.

Contis usually don't skip on their safety features, though they may otherwise be a bit empty. Those things are optional then. Several A and B segment cars now have city brake... A system that stops the car if sensors detect an obstacle in front and it becomes necessary to avoid  a crash. And those are very affordable cars that may come without air con.

Also some of these new features that come as standard With the FL aren't available as an option before. I think what you described is more common with Japanese cars.
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Sorry. Not that kind of over-engineered. Japs like to give a lot into the new model, then settle for minor FL updates. Then give more effort in the next model, and minor FL updates. That what I meant by over-engineered. Too much emphasize on new model and relax for FL. Ford also follows this kind of model.

Germans give same amount of effort every time so there is significant improvement over previous model FL or not. Most improvement seems to be coming from VW AG rather than BMW/Merc. VW with its cunning modular platform series build cars like building lego. So their turnover rate is quite fast. They can afford that turnover rate.

Read more here:
http://www.themalaysianinsider.com/drive/a...il-of-carmakers

Meanwhile in Malaysia:
Perodua...nvm sweat.gif
Proton, give a lot of effort, then public buy, public complain, then FL is better. If FL settles all or most issues (public no longer complain), all other FL's are just minor updates just to make it look fresh until about 7 years for next model. The best thing about having local car company is that, public can complain (which they are entitled to) and it will reach proton directly or indirectly. Problem with overseas cars, not that much. Export-centric countries like Japan/German actually need to rely on global public complain, then only settle issues or they find problems themselves through continuous wear and tear usage.

Very simple example is the rims on the original Satria Neo. Those turbine rims. It looked cool to the designers when it first came out. In fact, I have a sneaky feeling the designer played to much Need For Speed Underground with those rims on the car laugh.gif Those rims were later dropped for a more conventional design. Also, the Savvy rear design. That "V" shape thing at the logo. That was latter drop as public did not like it. Gen2 rear seats, cannot fit in tall adults with SN front seats which are also the same. Solution. Persona, and making the seat base lower in the SN.

The take home point here is, if someone promise to abolish all tax, stop and think about it. How will he/she balance the books. I'm not saying it cannot be done. It can be done if on corruption and actually persecuting those involved, but whichever gomen needs to be super efficient in doing so-which is possible. At my estimates, corruption vs tax abolish, the gomen is about RM 200 mil short of funding tax free cars as well as maintaining current subsidised items. I'd rather have cheaper petrol than cheaper car. Cars devalue with price. Petrol nope. It means that with I can drive like I please and not be obsessed with MPG. Well, if they get back all the illegal outflow, then problem solved. A better method is actually to leave that 70% tax for Lambos, Porches, Veyrons-those supercars or cars with big engine displacement or more than 3.5L. Though engine displacement is flawed formula. Better still tax cars based on how fast it gets from 0-100 km. Cars <5 secs 0 to 100 will be taxed 300%. So you know that the super rich are helping subsidise your Telur Gred A.

I favour the super rich being taxed more. Its a win-win situation. Not like Brazil where the rich and poor live side by side. The Finland model is better. The more balance you get, the more compassionate/caring the society is amongs each other.

This post has been edited by mystvearn: May 9 2013, 12:55 PM
kadajawi
post May 9 2013, 01:26 PM

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QUOTE(mystvearn @ May 9 2013, 12:15 PM)
Sorry. Not that kind of over-engineered. Japs like to give a lot into the new model, then settle for minor FL updates. Then give more effort in the next model, and minor FL updates. That what I meant by over-engineered. Too much emphasize on new model and relax for FL. Ford also follows this kind of model.

Germans give same amount of effort every time so there is significant improvement over previous model FL or not. Most improvement seems to be coming from VW AG rather than BMW/Merc. VW with its cunning modular platform series build cars like building lego. So their turnover rate is quite fast. They can afford that turnover rate.

Read more here:
http://www.themalaysianinsider.com/drive/a...il-of-carmakers

Meanwhile in Malaysia:
Perodua...nvm  sweat.gif
Proton, give a lot of effort, then public buy, public complain, then FL is better. If FL settles all or most issues (public no longer complain), all other FL's are just minor updates just to make it look fresh until about 7 years for next model. The best thing about having local car company is that, public can complain (which they are entitled to) and it will reach proton directly or indirectly. Problem with overseas cars, not that much. Export-centric countries like Japan/German actually need to rely on global public complain, then only settle issues or they find problems themselves through continuous wear and tear usage.

