Tuesday, May 21, 2024
HomeworldSingapore car ownership cost sets record

Singapore car ownership cost sets record

The cost of car ownership in Singapore has broken another record as the highest right-to-own premium reached S$158,004 (US$115,000) in the second round of bidding in October.

Certificate of entitlement (COE) bids hit new highs across all major auto categories, according to data released by the Land Transport Authority.

COEs for large cars, covered in categories B and E, have now established records in six straight rounds of bidding dating back to August.

Drivers need a certificate to put a car on the road in the land-scarce city state. The system is designed to fairly allocate car rights for a period of 10 years, but post-pandemic demand has sent COE prices skyrocketing, along with the unique market dynamics of the system.

A total of 2,697 bids were received in this week’s round, with a quota of 2,023 certificates available.

The total COE quota for the next period from November to January will increase by 12.9%, which may temporarily ease the shortage, but prices are expected to remain elevated.

RELATED ARTICLES
- Advertisment -

Most Popular