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Lexus Mutiara Damansara transferred to dealer to manage

Besides its Toyota branches around Malaysia, UMW Toyota Motor (UMWT) is also transferring its Lexus retail operations to dealers. Although this may seem something new to Malaysians, dealers are usually the ones who manage retail outlets in other countries. It’s only in Malaysia that distributors have established their own branches to do retail as well and it goes back many decades. Back in the 1960s, only the large distributors had the money so they started the retail outlets themselves and the trend remained for a long time.

The Lexus Centre in Mutiara Damansara, Petaling Jaya, Selangor, has been transferred to Hiewa Auto Gallery (Lexus) Sdn Bhd. This outlet was the first official Lexus outlet in Malaysia when it was opened over 10 years ago.

By transferring retail responsibilities to dealers, UMWT will be able to increase intensity on high value-added upstream activities such as product development, marketing and dealer network support.

“It is essential for Lexus Malaysia to continue achieving high customer satisfaction standards,” said Lexus Malaysia President, Ravindran K. He gave assurance that the typically high quality of customer care that Lexus is well known for will be maintained.

“I am extremely excited about working even more closely with our dealers to achieve a shared vision for Lexus Malaysia, which is to develop the concept of ‘Best In Town’ that focuses more on one-to-one customer engagement. Although this arrangement signifies an important change for Lexus Malaysia, our customers should rest assured that our service will not be compromised but gets even better in the future” he added.

Information on the Lexus network of sales and aftersales locations in Malaysia can be found at lexus.com.my.

Revised Lexus pricelist with exemption of 5% Sales Tax

Nissan Pavilion opens in Yokohama and visitors can pay with electricity from their EVs (w/VIDEO)

Even though the COVID-19 situation continues, the Nissan Pavilion was opened today in Yokohama, Japan. The 10,000 sq. metre interactive centre to show off Nissan’s products and technologies, located near the company’s headquarters, will be opened until October 23, 2020.

“The Nissan Pavilion is a place where customers can see, feel, and be inspired by our near-future vision for society and mobility,” said Nissan CEO Makoto Uchida.

With its leadership in sales of electric vehicles (EVs), Nissan will naturally be focussing a lot of EVs at the Pavilion. And in a global first, EV drivers will be able to discharge power from their car’s battery pack to pay for parking while visiting the Nissan Pavilion. The payment system is just one of the many innovations customers can experience at the Pavilion, built to show how Nissan moves people to a better world.

Showcase of EV technologies
Other examples of EV technology having synergies with society will be demonstrated at Nissan Chaya Cafe, which operates on power supplied by Nissan LEAF EVs and solar energy. Visitors can also enjoy virtual experiences that allow them to feel the thrill of Formula E electric street racing or go for a ride in the all-new Nissan Ariya EV crossover.

Other innovations on show besides Nissan Energy technologies include the ProPILOT advanced driver assistance system as well as Nissan’s Invisible-to-Visible (I2V) technology, which combines information from the real and virtual worlds to assist drivers.

A Mobility Hub offers various services such as EV car-sharing and rental bicycles. Offered by Nissan and the local community, these services aim to provide increased freedom of mobility.

Nissan Energy
Nissan introduced the world’s first mass-market electric car, the zero-emission Nissan LEAF, in 2010. Since then, the company has partnered with governments and businesses around the world to expand the uses of EVs. The company’s Nissan Energy Share and Nissan Energy Storage technologies allow electricity from EV batteries to be stored, shared and repurposed, for instance by powering homes or businesses.

In Japan, Nissan has also entered agreements with local governments to use LEAF EVs as mobile batteries that can supply energy during natural disasters. In another partnership, the company is repurposing used EV batteries to power streetlights.

F1 (Round 4): Preview and Starting Grid of the 2020 Pirelli Formula 1 British Grand Prix


Race starts at 2:10 pm British time/9:10 pm Malaysian time

Following the first three rounds of the delayed 2020 Formula 1 World Championship, this weekend sees the teams at Silverstone in England. The 2020 Pirelli Formula 1 British Grand Prix will be the first of two that will be held at the 72-year old circuit, the second to be run next weekend as the Emirates Formula 1 70th Anniversary Grand Prix 2020.

