Could EVs be the answer to cheaper cars in Malaysia?

Malaysians have long suffered from high car prices to protect the interest of our beloved car companies. Most SEA countries generally have a lower spending power or higher taxes (or in the case of Singapore, MOT) which makes purchasing a dream car quite difficult.

But, with how EVs are changing the automotive landscape, could it finally mean we will be seeing a reduction in car prices in both the new and used markets? Hear me out. Most manufacturers have committed to shifting to alternative energy powertrains (mainly EVs and some hydrogen). This means gas-powered cars could soon be a rare breed. For enthusiasts cars, this is bad news. Car prices could skyrocket because of this. However, your average Toyota Camry could drop in value and be worthless in the near future.

Also read: Why a Myvi EV is an amazing idea.

Scary right? Fellow Malaysians are generally very concerned about the resale value of their vehicles (which is why Toyotas are a handful). However, I feel that this will change drastically with more Chinese EV’s entering Malaysia.

Picture this, with the tax-free initiatives, we could see many sub RM100k EV’s in the market. Chery for instance plans to bring in an RM50k EV in the near future. Other makes such as Proton has also recently promised to bring in Smart EVs to Malaysia. With the ramp in the race for EVs in Malaysia, only time will tell how much depreciation ‘dino-powered’ cars will suffer.

Also read: Fancy an EV van?

What is your take on this theory? Do you think traditional cars will take a dive in resale value making them much more affordable? Do you think EVs will be much cheaper to manufacture thus making cars cheaper in general? Let us know your thoughts down below.