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PETALING JAYA: The Malaysian Automotive Association (MAA) expects the total sales volume for the automotive industry to be better in the first half than the second half of 2021 with the continuation of the impetus from the government’s sales tax exemption incentive.
President Datuk Aishah Ahmad said the extension of the sales tax exemption under the National Economic Recovery Plan (PENJANA) until June 30,2021, plays an important role in helping to spur vehicle sales in the first half of the year.
"There are possibilities that sales will drop within three months after the PENJANA programme ends before sales picking up again.
"However, we have not applied to the government for the extension of the sales tax exemption," she told the media after the MAA's 2021 annual general meeting here today.
Aishah said the number of vehicle sales this month is expected to be higher than in February, as most Japanese car manufacturers are pushing for deliveries to ensure they get positive data in their financial year results at the end of March.
"The resumption of the Road Transport Department's full service for vehicles transaction will also help improve sales in March," she added.
Meanwhile, Aishah said the MAA still maintains its total industry volume forecast of 570,000 vehicles for 2021 despite the fewer number of vehicles sold in January and February due to the Movement Control Order.
"Due to the PENJANA initiatives, the demand for vehicles is still huge. So we hope the sales volume will be much better in the months ahead," she said. - Bernama