The Open approved permit (AP) system for the import of used cars is set to remain in place, and no timeframe has been given as to when a decision on the matter will come about.
According to International Trade and Industry Minister Datuk Seri Mustapa Mohamed, the abolishment of the policy was still being studied as it was a rather complex exercise, Bernama reports. "At the moment, the policy still applies. We have yet to resolve a few things," he told reporters.
The government had said during the NAP 2014 announcement that an in-depth study on the impact of the termination of Open APs would be carried out, and in August last year the Malaysia Automotive Institute (MAI) stated that the review on the impact of the abolishment of the system was due to be completed at the end of 2014.
The system was supposed to be discontinued by December 31, 2015, under the National Automotive Policy (NAP) 2009, but the arrival of NAP 2014 has left the date open ended. MAI has clearly said it is in favour of terminating the Open AP system, saying it does not contribute to the development of the automotive industry.
Open APs are responsible for the many grey-import cars from right-hand drive countries on our roads. They are distinct from Franchise APs, which are used by principal companies to officially bring in their cars.
In other related automotive matters, Mustapa said that instead of exporting vehicles, the government had identified the export of vehicle components as a positive contributor to the growth of the local automotive industry, instead of exporting vehicles. "We feel that there is greater potential in exporting automotive components as several Malaysian companies had already succeeded in doing that," he said.
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