Bandar Seri Begawan - The country is expected to see a reduction of imported used cars following new policies implemented by the Government of His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam, which is expected to take place "with immediate effect".
A press conference with the Director of the Promotion and Facilitation Services Division under the Ministry of Industry and Primary Resources, Haji Awang Damit bin Haji Mohd Arshad explained that the move follows three specific guidelines in place to ensure Brunei "does not become a dumping ground for imported used vehicles", to safeguard consumer rights with regards to motor vehicle usage on the road and to fulfil a "desired socio-economic objective".
With a total of five main imported used car dealers that hold valid miscellaneous licences for this particular trade, the past few years has seen a steep increase in the importation of vehicles from 1,084 in 2008 to 3,249 and 3,496 in the years 2009 and 2010 respectively.
To be reviewed on a yearly basis based on information on registered new vehicles from the Land Transport Department, quotas for such importation have also been introduced whereby only a total of 20 per cent of the overall total number of newly registered vehicles from the previous year will be allowed to be brought into the country and that dealers are allowed a quota package of 100 units at any one time per application with a charging fee of $100 per unit.
Additionally, "Main dealers are- only allowed to apply for additional package quotas when 75 per cent of their stock has been registered to buyers and main dealers are allowed to apply additional package quotas providing the overall total quota is still available," it was explained.
The Royal Customs and Excise Department will be the agency that monitors the importation of used vehicles based on these given quotas.
The pricing for imported used cars is also expected to be regulated following these new policies and will be monitored and controlled by the Department of Economic Planning and Development, whilst warranties for such cars will be issued for at least two years after the car sale or registration date.
Though the age of the car from its original registration date still remains the same (not being older than 36 months for private used vehicles), the government has implemented a new form of regulation, which states that the said vehicle must not be more than four years from the year of manufacture, whilst vehicles for commercial usage - must not be more than 60 months from its original registration date and not more than six years from the year of manufacture.
Several types of used vehicles meanwhile, will no longer be imported into the Sultanate -such as vehicles that carry engine displacements of 1,000cc and below - "due to the similarity of prices of new vehicles in the same engine displacement capacity" as well as reconditioned vehicles and vehicles that do not follow original specifications.
To continue operations, each used car importer will pay yearly licences based on the brand and make of imported vehicles and are to pay $5,000 for the licences as per stated in the Miscellaneous Licence Act Paragraph 127, where each vehicle brought into Brunei will undergo pre-checks in their country of origin through companies that are appointed by the Brunei government "to ensure the safety and comfort of road users".
Local dealers meanwhile, were briefed on the new changes yesterday in a gathering that was chaired by the Permanent Secretary at the Ministry of Industry and Primary Resources, Hajah Normah Suria Hayati binti PJDSMDSU Dr Haji Mohd Jamil Al-Sufri, alongside other members of the Committee for Car Dealership Licencing, which comprised officials of the Ministry of Communication, Ministry of Finance, Ministry of Home Affairs and the Ministry of Development.--Courtesy of Borneo Bulletin