Very simple example is the rims on the original Satria Neo. Those turbine rims. It looked cool to the designers when it first came out. In fact, I have a sneaky feeling the designer played to much Need For Speed Underground with those rims on the car laugh.gif Those rims were later dropped for a more conventional design.  Also, the Savvy rear design. That "V" shape thing at the logo. That was latter drop as public did not like it. Gen2 rear seats, cannot fit in tall adults with SN front seats which are also the same. Solution. Persona, and making the seat base lower in the SN.

The take home point here is, if someone promise to abolish all tax, stop and think about it. How will he/she balance the books. I'm not saying it cannot be done. It can be done if on corruption and actually persecuting those involved, but whichever gomen needs to be super efficient in doing so-which is possible. At my estimates, corruption vs tax abolish, the gomen is about RM 200 mil short of funding tax free cars as well as maintaining current subsidised items. I'd rather have cheaper petrol than cheaper car. Cars devalue with price. Petrol nope. It means that with I can drive like I please and not be obsessed with MPG. Well, if they get back all the illegal outflow, then problem solved. A better method is actually to leave that 70% tax for Lambos, Porches, Veyrons-those supercars or cars with big engine displacement or more than 3.5L. Though engine displacement is flawed formula. Better still tax cars based on how fast it gets from 0-100 km. Cars <5 secs 0 to 100 will be taxed 300%. So you know that the super rich are helping subsidise your Telur Gred A.

I favour the super rich being taxed more. Its a win-win situation. Not like Brazil where the rich and poor live side by side. The Finland model is better. The more balance you get, the more compassionate/caring the society is amongs each other.
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I see.

The new Fiesta FL does offer laser guided auto braking, which I believe wasn't available as an option on the previous model. 5 of the 10 engines offered are new (the most frugal one does 3.3l/100 km laugh.gif ). Germany now also gets PowerShift (the previous Fiesta had a torque converter, if they even offered an auto version). The 125 hp version (which we will probably be getting) does nearly 200 km/h... and it's the most frugal petrol they offer. They fine tuned suspension and steering, should be even better now. It has voice control now, and you can set up a key for your kid that will only let them turn on the radio once everyone is wearing the seatbelt, and limit the top speed or the volume of the radio. laugh.gif They even managed to lower the price overseas... but I doubt it will be cheaper here. (The price for the 125 hp engine with DSG should be nearly 80k overseas... and that's without all the extras.)
Anyway, I think that's not too bad for a facelift.

Before a German car (including Ford) is released they do a ton of torture tests though to find flaws. Of course not all are found, but they put in quite some effort.

As for tax free, I think the only way they can pull that off is by stopping corruption. So BN won't be doing it, PR might have been able to do so, but who knows. Maybe they would have been led to the dark side as well.

The thing with the petrol price is that I drive without regard for the fuel consumption, and I guess others do so as well. While that is fun I realize it is not good for the environment, and also not good for our health (more polution by higher FC and the use of old cars that polute a lot, since people can't afford to replace them with newer cars). Also, it would be good if people shift to more frugal cars. Those become more valuable as petrol prices go up. It could be the real price, without subsidies, but also without taxes.

Haha, but what if you buy a Maybach that is electronically limited to 0-100 in 8s? (Car makers may do so...) Low tax then? I think the car price is a good indicator. Cars below 50k have the lowest tax rate, 100k is still very low, 150k gets higher, 200k will be higher yet, 300k will be high and above that you'll bleed. Basically if you are rich enough for a luxury item, then please pay for it. Also, penalities are given for cars without ESP or with less than 6 airbags (the fewer, the higher the penalities). That way car makers can't save money/increase profits by offering less safe cars. Likewise, the ASEAN NCAP rating (if it also does side and pole impacts) can be used to determine the tax. 5 star is tax free, 4 star = +5%, 3 star +10%, ...

