KUALA LUMPUR (Aug 19): Despite the Covid-19 pandemic, Malaysia’s July 2020 car sales volume rose 13% from a year earlier and 29% in monthly terms to 57,552 units on sales tax exemption incentive for completely knocked down (CKD) and completely built-up (CBU) vehicles amid aggressive promotional campaigns by manufacturers and distributors, according to the Malaysian Automotive Association (MAA).

In a statement today, the MAA said a "longer working month” in July 2020 also contributed to the higher sales volume.

The MAA said July 2020 car sales volume, comprising passenger and commercial units, rose 13% to 57,552 units from 50,854 units a year earlier.

Between January and July 2020, cumulative sales volume however fell to 232,245 vehicles from 347,171 vehicles a year earlier.

Vehicle production fell in July 2020. The MAA said the number of vehicles produced, comprising passenger and commercial units, fell to 47,631 units from 48,912 units a year earlier.

Year-to-date, total vehicles produced was lower at 213,680 from 333,552 a year earlier.

Looking forward, MAA said it expects sales volume in August 2020 to be maintained at July 2020 levels on sales tax exemption incentive for CKD and CBU vehicles besides ongoing promotional campaigns by car companies.

Malaysia had implemented the Movement Control Order (MCO) to curb the spread of the COVID-19 pandemic.

The MCO, which was initially scheduled between March 18 and 31, 2020, required non-essential businesses to stop operations, while the people were ordered to stay at home to curb the outbreak.

On March 25, Prime Minister Tan Sri Muhyiddin Yassin said the Government decided to extend the MCO until April 14, because updates from the National Security Council and the Health Ministry indicated an increase in COVID-19 cases.

On April 10, Muhyiddin said the Government was extending the MCO until April 28.

On April 23, Muhyiddin said the MCO would be extended for another two weeks until May 12.

On May 4, news reports, quoting Senior Minister (Security Cluster) Datuk Seri Ismail Sabri Yaakob, indicated that regulations under phase four of the MCO were null and void with the commencement of the Conditional Movement Control Order (CMCO) or phase five of the MCO.

On May 10, Muhyiddin said the CMCO would be extended to June 9.

On June 7,  Muhyiddin said the CMCO scheduled to expire on June 9 will be replaced with the Recovery Movement Control Order (RMCO) from June 10 until Aug 31.

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