2nd Car price to drop 20% in 2009

[Doink]

Got this from a reliable source...
In view of the economic weakness,we will not be able to see any good growth in 2009 as the people is still spending for the season of Chinese New Year and starting of the new school semester.It is with this points and some other points it is assumed the starting from March 2009 everything will be very bad...Malaysian is still cushioned by the fact that we are not depending heavily on Industrial for the economic growth but we have fuel export and some natural resources that generates income.First is the slow down of the industrial and electronic i(e & e)industry.Now we see that automakers are facing problems in making ends meet.In view of this problem.demand for new cars will be very low and sales will drop.This will bring to the price drop of new cars and hence the 2nd hand cars will have its price drop also.Most affected is the medium range cars (2000c.c. up to 3500c.c.)where the price will drop quite significant.People will start holding on to their cash flow and make do with what they have currently for the time being.Credits and loans will slowly make their impact that many or most of the consumers spend on credit cards and buy cars using loan.Many people have defaulted on their loans and the income from own business and salary is starting to go slow.Even the reduction from 11% to 8& deduction of the EPF wont help much in spending other than giving u the extra 100 bucks for one whole month.

What is your view on this agenda??

Please comment

 

[cyloo7]

I agree with you. The impact of economy slow down will be there, worst by next year. No matter how cheap the car be, people will not buy it. Keeping cash is more important, one must keep the amount of money equal to your 6 months salary, in order to survive if one lost the job. The next sector affected is the car accessories, most will be on hold on the car add on luxury stuffs too.

 

[drewn123]

Juz buckle up, and hold steadfast... We Malaysian still haven't sen the worst of this GLOBAL RECESSION. It's juz a matter of time. Nothing we can do, other than take care of our financial health and hold tight the job we have.....

We can only PRAY tat this recesion will be a short 1 before it become bullish again..... Really hope it won't drag until a few years, by then many ppl ald kena kau kau......

Bump:

I agree with you. The impact of economy slow down will be there, worst by next year. No matter how cheap the car be, people will not buy it. Keeping cash is more important, one must keep the amount of money equal to your 6 months salary, in order to survive if one lost the job. The next sector affected is the car accessories, most will be on hold on the car add on luxury stuffs too.

If all juz save, save, save...... then this economic recession will drag even longer. The idea is to have sound/careful spending in order to spur business and prevent businesses from closing down.

Less spending>>Less business>>Close Shop>>Retrenchment>>No job>>

No money>>Crime Rate ++>>Less investment

Prices in general will drop sharply, interest will be lower..... this is to spur spending by our government

 

[BLaCkHoWLiNG]

What they reduce, they increase in interest rate

 

[Mishima]

If all juz save, save, save...... then this economic recession will drag even longer. The idea is to have sound/careful spending in order to spur business and prevent businesses from closing down.

Less spending>>Less business>>Close Shop>>Retrenchment>>No job>>

No money>>Crime Rate ++>>Less investment

Prices in general will drop sharply, interest will be lower..... this is to spur spending by our government

Can't agree less about this fact. The more we consumers try to save, the worse scenario or outcome may result in the long run. And imo, the only way to stabilize the country's economy is to allow the currency flow into us.

 

[Doink]

if the economy is bad...who will be the ones who dares to spend more????
will any of u want to spend more than necessary if you see the economy is this bad.
we must first find the source to all this problems...rising in dependency on fuel is the main culprit.
we use fuel to transport,fuel to heat the house,fuel to cook...before the rise of the price of the fuel there isnt any such issue.everytime the price increase...everything increase...but when the fuel price drop...nothing drops...

 

[ken yeang]

I suspect the coming chinese new year will be rather gloomy. In fact, many supermarkets are not stocking goodies like they used to be. This is a clear indication that the recession is around the corner. Many has felt it, it's just nobody openly agreeing to the fact. Even the Malaysia Govt are reluctant to say we are facing a recession..

 

[EvolutionZ]

lets keep our finger crossed. our economy is still sustainable compared to many giants countries that slumped into recession. anyway i do agree partly about the car market slowdown in year 2009. its true ppl are holding back, but in term of luxury cars like 2.0L & above, but transportation is still a necessity, therefore lower range cars, be it new or used still has its substantial market....ppl are buying as mean of transport, those ppl will narrow down their choices to cheaper cars and more lower maintenance cars especially low fuel consumption one to fulfill their transportation need...it is in view with our current public transport network which is still very weak compared to many developed countries...

therefore, majorities of smaller cc or lower price cars, i would say it will still sells, but to a very price sensitive tag...

 

[drewn123]

if the economy is bad...who will be the ones who dares to spend more????
will any of u want to spend more than necessary if you see the economy is this bad.
we must first find the source to all this problems...rising in dependency on fuel is the main culprit.
we use fuel to transport,fuel to heat the house,fuel to cook...before the rise of the price of the fuel there isnt any such issue.everytime the price increase...everything increase...but when the fuel price drop...nothing drops...

Spend in ur means, not splurge excessively..... Rational spending and buying locally made goods instead of imported goods. Even if the brands is foreign, as long as there is a plant in Malaysia. The demand for the item/goods will help to prevent retrenchment of Malaysians (Hopefully.. LOL)

However, it's always better to stick to local brand/local produced instead of foreign brand/local produced... We are all greedy to a certain extent, who don't want to earn a bigger margin??

The problem with Malaysians is tat we don't practise our consumer rights to the fullest. I.e. boycott stalls tat sells expensive drinks/foods

We still patronage these stalls juz to look good. Imagine paying RM2.50 for a glass of Nescafe Ice at a popular roadside Mamak Stalls:stupid::stupid:

Bump:

I suspect the coming chinese new year will be rather gloomy. In fact, many supermarkets are not stocking goodies like they used to be. This is a clear indication that the recession is around the corner. Many has felt it, it's just nobody openly agreeing to the fact. Even the Malaysia Govt are reluctant to say we are facing a recession..

Confirm CNY will be gloomier than previous ones, christmas also same d....

All too kiasu/kiasi to admit tat they are affected by the recession.

Our Government try not to induce panic or freak out the people.... I believe it's call Damage Control.... hahahahaha

 

[tajulsans]

I dont think the 2nd hand price market will drop drasticly, maybe those luxury cars will be affected as people are more reluctant to get into huge loan commitments & more current owners selling off their luxury vehicles to get those cheaper cars. hence cheap cars now might maintain / increase in value while luxury cars just might drasticly drop la..

Anyway, it will not be a very good news for the auto makers as general mass is looking for cheaper solution (2nd hand cars).. But then interest rate might go up as to cope for high probability of loan default..