After the compact, undulating layout of the Red Bull Ring in Austria and the tight twists and turns of the Hungaroring in Hungary, the wide open spaces of Silverstone – once an airfield – promises a very different kind of challenge.

A true power circuit
Silverstone is one of F1’s last remaining true power circuits, and one which the drivers like. Its fast and flowing layout with iconic corners such as Copse and the rapid changes of direction through Maggotts, Becketts and Chapel provide both a thrill and a test of nerve and skill.

Drivers experience some of the highest lateral g-forces of the season at Silverstone, with a maximum of 5g – meaning they will feel 5 times their normal weight. Therefore, with the average weight of a human head wearing a helmet being 7 kgs, the driver’s neck is being pulled side-to-side by a force of 35 kgs through some of the corners.

Renault F1 — *The drivers will experience up to 5 times their weight in some corners due to the high g-forces.*

Drivers spend almost 81% of the lap distance at Silverstone driving at full-throttle and the average speed over the course of a lap is one of the highest in F1 at around 220 km/h. But Silverstone is not entirely about high speeds; the ‘Arena’ section introduced a decade ago provides the additional challenge of a sequence of technically demanding low-speed corners.

Resurfaced last year, the track has shed some of its reputation for abrasiveness and Pirelli is added spice to the two races by varying its compound choices for this weekend and the next. It is being cautious by supplying its most durable compound (C1) while the C2 and C3 will be the medium and soft, respectively. Next Sunday, the plan is to move on step softer with the C2 to C4 compounds.

Conditions are notoriously windy at Silverstone and the wind direction changes relatively frequently, too. This has a big impact on the car balance and can completely change the car’s behaviour, forcing drivers to adapt their driving style to suit. Braking points, apex speeds and throttle application can all change due to a shift in wind direction.

Sergio Perez replaced by Nico Hulkenberg
Racing Point’s Sergio Perez will not be racing as he was tested positive for COVID-19, believed to have been due to visiting his mother in Mexico who was hospitalised. So far, he shows no symptoms but the strict rules require him to self-isolate for 10 days. This means he will also miss the next round. Nico Hulkenberg will drive in his place, starting from 13th place on the grid.

Sergio Perez BWT Racing Point — *Sergio Perez was tested popsitive for COVID-19 so he cannot race tomorrow as well as the following Sunday as he must self-isolate for 10 days.*

As with the other rounds earlier, there will be no spectators within the circuit and the number of people allowed inside are kept to a minimum. Those who enter are tested regularly for COVID-19 and team members are required to stay within their ‘bubble’ and not mix with others, even at the hotel or other places outside the track. Things are that strict and the FIA is constantly monitoring because it does not want to have governments in other countries withdrawing permission to hold the forthcoming races because of participants not being disciplined to observe the Standard Operating Procedures.

The championship so far
Mercedes-AMG’s Lewis Hamilton, last year’s winner and the one who has won the most times at Silverstone (6), starts his home race as the leader in the Drivers Championship, 5 points ahead of team mater Valtteri Bottas. Consecutive podium finishes in Austria and Hungary put Red Bull Racing’s Max Verstappen in third place, 25 points behind Bottas.

In the Constructors Championship, the top finishing places of its two drivers have built up the points lead which, at 121 points, is 66 ahead of Red Bull Racing with McLaren in third. However, Mercedes-AMG team boss, Toto Wolff, is not complacent. “We enjoyed very good results at the British Grand Prix in recent years, but we all know Babe Ruth’s famous quote: ‘Yesterday’s home runs don’t win today’s games’. There’s no entitlement to a good result because you had a strong showing in the past, on the contrary: a successful race will always be the result of the hard work of every single team member and we will have to bring our A-game to stay ahead of our competitors,” he said yesterday.

Lower maintenance costs with Toyota Service Savers packages

Your vehicle has to be serviced regularly to keep it in optimum running condition which will give the best fuel economy and maximum performance. It’s also a condition of the warranty that you need to have the servicing done according to the schedule provided by the manufacturer.