This post has been edited by kadajawi: May 9 2013, 01:36 PM
mystvearn
post May 9 2013, 02:09 PM

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Yes, unless the BN government wakes up soon, by the next 3 GE, they can forget about ruling. Why 3GE and not next GE, the king-maker is Taib Mahmud. I don't see Sarawak fall into opposition hands any time soon. In order for PR to win, they need to overcome the gerrymandering. BN needs to have less than 40% popular vote before you can actually see anything.

More info here: http://en.wikipedia.org/wiki/Gerrymandering#Malaysia

Maybach? Nvm, already defunct tongue.gif Also, here is another problem. Best method so far is by emissions. However, those kampung people with their 120Y cannot afford to replace their cars. Need to think about that one. At least in UK, they overcome this by excluding tax for cars 25 years or more. As cars which are 25 years or more are considered classic and pay a standard tax rate which is a lot cheaper.

Yes, that method is best. So you tax cars and people by income bracket. You cannot put 55% income tax across the board. 55% of RM3k is different compared to RM3mil income. Sure you get more from 3 mil, but 55% that guy on 3 mil can still eat Jenahak and Salmon everyday.

NCAP cannot be used for tax as cheap cars are usually poorer equipped and have poor body rigidity. Saga only 2 airbag, so will be higher in tax than some Volvo with its pedestrian airbag, lane departure warning and auto brake application. You can limit a baseline car of what to expect. Meaning, if no airbag, tax 50%, but by doing so, you will also increase the base car price across the board. There is no problem with this method. However, it can only be done once Malaysians value their live. If Passengers all wear seatbelt then can be done. If not, forget it. If there is no drive from the public the gomen will not implement. I'm still not sure if you still kena saman or not of not wearing rear seatbelts?

When mandatory airbags for new cars was introduced, car makers complain need to charge RM3k more for airbag. Now all settled. Truth is, car makers want to make most profit with least amount of stuff. That is why the vios tin milo edition is still selling very well. Actually it cost lest to put airbag than that especially if you are a huge car manufacturer that buys in bulk. Good thing is that, people are now getting picky with their cars. Those who don't want a Preve CFE (c-segment) are happy with their Kia Rio/Ford Fiesta (b-segment) car. Smaller car, similar price-better brand, better fit and finish. Proton is heading for trouble if do not see this. The trend now is actually small luxury rather than big luxury car. Fiat 500, mini cooper are selling well because they are small and sort of luxurious. Price/car size no longer holds true in future. At the end of the day, unless you use your D-segment Camry's rear seat all the time, chances are the rear seats are in great condition, as most of the time the car is used for getting to work. The only time you will need a big car is balik kg with those kuih raya and a trip to IKEA. If you have family, then yes you will use the rear seats more often. Even then for a working family with 2 kids <12 years, with 2 cars, is better to get an A-segment and C-segment car. The A-segment is the one you use everyday. C-segment only for balik kg, supermarket. Those who can't afford 2 cars, are better off with settling with a B-segment car. Those who can afford may also want the same cars. Husband and wife edition ford fiesta. Can be done. Not sure why it has not been done. My wife and I both use SGS2 (different colours) laugh.gif D-segment cars are unnecessary now especially the general trend with each car generation is to grow bigger in size. The only use I can find a D-segment car is to impose yourself onto others. You'd be surprise that people are more willing to give way when they see a D-segment car going fast on highway. Also, another reason of using a D-segment car is to show to others I'm rich.

This post has been edited by mystvearn: May 9 2013, 02:34 PM
BravoZeroTwo
post May 9 2013, 02:52 PM

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mystvearn,
What's SGS2 mean ? Thanks.
mystvearn
post May 9 2013, 02:54 PM

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QUOTE(BravoZeroTwo @ May 9 2013, 02:52 PM)
mystvearn,
What's SGS2 mean ? Thanks.
*
Sorry about that. sweat.gif

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BravoZeroTwo
post May 9 2013, 03:02 PM

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QUOTE(mystvearn @ May 9 2013, 03:54 PM)
Sorry about that. sweat.gif

Samsung Galaxy S2 phone
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Oh ok. Thanks.
kadajawi
post May 9 2013, 06:13 PM

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QUOTE(mystvearn @ May 9 2013, 02:09 PM)
Yes, unless the BN government wakes up soon, by the next 3 GE, they can forget about ruling. Why 3GE and not next GE, the king-maker is Taib Mahmud. I don't see Sarawak fall into opposition hands any time soon. In order for PR to win, they need to overcome the gerrymandering. BN needs to have less than 40% popular vote before you can actually see anything.

