KUALA LUMPUR (Aug 15): Malaysia, which is still drafting its new National Automotive Policy (NAP), expects to unveil it by end of this year. International Trade and Industry Minister Darell Leiking said the new NAP will include the outcome of discussion between the Finance Ministry (MoF) and International Trade and Industry Ministry (MITI).
Leiking said in Parliament today that under the new NAP, MITI will work with MoF to review the excise duty for imported cars.
"We are still working on the new policy, coming up with new NAP, which the ministry (MITI) will be announcing by end of this year. The new policy would include the outcome of discussion between the MoF and us on reviewing the excise (duty), if needed," he said.
For now, Leiking, who cited the existing NAP, said the government is maintaining the excise duty for imported cars. He said excise duty reduction is only offered to cars that are being assembled locally, or complete knock-down (CKD) vehicles to increase the industry's competitiveness.
Leiking was responding to Labuan MP Datuk Rozman Isli's query. Rozman had earlier asked MITI to state if Malaysia's third national car project will proceed, and whether the ministry will reduce excise duty for imported cars in the first category with engine capacity at below 1,600cc.
Leiking said the third national car project is still in proposal stage, and the project will be driven by the private sector as previously stated by the MoF.