To make regular servicing more convenient, UMW Toyota Motor (UMWT) is introducing Toyota Service Savers (TSS), a maintenance package which can be purchased during a new vehicle purchase. The cost of the package can be included in the financing so it becomes part of the H-P loan amount that can be repaid over a number of years.

With the TSS package, the servicing costs are covered in advance and this means just sending the vehicle in for its scheduled service and not having to pay anything upon collection (unless there are items replaced or additional work done which is not part of the requirement).

The TSS package can be used at all 85 authorized Toyota service centres in Malaysia over a period of 5 years from the time of purchase. Prices of the TSS packages depend on the model, ranging from RM3,220 for the Vios (savings of RM469 compared to paying each time) to RM6,030 for the Hilux (savings of RM922).

The packages follow the servicing requirements for the model at recommended intervals (as listed in the Owner’s Service Manual) and include the fluids and parts specified for replacement. Only Toyota Genuine Parts or Toyota-approved items and materials are used.

As an added benefit, all TSS customers are entitled to a 10% discount for selected parts and 20% discount on wheel alignment & balancing as well air-conditioner servicing packages at all authorized Toyota Service Centres. So there are additional savings as well.

For more information of the Toyota Service Savers Package, customers can contact any authorized Toyota showroom or service centre. For the nearest location, visit toyota.com.my or call the Toyota freephone line 1-800-8-TOYOTA (869682).

Two more UMW Toyota Motor branch outlets transferred to dealers

All-new Mercedes-Benz S-Class set to be a pioneer in safety features again (w/VIDEOS)

Mercedes-Benz will be launching its all-new S-Class (W223) next month and typical of the company when it comes to the prelude to a new model, information usually trickles out to highlight the innovations that the new model will introduce. In the case of the new S-Class, the company has released details of its enhanced PRE-SAFE system which has been constantly evolving since first being introduced in the 2003 S-Class (W220).

A new function is PRE-SAFE Impulse Side, which sees augmented measures in the pre-impact phase: when a side impact is likely, the car’s body can be raised up to 80 mm by the E-ACTIVE BODY CONTROL suspension (an optional feature) within a few tenths of a second. This directs the impact forces towards particularly resistant structures in the lower area of the bodywork.

There are also new occupant protection measures which are derived from many of the innovations in the ESF2019 Experimental Safety Vehicle. Firstly, the rear occupants will have the additional protection of airbags and this is the world’s first frontal airbag for the two passengers on the outer rear seats.

2019 Mercedes-Benz Experimental Safety Vehicle — *ESF 2019 – the first Experimental Safety Vehicle from Mercedes-Benz that also presents concepts for the special challenges of automated driving.*

Its design with an innovative, tubular structure is unique. The cylindrical structures are inflated with compressed gas and deploy a wing-shaped structure. A large, tent-like airbag then deploys between the two wings and this is inflated by the surrounding air via specially patented valves in the skin. These valves are designed so that the air cannot escape when the rear passenger is immersed in the airbag.

The comparatively small volume of the tubes allows rapid deployment of a relatively large airbag volume. This takes place with comparatively low force and a low risk of injury, as the tubular wings give way to obstacles. The airbag enhances the restraining effect of the belt system, and can support the head and neck to decrease the loads on them significantly. In combination with a beltbag and the inflatable seatbelt, the S-Class will set new standards for rear seat occupant safety.

Also new is a centrally located airbag (availability depends on country) between the driver and front passenger seat. During a severe side impact, the airbag positions itself between the driver and front passenger seat, reducing the risk of their heads making contact. It is integrated into the driver’s seatback in the middle of the car. The airbag is triggered when a severe side collision is recognised, and certain conditions are met.

There will also be new illuminated designer belt buckles (also optional) which are easy to locate. It’s a small touch which some may say is unnecessary cost, but it should make attaching the seatbelt easier.

In combination with the MBUX Interior Assistant, a camera can now be used to detect a childseat on the front passenger seat for the first time. A belt fastening message for the childseat appears in the central display before the driver moves off. Until now, and in many cars, the presence of a childseat is usually determined by a sensor in the front passenger’s seat.