More info here: http://en.wikipedia.org/wiki/Gerrymandering#Malaysia

Maybach? Nvm, already defunct tongue.gif Also, here is another problem. Best method so far is by emissions. However, those kampung people with their 120Y cannot afford to replace their cars. Need to think about that one. At least in UK, they overcome this by excluding tax for cars 25 years or more. As cars which are 25 years or more are considered classic and pay a standard tax rate which is a lot cheaper.

While it would be a shame to see those 120Y disappear... I do think in this case they may be able to afford newer cars. Either since affordable cars get cheaper (government can allow them to get long term loans, give them money to replace their old cars, ...), or since second hand cars get cheaper. Then they may be driving a second hand Saga BLM etc.

Also, at least in Germany not every old car can apply. It has to be in good and ORIGINAL condition. Aftermarket parts, unless they were available back then, won't work. Basically you have to show that it's a classic worth preserving, perhaps even brought to classic car shows, classic car rallying etc. (It may not be that strict, but you get the drift).

QUOTE
Yes, that method is best. So you tax cars and people by income bracket. You cannot put 55% income tax across the board. 55% of RM3k is different compared to RM3mil income. Sure you get more from 3 mil, but 55% that guy on 3 mil can still eat Jenahak and Salmon everyday.

NCAP cannot be used for tax as cheap cars are usually poorer equipped and have poor body rigidity. Saga only 2 airbag, so will be higher in tax than some Volvo with its pedestrian airbag, lane departure warning and auto brake application. You can limit a baseline car of what to expect. Meaning, if no airbag, tax 50%, but by doing so, you will also increase the base car price across the board. There is no problem with this method. However, it can only be done once Malaysians value their live. If Passengers all wear seatbelt then can be done. If not, forget it. If there is no drive from the public the gomen will not implement. I'm still not sure if you still kena saman or not of not wearing rear seatbelts?

When mandatory airbags for new cars was introduced, car makers complain need to charge RM3k more for airbag. Now all settled. Truth is, car makers want to make most profit with least amount of stuff. That is why the vios tin milo edition is still selling very well. Actually it cost lest to put airbag than that especially if you are a huge car manufacturer that buys in bulk. Good thing is that, people are now getting picky with their cars. Those who don't want a Preve CFE (c-segment) are happy with their Kia Rio/Ford Fiesta (b-segment) car. Smaller car, similar price-better brand, better fit and finish. Proton is heading for trouble if do not see this. The trend now is actually small luxury rather than big luxury car. Fiat 500, mini cooper are selling well because they are small and sort of luxurious. Price/car size no longer holds true in future. At the end of the day, unless you use your D-segment Camry's rear seat all the time, chances are the rear seats are in great condition, as most of the time the car is used for getting to work. The only time you will need a big car is balik kg with those kuih raya and a trip to IKEA. If you have family, then yes you will use the rear seats more often. Even then for a working family with 2 kids <12 years, with 2 cars, is better to get an A-segment and C-segment car. The A-segment is the one you use everyday. C-segment only for balik kg, supermarket. Those who can't afford 2 cars, are better off with settling with a B-segment car. Those who can afford may also want the same cars. Husband and wife edition ford fiesta. Can be done. Not sure why it has not been done. My wife and I both use SGS2 (different colours)  laugh.gif  D-segment cars are unnecessary now especially the general trend with each car generation is to grow bigger in size. The only use I can find a D-segment car is to impose yourself onto others. You'd be surprise that people are more willing to give way when they see a D-segment car going fast on highway. Also, another reason of using a D-segment car is to show to others I'm rich.
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I disagree. NCAP results take into account that small cars are less safe than big ones. It is meant to compare cars within each class, so that people can base their buying decision on that. Also, the Fiesta shows that safe cars can be made for 80k (and that is AFTER the big taxes). The Preve CFE, if it had 2 more airbags, is a safe C segment car that can sell for around 70k, despite high taxes. Drop those taxes and who knows, the Preve could be around 40-50k? A 5 star C segment ANCAP car. Relatively safe cars need not be expensive. Most B segment cars have a 5 star rating, many A segment cars too.
Making the tax dependent on the baseline specs is interesting, though IMHO not necessary. Because of the high taxes on a car with less than 6 airbags, the car becomes more affordable if it has those 6 airbags (the rest can be baseline spec). Since car taxes are very high now, car prices would not go up if this were put into place. At most it may stay at the same level for dangerous cars, while safe ones get cheaper.

