Cat A COE premium eases 1.7% to $123,890; Cat B price stays flat
The Cat B premium was $129,910.
During a recent tender exercise in Singapore, the price of a Category A certificate of entitlement (COE) fell to $123,890, marking a 1.7% decrease from the previous level of $126,000. However, the Category B COE premium remained unchanged at $129,910. Category E certificates, which can be used for various vehicle types, saw a 0.8% increase, rising to $131,000.
Motorcycle (Category D) COEs experienced a 3% rise, now at $10,503. Commercial vehicle (Category C) COEs declined by 2.5%, to $91,545. Corinne Chua, Volvo's managing director, suggested that the recent record price of $129,000 for Category A COEs might have created a perceived "maximum threshold" for buyers, potentially leading to reduced demand for these certificates.
Some buyers may be shifting their focus to Category B COEs, which saw a negligible price increase. Zafar Momin, an expert in the automotive industry, believes it's premature to predict whether Category A premiums will continue to decline. He noted that the recent 0.2% increase in the total number of COEs did not significantly impact prices.
Momin also pointed out that various economic factors and potential shocks could influence COE premiums, rather than just supply.
Written by urgent.news from Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