2021 Mercedes-Benz S-Class W223 — *Occupants will get a warning as they open the door if there is a vehicle or cyclist approaching from the rear.*

The new S-Class will have the latest generation of the Driving Assistance Package with new and numerous improved functions. One of the two examples which Mercedes-Benz is revealing now is Active Blind Spot Assist to prevent opening of the door when another vehicle is coming up along the side of the car. The exit warning function now will give a warning as soon as the driver or front passenger reaches for the door. The MBUX Interior Assistant will recognise when a hand approaches the door handle and a visual warning is given by a red warning triangle in the exterior mirror and via the active ambient lighting.

2010 Mercedes-Benz S-Class W223Meet the S-Class DIGITAL: „Innovation by Intelligence“: Fahrvergnügen auf höchstem Niveau: geschützt und unterstütztMeet the S-Class DIGITAL: "Innovation by Intelligence": Driving enjoyment at the highest level: protected and supported — In a traffic jam on the highway, at speeds not more than 60 km/h, the car adjusts its movements to the surrounding vehicles as if part of a swarm, helping the driver to create an emergency corridor by moving to one side. This will allow emergency vehicles to proceed past more easily to reach an accident site ahead.

Active Steering Assist is another example and this will assist the driver in forming an emergency corridor, and encourage other drivers to form a corridor as well. Thanks to improved environmental sensors and integration into MBUX, the parking systems give the driver even better support when manoeuvring at low speed. 12 ultrasonic sensors at the front and rear provide improved performance so the positions of road-users and objects can be registered reliably and highly precisely.

Mercedes-Benz starts preview of next S-Class with details of new MBUX

Fuel price updates for August 1 to August 7, 2020

Audi goes further with its digital OLED technology (w/VIDEO)

Last month, a new generation of lighting technology made its debut in the Audi Q5: digital OLED (Organic Light Emitting Diodes) technology. The use of OLEDs is not new to the German carmaker and in fact, Audi was a pioneer as far back as in 2016.

What are OLEDs?
OLED light sources are panel radiators, unlike point light sources such as LEDs using semiconductor crystals. The benefits of OLEDs are that their light is extremely homogeneous, infinitely dimmable and has very high contrast. The light can be split into segments which are individually controllable and can develop diverse levels of brightness, with minimal gaps between the segments.

The lighting unit does not require any reflectors, optical fibres or similar optics. This makes OLED units very efficient, lightweight and flat, which considerably increases design freedom. An OLED lighting element is just one mm thin, while conventional LED solutions require much greater installed depths of 20 to 30 mm.

The energy requirement of an OLED is also significantly lower than that of LED optics if the latter are to achieve similar homogeneity. Audi’s OLED technology made its production debut in the taillight of the TT RS1 in 2016. Up to now, Audi models using OLED lighting technology have had up to 4 individually controllable, complex lighting segments that could be used for an individual, defined lighting design.

The advantage of digital OLEDs
But now it’s the age of digitalization and this technology promises to improve road safety and is the first to allow for personalization of the taillight signature. Audi’s new digital OLEDs have a larger number of individually controllable segments that can now be randomly activated, with continuous variability of brightness.

In the Q5, three tiles of 6 units each (18 segments per lamp) are currently used. The high precision and great variability offer light designers a wealth of opportunities, using just one type of hardware. Q5 customers opting for digital OLED technology have a choice of three signatures in the taillights when purchasing their car. In the ‘dynamic’ Audi drive select mode, the lamps additionally switch to another signature.

More dynamic signalling
Moreover, animation effects such as coming-home/leaving-home lighting scenarios can be implemented, plus the dynamic flashing light has been integrated in the new lamp units as well.

In the new Q5, Audi has implemented a proximity detection feature for the versions using digital OLED taillights. When another road user approaches a stationary Q5 from the rear within less than 2 metres, all the OLED segments light up. When the Q5 starts to move, it returns to the original light signature. This is just an initial example of the automobile’s car-to-x communication with its surroundings.

Further advancements
Further down the road, there will be clearly more segments per taillight, allowing for even greater personalization of signature lighting. For instance, predefined symbols might be displayed to provide other road-users with early warnings of hazards such as slippery roads or the tail ends of traffic jams.

