The Land Transport Authority (LTA) has recently announced the COE quotas that will be made available for the upcoming November 2020 to January 2021 period, with a 7.12% increase in available quotas compared to the previous three months.
The new quotas for November 2020 to January 2021 are as follows: 5,777 for Category A, 6,044 for Category B, 2,205 for Category C, 3,148 for Category D, 2,780 for Category E. All in all, there are a total of 19,954 COE quotas up for grabs.
Here are the percentages for the new number of available quotas compared to the period ranging from August to October;
COE quota for Cat A for Nov to Jan 2021 vs Aug to Oct 20: -2%
COE quota for Cat B for Nov to Jan 2021 vs Aug to Oct 20: +16.5%
COE quota for Cat C for Nov to Jan 2021 vs Aug to Oct 20: +9%
COE quota for Cat D for Nov to Jan 2021 vs Aug to Oct 20: +12.3%
COE quota for Cat E for Nov to Jan 2021 vs Aug to Oct 20: +2.5%
Overall average COE Quota for all categories for Nov to Jan 2021 vs Aug to Oct 20: 7.12%
How will this translate into COE prices? According to industry experts, we can expect the prices for Category A to increase, due to the reduced supply of quotas. On the other hand, Category B prices are expected to remain stable, with the increase in quotas available compared to the August to October bids. Additionally, there are many new Category B cars launching this half of the year such as the new BMW 5-series, the new facelifted Mercedes-Benz E-Class, as well as the Mercedes-Benz GLB-Class and GLA-Class Subcompact SUVs, the latter of which was recently launched in Singapore.
Category C prices are likely to increase further due to the impending Commercial Vehicle Emissions Scheme (CVES) which will take effect from 1st April 2021, while Category E prices are likely to increase as it trails the price of Category B.