KUALA LUMPUR: German pre-mium automaker BMW Malaysia Sdn Bhd has reduced the prices of its BMW and MINI vehicles by up to 1.9% following the implementation of the goods and services tax (GST) on April 1.

It is joining the ranks of most other car players in the market which have similarly dropped the price of their models — be they entry-level, mid-range or premium marques — post-GST.

Its motorcycle brand — BMW Motorrad — will also see reductions of up to 18%.

“This is part of our concerted effort to transfer the benefits gained from the implementation of the GST early this month,” managing director and chief executive officer Alan Harris told reporters yesterday after launching the 2015 BMW World Malaysia exhibition here.

Harris added that post-GST, consumers will have “a much clearer conscience” in deciding to purchase vehicles of their choice, as price speculation has stopped.

Harris also launched the new BMW i8, the same plug-in hybrid vehicle driven by Tom Cruise in the movie Mission Impossible 4: Ghost Protocol. The car is priced at RM1.19 million here, excluding insurance.

“We are very excited as this is the first time we are introducing the new BMW i8 in Malaysia. It is a beast on its own that communicates the elegant brand that we carry, which is unlike any other,” said Harris.

Besides the BMW i8, the group also launched several other models yesterday, including the BMW X6 xDrive35i (RM718,800), BMW 218i Active Tourer (RM218,800), MINI Cooper Countryman (RM198,888),  MINI John Cooper Works (RM288,888) and BMW Motorrad S 1000 RR (RM108,900). All prices quoted do not include insurance.

Meanwhile, Harris said the opening of BMW World in Malaysia will solidify the group’s position as the premium car brand in the country.

BMW World Malaysia is a three-day event featuring six new vehicles from its three premium brands — BMW, MINI and BMW Motorrad — as well as an experiential showcase of the brand’s landmark concept vehicles for the first time in Asia.

The event is open to the public from today until Sunday, at the Bukit Kiara Indoor Arena.

“In the first three months of 2015, we delivered a total of 1,729 units of BMW, MINI and Motorrad vehicles. This performance reflects the current situation in the automotive industry due to over speculation on car prices,” Harris shared.

Going forward, Harris said BMW Malaysia will maintain, if not accelerate, its momentum in achieving record performance in terms of sales and profitability.

He said 2015 is a challenging year, but there are opportunities for everyone.

The company is always looking at ways to sustain its growth in Malaysia, with exciting plans in the pipeline, he added.

This article first appeared in The Edge Financial Daily, on April 17, 2015.