“Up to now, we have been using OLED segmentation with the Audi TT RS1 and A8 for designing signature lighting. This has changed with the Q5,” said OLED technology project manager Dr. Werner Thomas. “Here the taillights turn into a kind of display on the outer shell, which will provide us with ample opportunities and prospects in terms of design, personalization, communication and safety going forward.”

Audi Q4 e-tron Sportback Concept

Lamborghini Essenza SCV12 to deliver ‘purest track experience’

“With Essenza SCV12, we wanted to elevate not only performance and driving pleasure but also the experience off the track.” And with that promise, Stefano Domenicali, CEO & Chairman of Automobili Lamborghini, unveiled the Essenza SCV12, a track-only hypercar in a limited edition of 40 units.

Developed by Lamborghini Squadra Corse and designed by Lamborghini Centro Stile, the Essenza SCV12 is the direct descendant of cars such as the Miura Jota and Diablo GTR. It is propelled by the most powerful V12 naturally aspirated engine ever developed by Lamborghini, combined with aerodynamics inspired by racing prototypes and new technical solutions designed for the ultimate driving experience.

“Essenza SCV12 represents the purest track driving experience that our brand can offer, an engineering feat that highlights the inextricable link between our cars and the asphalt of the track. Lamborghini is a brand constantly looking to the future and searching for new challenges, but we never forget our roots and who we are: Essenza SCV12 is the perfect combination of our unconventional spirit as a super sports car manufacturer and our true passion for motorsport,” said Mr. Domenicali.

Born for the track
The Essenza SCV12 was created for exclusive track use, with engineering solutions derived from racing. The V12 engine can generate over 830 bhp, with a significant power uplift from the RAM effect at high speeds. The exhaust pipes were designed by Capristo to reduce the back pressure, improving performance and emphasizing the unique sound of the engine.

The power is handled by a new X-trac sequential 6-speed gearbox as a structural element within the chassis, combined with rear-wheel drive to ensure compactness, structural continuity, and greater torsional stiffness.

Not surprisingly, the Essenza SCV12 has an exceptional power-to-weight ratio of 1.66 bhp/kg, thanks to the lighter weight of the new-generation carbonfibre monocoque chassis without internal rollcage. It is also the first GT car developed in accordance with FIA prototype safety rules.

To ensure maximum agility and stability on even the most demanding tracks, kinematic solutions inspired by racing prototypes have been adopted. These include the pushrod rear suspension installed directly on the gearbox. Specific slick Pirelli tyres are mounted on magnesium rims (19 inches in front, 20 inches at the rear), which frame the brake discs and calipers developed by Brembo Motorsport.

“Essenza SCV12 is the ultimate expression of the V12 naturally aspirated engine, the symbol of our brand since 1963. It is a project in which we combined the pursuit of engineering perfection with refined aerodynamics, futuristic design, and innovative solutions such as the carbon monocoque without internal roll-cage. The result is an engaging and uncompromising car, born to race and to showcase on the track the characteristics that have made Lamborghini famous worldwide, guaranteeing unique and special emotions for both the driver and onlookers,” said Maurizio Reggiani, Chief Technical Officer of Automobili Lamborghini.

Aerodynamics from racing experience
The aerodynamics benefit from Lamborghini Squadra Corse’s GT racing experience to ensure a level of efficiency and higher downforce levels than a GT3 car, with a value of 1,200 kgs at 250 km/h. The front bonnet has a double air intake with a central rib, typical of the Huracan racing cars, which separates the hot airflow coming from the radiator and conveys the cold air to the airscoop located on the roof.

The front features a splitter and two lateral elements; on the sides, the flows for engine and gearbox cooling have been optimized through the use of vertical fins situated on the side sills. The aerodynamic package is completed by the large adjustable double-profile rear wing.

Lamborghini DNA in design
The sleek yet taut and dynamic lines combine the appeal of 1970s prototypes and elements typical of Lamborghini’s DNA, like the hexagonal geometry that characterizes the front headlights, and the roof airscoop and air vents that frame the steering wheel. There is also the unmistakable “Y”, the stylistic feature repeated on the livery and in the cockpit, where each element represents the best compromise between lightweight, functionality and design.

The instrument panel and dashboard are supported by an asymmetrical carbon ‘Y’, a load-bearing and stylistic element that frames the cockpit, designed to put the driver at the centre of an absolute driving experience.

