Regulate and reveal: Md Farick called for stricter regulations and transparency in the second-hand car market and urged buyers to conduct thorough inspections before purchasing any used vehicle. — Bernama
JOHOR BARU: The recent floods in Johor have led to an influx of flood-damaged vehicles, raising concerns in the used car market.
Dewan Teraju Usahawan dan Peniaga Bumiputera Negeri Johor (Automotive and Transport) bureau chief Md Farick Omar said the oversupply of flood-affected cars would impact second-hand vehicle prices.
“Buyers are hesitant to purchase used cars due to fears that they might have been damaged by the floods.
“The situation is affecting second-hand car dealers in Johor Baru, but I expect the impact to last only three to four months as the issue fades from public concern. Meanwhile, brand-new car dealers are likely to benefit from the situation,” he said, adding that in areas such as Taman Daya and Kangkar Tebrau, many dealers are reluctant to accept flood-damaged vehicles due to high repair costs.
“When water enters the dashboard, it becomes difficult and expensive to fix, making it challenging to resell these cars,” he explained.
The problem is further compounded by the difficulty in identifying flood-damaged vehicles.
“Some unscrupulous sellers may attempt to clean and refurbish affected cars to deceive buyers,” he said.
“So we are calling for stricter regulations and transparency in the second-hand car market, and we urge”
While secondhand car owners and dealers are facing losses, car wash businesses are seeing an increase in demand.
Areas such as Bandar Dato’ Onn have been significantly affected, with many vehicles requiring extensive cleaning and repair.
Some workshops are reporting long waiting lists for flood-related repairs, as replacing water-damaged electronic components can be both time-consuming and costly, he added.
Md Farick also urged banks to provide financial relief to affected vehicle owners by allowing a three-month deferment on loan repayments.
“This would help vehicle owners cover repair costs and ease their financial burden.”
He also called on the state government and local authorities to establish an early flood warning system, particularly in high-risk areas, to help residents safeguard their valuable belongings.
“This can be done as many urban areas already have CCTV cameras equipped with artificial intelligence.
“These can be integrated into an early warning system to alert the public about impending floods,” he added.
Additionally, he also recommended that flood-affected car owners take proactive steps such as drying out their vehicles thoroughly, having their electrical systems inspected, and checking their insurance policies for coverage of flood damage.
