How Australian Used Cars are Saving Malaysians Money

The numbers of used cars in Australia, including write-off vehicles, are on the rise. Most of these vehicles are shipped and sold all over the world and some are hitting the roads of Malaysia.

Write-off vehicles from Australia should be thoroughly checked as most of these vehicles are partially damaged, according to experts. Almost 95% of imported Australian vehicles coming into Malaysia are statutory write-offs.

There are two types of written-off vehicles. Statutory write-off means the vehicle cannot be re-registered in Australia and repairable write-off means the vehicle can only be re-registered after repair and passed the written-off inspection and safety certificate inspection.

Australia exports thousands of vehicles overseas due to the written-off policy of the government. To put these vehicles into use, exporters are repairing damaged cars and shipping them around the globe to sell.

Every year, Australia experiences major floods and other natural calamities. That means thousands of vehicles are getting damaged and written-off. Exporters then send these repaired vehicles to Malaysia and sell them for a cheaper price.

Malaysia is able to move up in the rankings of countries by cars per capita because it has an average number of vehicles. According to Wikipedia, it has 433 cars for every 1,000 persons and is one of the highest-ranked countries on this measure.

Status of Used Car Market in Malaysia

The used car market in Malaysia has seen a downtrend for the last couple of years but is expected to rise again in the next few years. With Kuala Lumpur and Selangor leading the way to used vehicle sales volume, other cities are expected to see the value of driving used cars compared to brand new ones.

This opportunity doesn’t come unnoticed by Australian exporters. Malaysian used car market has become one of the most popular markets in Southeast Asia for Australian exporters.

Malaysia’s used vehicle testing and registration policy are a little bit strict which makes it a hassle for second-hand car owners to register. However, used car dealerships in Malaysia are capable of importing used cars from Australia on their customers’ behalf.

Used cars in Malaysia normally cost MYR 30,000 to MYR 50,000 which is much cheaper than brand new cars. Malaysian consumers are looking for ways to save money on cars and the importation of write-off vehicles from Australia is expected to increase in the coming years.

Used Cars Importation in Malaysia

Some people like to buy cars from overseas because they can be cheaper than new or used cars in Malaysia. But there are some risks involved with this. You should carefully inspect the car and get a check done by someone else to make sure you know what you’re getting.

Once used car dealerships in Malaysia have decided which used vehicle to import from Australian exporters, they need to apply for a used car approval letter from the Malaysian Road Transport Department. The used car approval letter will be valid for 12 months and used car dealerships must renew it if they want to keep importing used cars.

Malaysia’s GDP has been rising quickly before the pandemic and the country has the fourth largest economy in Southeast Asia according to International Monetary Fund 2020. The automotive industry, both used and brand new vehicle sales have a major impact on this country’s growth.

Importing Vehicles from Australia

When you buy a used car, it can be hard. But when you buy a used imported car from Australia, it can be easy. You will save money and get a good deal on the car as long as you conduct your due diligence and ask for guidance from experts.

Malaysian Road Transport Department requires an import license to import motor vehicles but the transport authorities don’t check the vehicle history. Companies with Approved Permit (AP) for Completely Built-Up (CBU) can directly import vehicles from Australia

In Australia, there are many companies that offer services to check the history of cars and inspect them. The service helps you find out if the car is safe by checking for accidents it had in the past.

You can avail services such as PPSR check from Carify to get a car history report. Just enter the Vehicle Identification Number (VIN) and you can get a report with an official government certificate from Australia.

Importing used vehicles from Australia offers a wide variety of advantages. From the quality of cars to the money you will save, you can never go wrong if the purchase is done properly.

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