Exclusive driving experience for owners
Essenza SCV12 customers will become part of an exclusive club that will give them access to special programs to drive their hypercar on the most prestigious circuits in the world. The program includes storage service in a new hangar built in Sant’Agata Bolognese for the Essenza SCV12 club. Each car will have a personalized garage and dedicated services, including webcams to allow customers to monitor their cars 24 hours a day using an app.

The facility also houses the Lamborghini Squadra Corse Drivers Lab by Tecnobody to offer athletic training programs similar to those followed by the official Lamborghini racing drivers.

The top comes off the Lamborghini Sian Coupe with a Roadster variant

New Volvo 3S centre opened in Kota Kinabalu, Sabah

In its aim to increase its presence in the country, Volvo Car Malaysia has not forgotten East Malaysia. Last November, it appointed Sebangga Mitsinbo Sdn. Bhd as a dealer-partner in Sabah and recently, the same business partner opened a new 3S (Sales, Service & Spare Parts) centre in Kota Kinabalu, Sabah.

Sebangga Mitsinbo Sdn. Bhd. (part of the Sebangga Group and formerly known as Sebangga Auto) joins Volvo Car Malaysia’s network of 13 dealers across the country. It is the sole authorised Volvo car dealer for the state of Sabah.

“Volvo Car Malaysia and the Sebangga Group share the same vision of protecting what is important, which is why we are honoured to have Sebangga Mitsinbo as our 14th 3S centre in Malaysia. As a brand, we want to enable a dynamic driving experience for our Sabahan customers, as they journey on the road, in life and with the brand, while also caring for the planet through a more sustainable drive with Volvo Cars,” said Nalin Jain, MD of Volvo Car Malaysia.

“With the establishment of a 3S centre in Kota Kinabalu, it reinforces our commitment to make roads safer – our vision is that no one should be seriously injured or killed in a new Volvo car. With this partnership, our hope for this new dealership is to make premium, safe and quality vehicles accessible to the Sabahan community and from there, spur a movement of being safe on the road,” he added.

Volvo Retail Experience
Inspired by the brand’s Scandinavian-inspired ideals and heritage, the Sebangga Mitsinbo 3S Centre adheres to Volvo Car’s retail standard – the Volvo Retail Experience (VRE). The open space and minimalistic-but-functional furniture are part of the Volvo design language which creates a contemporary luxury experience.

The two-storey space features a showroom at the ground floor, a service centre, a Volvo Car Lifestyle Collection and an Accessories showcase. Volvo’s latest models will be on display and visitors can request for test drives of the XC40, XC60, XC90, S60 and S90.

Volvo XC40 — *XC40 – one of the Volvo models in the current range.*

“This partnership with Volvo resonates well with our vision, in that we, too, value life above all. With Volvo being the pioneers in automotive safety, we are proud to carry the brand under our group and continue to strengthen their position as well as our mutual goal in protecting what is important. The addition of this 3S centre here in Sabah is part of our journey together with Volvo to help make roads safer for passengers and vehicles,” said Dato’ Arif Ambrose Ng, Chairman of Sebangga Group.

“At Volvo Cars, we understand that the value, quality and accessibility of services are just as important as the car, which is why we remain committed to ensuring that all of our customers experience a seamless and premium journey of acquiring and owning a Volvo car,” said Mr. Nalin.

Volvo Car Malaysia introduces Volvo SELEKT for those who want pre-owned Volvos

The Petrol Subsidy Program has been cancelled

Throughout much of last year, the subject of ‘targeted’ fuel subsidies was discussed because the government wanted only the groups that need fuel at subsidized prices get them. The approach was finalized and announced in early October with a planned implementation date at the beginning of 2020. However, in late December, it was announced that the Petrol Subsidy Program (PSP), as it was known, would be postponed. The reason – to allow ‘fine-tuning of the implementation process’ by the Ministry of Finance.

A new date of implementing the PSP was not given and the postponement was used to provide more explanation and clarification to ensure people fully understand the PSP. In any case, the postponement did not have any immediate effect for those who would have been entitled to receive subsidies as the mechanism provided subsidies only once every 4 months. Eligible motorcycle and car owners in Peninsular Malaysia were to receive RM12 a month and RM30 a month, respectively.

