“ACIM members will continue to do their utmost to ensure that retail prices of new motor vehicles become closer to those of European counterparts. This can only be attained by revising the registration tax”. This was stated by ACIM chairman, Joseph A Gasan in reaction to comments made by customers, that new cars in Malta are more expensive than in Europe.
Mr Gasan added that “most people know that in Malta we have a complicated tax regime where every new vehicle that is imported to Malta, is subject to hefty registration tax, which is computed on a formula based on CO2 emission levels and the length of the vehicle, as well as VAT.”
“ACIM has always recognized this disparity and has been lobbying with different administrations to revise the tax regime in respect of new motor vehicles. In fact this was one of the main recommendations, which the Association put forward to the authorities during a recent business breakfast to launch ACIM’s sustainable strategic plan to all industry stakeholders,” added Mr Gasan.
“In the meantime Government and the Association are working together to constantly introduce scrappage schemes which incentivize customers to buy new vehicles. However in ACIM’s opinion such incentives need to become a permanent feature, “ said Mr Gasan
In conclusion Mr Gasan said that one also needs to be careful when comparing prices of cars between Malta and other countries. It is important to compare like with like. Although the model of the car may seem similar there might be differences which may not be immediately apparent. These include engine specifications, basic options plus other optional equipment which may or may not be deemed necessary to include in individual country standard equipment. For example a common standard feature on new cars in Malta is air-conditioning. In the UK this might not be a priority and will hence not feature as standard equipment.
In this context, ACIM members will continue to invest in technology to enhance the capabilities of their repair centres and training of its employees, to ensure that they are in a position to professionally service new motor vehicles and to offer a second to none service to all customers.