Older used cars in demand on COE, Budget hopes

More replacement buyers are snapping up cheaper and older used cars in the hope that certificate of entitlement (COE) premiums fall further and the upcoming Budget will have some goodies for the motor industry, say dealers.

Demand for mainly Japanese cars that are usually more than seven years old is still good despite the relatively quiet market, said Raymond Tang, managing director of Yong Lee Seng Motor.

His company has sold close to 10 per cent more used cars in the first two months of this year than in the same period last year.