The PSP is’dead’
You will note that we are using the past tense and that’s because the PSP is ‘dead’. It was announced by the Deputy Minister for Domestic Trade and Consumer Affairs today. He said one reason the government made the decision to abandon the PSP approach after considering the price difference of fuel between the Peninsula and East Malaysia.

Other reasons were not given although it seems likely that the unexpected economic challenges faced by the government this year would have provided a persuasive argument to not use the RM2.4 billion that had been allocated for the PSP this year.

Motorcyclists would have received RM30 a month under the subsidy program.

The program would have provided direct assistance to 8 million motorists in the lower income groups, while those who did not qualify would pay prices for fuel at rates determined by the Automatic Pricing Mechanism (APM) with no subsidy. This has been the case with RON97 petrol which has been priced according to a ‘managed float’ that is adjusted on a weekly basis.

So what happens now?
Presumably, the current arrangement will continue until such time that a new approach of using subsidies more effectively can be planned. Last month, the ceiling prices for petrol and diesel were removed, which led consumers to believe that the prices of RON95 petrol and diesel will go beyond the levels that they were capped at.

*The last time that subsidies were applied to offset higher cost of fuel prices was in early February this year.*

Under the PH government, it was decided that the prices of the two grades of fuel would not exceed RM2.08 and RM2.18 a litre, respectively. If they did (according to the APM), then subsidies would be used to offset the additional cost to keep them at those levels.

However, the Domestic Trade and Consumer Affairs ministry quickly issued a statement to say that the action taken with the Price Control and Anti-Profiteering (Determination of Maximum Retail Price for Petrol and Diesel) (No. 8) (Revocation) Order 2020 was for enforcement purposes. It would allow the Finance Ministry to ensure that prices set would be adhered to (although there has not been any reported case of stations not following the designated pump prices).

What are the ceiling prices?
The Domestic Trade and Consumer Affairs minister clarified that the ceiling price was not revoked. But since early March, the government has not had to use any subsidies to maintain the price levels as global oil prices kept falling. They are slowly increasing though still well below the ceiling prices. It should be noted that the statement by the minister did not specifically say that the original ceiling prices would be maintained nor that subsidies would be applied. He only said that the pump prices would follow the APM so we won’t know what will happen until RON95 petrol reaches RM2.08/litre or diesel reaches RM2.18/litre.

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English

Lexus Mutiara Damansara transferred to dealer to manage

Nissan Pavilion opens in Yokohama and visitors can pay with electricity from their EVs (w/VIDEO)

F1 (Round 4): Preview and Starting Grid of the 2020 Pirelli Formula 1 British Grand Prix

Lower maintenance costs with Toyota Service Savers packages

All-new Mercedes-Benz S-Class set to be a pioneer in safety features again (w/VIDEOS)

Fuel price updates for August 1 to August 7, 2020

Audi goes further with its digital OLED technology (w/VIDEO)

Lamborghini Essenza SCV12 to deliver ‘purest track experience’

New Volvo 3S centre opened in Kota Kinabalu, Sabah

The Petrol Subsidy Program has been cancelled

Mercedes-Benz Malaysia Unveils Locally Assembled GLC 350 e 4MATIC Plug-In Hybrid

Kia Strengthens Asia Pacific Presence with Launch of Training Centre in Malaysia

Honda Malaysia Introduces Special Edition Models of the City V and the WRV

Mitsubishi Malaysia Rolls Out Facelifted Xpander, Opens Bookings at RM115k Introductory Price

The New Mercedes-Benz E-Class W214 Launched from RM355,888

BYD Unveils Updated Han Sedan in China – PHEV and EV Powertrain Options

Mechanic and Staff Injured After BMW Owner Drives Off Without Paying RM38,000 Bill

Selangor Accelerates Pothole Repairs with New RM1 Million Jetpatcher

Toyota, Volvo, Porsche, Mercedes-Benz Scale Back EV Production Plans

The Hennessey Venom F5-M Roadster is a 1,817hp Six-Speed Manual Beast

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