More owners hold on to older cars, spend more to maintain them amid high COE prices

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As long as COE prices keep climbing, workshops will see more customers wanting their cars to run and look as good as possible, said observers.

Car grooming and servicing firms in Singapore are seeing brisk business, with at least one getting a nearly 60 per cent jump in customers over the past year.Car grooming and servicing firms in Singapore are seeing brisk business, with at least one getting a nearly 60 per cent jump in customers over the past year.

At the last tender exercise on Sep 20, premiums for cars hit yet another high, with prices for larger vehicles in Open Category COEs, which can be used for any vehicle type but end up being used mainly for large cars, rose to S$144,640, up 5.6 per cent from S$137,000 in the last tender.As COE premiums keep climbing, some drivers who bought their cars at lower COE prices are opting to hold onto them, instead of scrapping them and getting a new car.In 2017, 80,788 Cat A and B cars were de-registered. This figure dropped to 24,938 last year.

Car grooming and servicing firms in Singapore are seeing brisk business, with at least one getting a nearly 60 per cent jump in customers over the past year.Eurokars Services said that it is seeing customers spend up to three times more on refurbishing their older cars.“The next step is to further give our technicians opportunities to widen their job scopes,” said Mr Alvin Lee, senior body and paint manager at Eurokars Services.

 

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