Will car prices go up or down?

KUALA LUMPUR: There has been a buzz that car prices will come down with the introduction of the Goods and Services Tax (GST) as the rate is lower than the current Sales and Services Tax (SST).

Customs Department director of GST Datuk Subromaniam Tholasy said based on computation after taking into account the distribution margin, the price of cars is still expected to be “slightly lower” under the GST, although the difference between the GST and SST is “not a full 4% and is much less”.