KUALA LUMPUR: Perusahaan Otomobil Kedua Sendirian Bhd (Perodua) will reduce between 3.0 per cent and 6.0 per cent of its vehicle prices via cash rebates from today till 14 June.
Perodua will also incorporate the new prices throughout the sales tax reduction period from June 15 to December 31 announced by Prime Minister Tan Sri Muhyiddin Yassin last Friday.
Perodua president and chief executive officer Datuk Zainal Abidin Ahmad said it would want encourage the people to own a Perodua without worrying about being left out.
"This move to fully exempt locally-assembled cars from sales tax is a confidence boost for the automotive industry – not just for car buyers but the entire ecosystem of manufacturers, suppliers and dealers.
"Along with low financing rates at this difficult time, we are cautiously optimistic that this will spur new car sales," he said in a statement today.
In his Penjana Economic Recovery Plan address on June 5, Muhyiddin announced various measures and incentives to stimulate the economy amid the Covid-19 crisis that has gripped the world.
Among the incentives for the automotive industry are a 100 per cent sales tax exemption on new completely-knocked-down (CKD) vehicles and a 50 per cent exemption for completely-built-up (CBU) vehicles until the end of the year.
"Perodua is in full support of the government's move to fully exempt sales tax for the purchase of CKD cars until the end of the year to shore up the domestic economy," said Zainal.
Perodua's current model range comprises the Myvi, Axia, Bezza, Aruz and Alza.
Perodua sold 52,920 vehicles in the first five months of 2020, giving it a 41 per cent market share against an estimated year-to-date total industry volume of 129,401 units.
All current Perodua models have over 90 per cent local content, and last year, the carmaker bought RM5.4 billion of components from Malaysian suppliers.
"As Malaysia's biggest carmaker by volume, we reiterate our commitment to the government to contribute wherever and whenever we can to ensure the industry can get through this difficult time," Zainal said.