As for safety, I think at least some Malaysians care about safety, but they think a crash at "low" speeds, like 60 km/h, is not dangerous. The media is needed to educate people that is NOT the case. One could build public demonstration trucks that have a car interior on rails which abruptly stop, simulating a crash. Then put mannequins and simulate a crash at 30 km/h (which can be deadly already!). Tour around the country with that, and show it on TV too. Show the negative effects of airbags when passengers don't wear seatbelts. In Europe too people didn't want to wear them, until campaigns were done to educate them. Just look at the TV spots from the UK, which look like Tarantino's Death Proof.

I don't see those small luxury cars doing well in Malaysia (though I don't visit KL often). Size matters here.

Btw., nope, I'm not surprised by people giving way to big/fast looking cars. In Germany we even have a word for that... "Überholprestige" (21000 results on Google). It "measures" how likely it is that others will give way if you drive on the highway. The owner of a slightly tuned Opel Corsa A (B segment car from the early 80s, so really rather small) complained about others never giving way or pulling into his lane on the highway... despite the fact that his car will easily do 350+ km/h. That's probably also why especially German cars look super agressive from the front these days. The Mazda MX-3 seems to have been a car with good "Überholprestige", though it is not that fast. But it looks fast.

To be honest when I'm on the highway in my Kangoo people do give way, though I sometimes do have to flash my high beam. IIRC it wasn't so before I had DRL... Sometimes I wonder what they are thinking, though I'm not driving fast, only around 130...
mystvearn
post May 9 2013, 06:42 PM

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Good points there. I favour the tax by car price category. That way the rich are forced to pay more and subsidies remain. Lift taxes for <RM150k, Increase taxes for cars above RM500k to 300%. Retain for the RM200k-500k. This is a socialist move, however I doubt it will happen cause the policy makers don't want to be poorer in the process of helping the poor. They would rather have the middle class be poorer to help the poor. That is why an undergraduate now in urban areas earning RM2.5-3k/month are the most poorest in the country. Cannot get BR1M, cannot qualify for cheap house schemes. Also, got that PTPTN to pay off.

Currently though, under the Najib, subsides are less of his priority and is more catered to the rich. Unlike PM's before him. You have the 1MDB and that Iskandar region. That iskandar region is the only reason why BN lost in Johor. Normal Malaysians cannot afford to stay there. I'd rather have something like Pantai Dalam housing area rather than making some Monaco in Johor where foreigners invade and buy up land. Locals look on and become kuli to those rich people. The effect will not be seen now, but in the next 10-20 years. I understand why he is doing this:in order to attract foreign investment and people stay here. The problem is, those rich people will pay the least amount needed just to stay here, then rip the country to shreds. Their money is still in offshore accounts.

Like I said before, if you hutang people in your own currency you cannot go bankrupt. If I want to buy car with mystvearn currency, I cannot go bankrupt. I just print more notes. Unfortunately, if you hutang people with their currency, your screwed.
http://www.bloomberg.com/news/2013-05-08/g...aysia-bond.html

The problem for the BN gomen now is that:
1. It is not popular. The rich kid becomes the Ketua tingkatan, but people don't like. The good thing about this time is that, the Ketua Tingkatan knows it is not popular, unlike before going around with keris and frogs.

2. It has to keep on giving BR1M and all those aids - which is good but does not solve anything, especially if you make GST. Sure gomen gives aid, but then it is taken away with GST, AES etc. Once you give something, no way you can get it back. Same with hybrid-free tax.

