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KUALA LUMPUR: The Malaysian Malay Vehicle Importers and Traders Association (PEKEMA) asked the Ministry of Investment, Trade and Industry (MITI) to increase the number of used imported vehicles to 50,000 units per year compared to the 35,000 units currently by maintaining imports of RM10,000 per unit.

PEKEMA President, Datuk Mohamed Nazari Noordin, said that the increase in imported vehicles will bring benefits to all parties involved in the imported car industry and downstream industry.

"I believe this step will be able to increase economic growth exceeding RM2 billion every year donated from the imported vehicle industry. In addition, he also generated the results of vehicle imports to MITI.

"In addition, the Royal Customs Department of Malaysia (JKDM) will also generate a quotation of proceeds from import duties, export duties and sales taxes.

"It will also generate income for other industries such as banking, insurance, vehicle warranties and others," he said at the 42nd Annual General Meeting (AGM) of PEKEMA here.

He Was Inaugurated By The Minister Of MITI, Tengku Datuk Seri Zafrul Tengku Abdul Aziz.

Mohamed Nazari said, the government policy that introduced the Open Import Permit (AP) Policy has increased the number of AP holders from 100 companies to 300 companies so far.

"Therefore, the allocation of 35,000 APs a year is not enough to be used by all PEKEMA experts.

"I really hope that MITI can approve the application to increase the number of used imported vehicles by 15,000 units to 50,000 units per year in order to give more space for growth in the national vehicle market.

"In terms of sales percentage, it is only 6.8 percent of the total industrial total (TIV) of 725,000 units by the Malaysian Automotive Association (MAA) for 2023. In addition, not all PEKEMA expert vehicles can be sold in the year of entry of this vehicle," he said.

Meanwhile, Tengku Zafrul said, MITI will refine PEKEMA's reserve to increase the number of used imported vehicles from 35,000 to 50,000 units a year.

"MITI will make an assessment based on the latest data with PEKEMA and the Ministry of Finance (MOF) for this purpose. The limit to 50,000 units is requested because the current level of 35,000 units has been more than 30 years and does not give an idea of what has happened in this time of the year.

"The Ministry will refine and will collaborate with PEKEMA to explore the principle of justification why this stage needs to be seen again," he said.

"So, MITI will make a decision based on the latest data and at the same time, this issue needs to be discussed with the MOF," he said.

In that, through AGM PEKEMA, Datuk Zainuddin Abd Rahman who has led PEKEMA for more than a decade made a decision to resign from the position of President.

According to him, the decision was made to open up opportunities for new leaders to take over the leadership in this unity.