Perodua will not increase the prices of existing models in 2023; ‘as long as we can hold out, we will,’ says CEO –

There has been some upward movement in car prices this year as costs rise, but market leader Perodua has promised to maintain its prices in 2023.

“For the existing Perodua models, although there is an increase in the prices of materials, we will keep our pricesat least for this year,” Perodua Chairman and CEO Datuk Seri Zainal Abidin Ahmad said yesterday at the company’s 2023 outlook event.

Instead, Perodua will use its “own internal cost reduction for us to manage” and “there must be a way for our suppliers to reduce costs as well, whether it’s overhead reduction or whatever,” he added.

P2 has been consistent with its position of not increasing prices. “We expect fuel and material prices to remain manageable; at the same time, we also expect the exchange rate and interest rates to be favorable for the growth of the industry,” Zainal said last month, adding that if these factors remain “within acceptable levels,” Perodua will maintain the prices of their vehicles.

Regarding the price jump from the old Axia to the Next D74A Axiathe head of P2 stressed that the the higher price is because the car is bigger, safer and better equipped than before. It’s not due to the “impact of inflation or material costs,” he said.

“As long as we can hold out (bertahan), we will hold out,” Zainal said, adding that his personal forecast is that the cost of materials will peak this year and begin to decline by mid-year.

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