The prices of Mazda vehicles in Malaysia have been revised based on the sales tax exemption period. Recently, the government had allocated about RM35 billion into various initiatives to stimulate the economy. As part of the Economic Recovery Plan (PENJANA), the government had agreed to reduce the sales tax for new cars.
For six months, between 15 June and 31 December 2020, the sales tax on locally assembled (Completely Knocked Down; CKD) vehicles will be fully waived (100% off), while it will be halved (50% off) for fully imported (Completely Built Up; CBU) vehicles. This short term initiative is to help boost the local automotive sector by encouraging the sale of new cars.
The sales tax rate in Malaysia is 10%. But there are also excise duties and/or import taxes that are still applicable and affect the final retail price of a vehicle. The tax exemption is aimed more at benefiting buyers of locally assembled cars and indirectly trying to encourage more local assembly activities in Malaysia.
Due to the current situation, the Malaysia Automotive Association (MAA) has reduced its 2020 total industry volume (TIV) forecast for the year to 400,000, a 33% reduction from the earlier 600,000 projection. For the first three months of 2020, the TIV has reduced to 106,428 vehicles, a 26% drop from the 143,064 for the same corresponding period in 2019.
Below are the revised prices for Mazda vehicles (on the road without insurance for private registration in Peninsular Malaysia):