3. It has to adopt the PR's jingga book strategy just to remain relevant. So, I actually think come budget end of the year, there are goodies for cars. So if you can hold off buying cars, just hold off for now. I think partial tax lifts will be done. If not, they still promised to remove that 20-30% tax. Don't expect the Preve to be cheaper by RM20k overnight. Not going to happen. Though, VWs can be more expensive by RM30k overnight tongue.gif

I think there is nothing left to cover under this topic the TS mentioned. Only thing left is to wait and see until budget 2013. Good thing about this generation is that, even though you forget stuff, stuff are easily accessed. No need to go through newspaper clippings to find stuff. Google alone can solve that. People will hold the gomen to its manifesto word for word.
kadajawi
post May 9 2013, 09:25 PM

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I'm in favour of a combination. Base tax is 0%. If a car has a 4 star rating, +5%. 3 star +10%. CO2 above 120 whatever the unit is, +5%, above 200 +5%... something like that. Car price above 50k 5%, above 100k 10%, ... etc. Maybe not as rough.

As for Iskandar... I'm fine when foreigners come and bring in money. After all that's what the country can need. But I think those places are probably bought more as an investment... which again, is fine, cause once the market has collapsed we can get a nice house and move there laugh.gif What I find bad is that houses in general have become ridiculously expensive. That's plain wrong.

As for Goldman... I don't think it is ever a good idea doing any kind of business with them. They don't intend to serve their customers, they intend to serve their bonuses.

GST doesn't only take from the poor, it also takes from the rich. While those aids are (hopefully) just going to those in need. It always depends, I'm used to a 16 and then 19% GST... as long as there is something to balance out the losses due to that it's fine. But yes, it would mostly screw the middle class.
mystvearn
post May 9 2013, 09:41 PM

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Iskandar is a disaster for locals. Before Iskandar, Singaporeans already buying up houses at JB so price goes up. Locals cannot buy houses down south. Iskandar only accelerates the problem. Aside from houses, food also goes up in that area. Friends in JB say SG is taking over JB. Their money is big. So over here they can live like millionaires, drive on PLUS highway at 180km and get cheaper fuel as well.

That is why I do not agree with Najib and what he is doing. He is trying to Londonise KL with that Tun Razak commercial centre thing, also trying to Monaco Johor with Iskandar.

GST takes from everyone, but the poor will feel the most. Actually, the rich pay less than the poor for their food. People who are rich can afford bulk. If rich and in management sector, you will be invited to dinner, kenduri here there, rasmi this and that. Also get saguhati while doing it. If don't like that saguhati, wrap it up, give it as wedding gift to someone else.

I hate GST. Hated it when it was 17.5% and hate it even more when it is 20% (in UK). 2 years ago, just before the VAT goes from 17.5 to 20% beginning 2012, the Christmas sale was "Beat the VAT". So that time you see people make huge purchases to beat it like household items to get it cheaper. Used to it, yes-nothing you can do.
kadajawi
post May 9 2013, 09:54 PM

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As for fuel they have to fill up with 97 though, so at least it is not subsidized.

Yes, they can live like millionaires, but then they are robbed. laugh.gif

It depends on if the poor feel it the most... if the government gives them handouts to balance it out, it will be the middle class who suffer the most.

But we are kind of off-topic...
mystvearn
post May 9 2013, 09:59 PM

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Yes, we are definitely out of topic, but it is necessary. In order to understand car prices, you need to understand the economy-which is what we are doing now tongue.gif

I'm taking a break from replying tongue.gif
Nyiwon
post May 10 2013, 10:38 AM

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Haizz, went to Sydney for holiday and saw cars there really damn cheap

Toyota Camry cost AUD 30k

Honda Civic AUD 21k

Come back see malaysia price really want to cry cry.gif
chansellor
post May 10 2013, 11:01 AM

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QUOTE(mystvearn @ May 8 2013, 12:41 AM)
Like I said in paultan. This will be a very long reply...sorry. You only need to understand this once.

Car sales will be like normal-car prices gradually slash-by not much. Lets say that 20-30% removed over 5 years. You will not feel it immediately as newer models of the same make will go up with each model (except for the VW Golf Mk 7 which is the same price mk6-mk7). Price goes up with inflation. Unavoidable. So gomen remove that 20-30%, so the newer model will actually cost about the same as the model it replaces.

It is actually worse in UK. I've been there 7 years.
Car cheap. Petrol £1.40/liter with the gomen there increase petrol prices twice every year by few pence. Then, labour, parts cost expensive. That is why people there, normal service all DIY. Even change broken light also DIY. This is because normal service ~£300. Over here RM300. Our labour is cheap. Who the hell wants to pay RM1.5k for routine service. Also, in UK, there is a 20% VAT on almost every item you buy. However, in UK you can survive with public transport alone. Cannot be done here.

We actually have it way better compared to them. Sure car expensive, but our purchasing power was never big to begin with. £1 = RM4.7x. Rafizi's statement is a populist move. Can be done, but gomen need to be ultra efficient/no corruption. Even if PR come in, Bank Negara will step in if budgets not balanced. PR wants to balance both cashflow and make cars cheap the same time.

Even if PR come in, Proton will survive. There are more than 10k people working in Proton. They have family members. Overall you got at least 30k people working from parts to SC. If you close Proton, who are going to give them jobs. 30k is a lot of people that can vote. Plus that with their sedara mara, any gomen that comes in cannot just close shop.

Rather than wishing "Proton Just Die" better bring in people like DSZ. DSZ was going somewhere. Now it is DRB's problem. Problem is, my sources inside Proton now a lot quit, DRB has a ruthless culture. That is why you see Proton Motorsports fb and Gomen fb website have opening places for Proton. I think I saw that last week. At least 30 vacant places, including senior level jobs. If you are qualified, better apply there. At least now you can help make it better rather than just talk: "Proton just die".

For the next 5 years, maybe current BN can copy the PR manifesto, say we will abolish 70% tax, after increasing fuel price, GST. Bank Negara as the safekeeper non-political organisation will make sure that if car taxes are removed, the nation does not go bankrupt. If PR comes in, and Bank Negara does not agree, the 70% will not be done. Bank Negara already come out with a ruling to for car purchase. Loan based on NET income, not GROSS income. This is done to protect the Malaysian consumer in order not to be in too much debt.

So, a cikgu sekolah, can no longer buy a RM300k Merc/BMW based on the Gross income of RM3k but must minus expenses. So now can only qualify at most a RM 70k car.

Bank Negara also needs to monitor cash outflow, currency levels, attack against currency (forex speculation), market trends. That is why, even though the gomen banyak hutang, as long as the hutang is done in RM, gomen will never go bankrupt. If Malaysia hutang China with RM, Malaysia will never be out of pocket, because Bank Negara can just print more money. The problem is when Malaysia hutang in €, $, £. Now, Malaysia cannot just go print those currencies. Most easy example: Go wiki Hyperinflation, specifically Zimbabwe. That country kena hentam kaw-kaw by UK (mostly) and forex traders, currency worthless-but the country is still working. In fact, if you noticed, from 1 bil Zimbabwe : 1usd, now 10k zimbabwe : 1 USD. That currency fluctuates too much for it to be considered stable. Once Zimbabwe currency is in freefall, the forex traders will buy it back. So the currency will have value again.

This is the same problem faced when Malaysia economic crisis. Tun M go ask people to spend. Logic behind this is if money is not circulated, it is worthless. You got money, simpan under bantal, it does not generate income. At least money in bank, bank can use for investment. Using money during an economic crisis to buy stuff actually is one method to make currency stable. Other methods include devaluing currency. Right now, if you notice, RM is quite strong against USD, GBP, but our currency is actually pegged by Bank Negara. Bank Negara now primarily follows the China Renmibi. I think it is at RM1 : 2 Renmibi or somewhere there. USD not a stable currency to peg on. Renmibi is artificially devalued. US, UK all dah ask China to increase currency. The economic crisis in UK, US is partly caused by China. China keeping its currency worthless, so outflow of currency from UK, US as they import China made items. Now China use it to buy gold reserves, and not importing stuff from UK/US block. So what happens is you see the Mat salleh so poor now. The € currency so bad. China also use the money to develop stuff inside its country, further alienating the Mat sallehs.

Bank Negara sees this, and decides, we will follow China at a 2:1 ratio. Why 2:1? It seems that Malaysia's manufacturing/output/export capacity is worth twice as much as China. That is in simple terms. So we are worth twice compared to China labour. Also, it protects the RM from the Forex speculators quite nicely. So you see that even though our RM: Renmibi may change, it will not be drastic. Of course, we based the currency on the gold reserves, but Bank Negara kind of binned that idea after our currency was attacked. Go wiki Malaysia currency. Malaysia was a key player in Forex exchange. Before the econ crisis, the country was the top 5 player in world currency manipulation. That was how maintained RM value.

If we followed DSAI, borrow IMF, Malaysia will surrender its RM sovereignty to a foreign body. IMF will bail out the country, but RM will no longer ours to control. See the € now. Its more of Germany dominating currency against Greece, Spain, Ireland, Italy, Cyprus. Those countries kna tibai with Germany. Why Germany ok, the rest KO? Germany is a net exporter. IT makes stuff people want to buy. VW AG, BMW AG, Merc AG, all from Germany. China also want German cars don't want some Cherry.

The problem with not borrowing from IMF: our RM reserves was wiped out. More like the Forex speculation Malaysia was happily doing before got wiped off. IMF, and matsalleh say currency pegging is cheating. Actually it is sort of cheating. That time RM was pegged to USD at rate of 1USD: RM4, then lowered to RM 3.8, then RM3.5. After that we pegged to Renmibi. That is why now you see we have better currency to USD/GBP. I went to UK at a time when £1 was RM 7.2. Now it is RM 4.7. Before crisis it was RM 3.8 (best). How is this pegging possible? By controlling outflow of RM. That is why, if you got kids studying overseas, you want to hantar more than RM10k, need to get Bank Negara approval.

I suspect that the US/UK currency will devalue more and Malaysia will remain relatively stable with China. The matsalehs UK/EU/US cannot do anything with China. China allows daily currency trade. At the end of the day, the currency resets to a rate determined by the central bank. Also, China already bought USD 20 trillion of US bonds, at least. That time when USD was before crisis. That Meryl Lynch, Lehman Brothers crisis. Now, China is buying up all the gold it can get. Your wedding ring included. Last I read, China has the 6th highest gold reserves in the world. 1st - still US. Within 20 years, the gold reserves should be on par or surpass US.

So, how is this related to cars?
A lot. RM strength determines how much you pay for the overseas car. Will not matter a thing if you buy Proton. Its local, so foreign exchange means nothing. A stronger RM will allow Proton to source parts at a cheaper price based on exchange rates. Higher RM value=cheaper BMW. Recently, Japan devalued its Yen because its car, even PS3/Nintendo cost too much to make in Japan for it to make a profit overseas. This was allowed by the G8 which Japan was in. Japan purposely devalued its currency in order to make its exports more attractive. If not, it cannot compete with Koreans/China. What does this mean to the Jap people, they noticed that in order to stay competitive, take a currency hit. So making currency worth less, means they need more Yen to import that BMW. Also, the cost of daily goods goes up, if its imported.

So before you hentam the gomen, say UK cheap cars. UK people are paying the price for free trade. The rich people in UK are not affected. Even middle class, slightly affected. Those poor people in UK are worse hit. Oh, about that 70% tax thing. That is just a method used to balanced the prices. Rakyat dok complain memanjang, nanti gomen buat like UK terus ada yang kecut perut. Put GST, let petrol prices be determined by market value. Soon, you will need insurance to enter hospital in Malaysia. Malaysia has one of the best healthcare in the world. Go google UN report. In 2015, there will be no places for Doctors. No automatic places. Need to take test. We have reached developed world status on Doctor:population ratio.

The well off will be ok. The middle class will become the just above poverty level, and those worse off will be merempat if the gomen totally lepas tangan like UK/US. Not subsidising eggs, flour, oil, and essential foods.

This is not my view. This is the world economy.
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Woah...

#NICE.

BravoZeroTwo
post May 10 2013, 11:16 AM

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Joined: Jul 2012
QUOTE(Nyiwon @ May 10 2013, 11:38 AM)
Haizz, went to Sydney for holiday and saw cars there really damn cheap

Toyota Camry cost AUD 30k

Honda Civic  AUD 21k

Come back see malaysia price really want to cry  cry.gif
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Personal tax in AUS is 40% if I am not wrong. You want ?

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