Connect with us


COE premiums for cars experience significant drops in latest bidding exercise

COE premiums in Singapore’s latest bidding dropped significantly, with Category B falling by S$40,000, attributed to increased supply and regulatory adjustments.



Singapore: Certificate of Entitlement (COE) premiums in Singapore witnessed a notable decrease across all categories in the latest bidding exercise held today. Category B premiums, which cover larger and more powerful cars, experienced a substantial drop of S$40,000 (US$29,500), marking a 26.7% decrease from the previous premium of S$150,001, settling at S$110,001.

This drop in Category B premiums was mirrored in the open category COEs, typically used for large vehicles, which saw a remarkable decline of 20.9%, now resting at S$125,011 compared to the previous premium of S$158,004.

Category A cars, encompassing vehicles with engine capacities of 1,600cc and below and horsepower not exceeding 130bhp, witnessed a decrease in premiums as well, closing at S$95,689, down from the previous exercise’s premium of S$106,000.

For commercial vehicles, which includes goods vehicles and buses, COE premiums fell to S$78,001 from S$84,790 in the previous bidding exercise. Motorcycle premiums also experienced a slight decrease, closing at S$10,889, down from S$11,201 in the previous exercise.

A total of 3,133 bids were received in this bidding exercise, competing for a quota of 2,411 COEs available.

The Land Transport Authority (LTA) recently announced an increase in the COE quota for the November 2023 to January 2024 quarter, with an additional 1,614 Category A, B, and C COEs reallocated, on top of the 1,895 reallocated COEs announced last month, bringing the total supply of COEs for the quarter to 14,388.

The Transport Ministry’s move in May to bring forward quota from “guaranteed deregistrations” during peak years has helped increase COE supply over the past six months.

Responding to questions filed by Members of Parliament on Monday, Acting Minister for Transport Chee Hong Tat emphasized the intention to reduce the peak-to-trough ratio by using a ‘cut-and-fill’ approach, which aims to alleviate supply fluctuations while still adhering to Singapore’s zero-vehicle growth policy.

Singapore’s zero-growth policy, designed to manage traffic congestion, bases the number of available COEs for bidding on the number of deregistered vehicles.

Minister Chee Hong Tat addressed concerns about rising COE prices and highlighted that the large difference in quotas between peak and trough years leads to higher volatility in prices, assuming relatively constant demand.

Under the current system, COE quotas for the next quarter are determined using the moving average of deregistrations in the four preceding quarters.

Minister Chee suggested that a ‘cut-and-fill’ approach could yield better results for all stakeholders, maintaining the COE system’s role as an allocation mechanism while stabilizing prices in the market.

Share this post via:
Continue Reading
Notify of
Oldest Most Voted
Inline Feedbacks
View all comments

The system is rigged between car dealers and pee air pee, we will have to see the future biddings to determine if COE is really coming down. I say the paper is worth $1, what do you think?

Only the “white on white” can pull off a stunt like,gullible,sinkees are lapping & papping this “houdini act”.

It’s just a papee “prickinthewall” show. Just wait for the next CLANGER!!!


Just additional 15% increase in certificates (281 exactly) and there is a 21% drop in price..
Amazing trick.

And traders did not collude of course.
And Gov people did not have any chit chat with anyone in the trade associations.
And next exercise, it goes back up again… this time, a spokesperson says its due to the
X’mas and New year season… who will repeat the same statement in Jan and Feb but this time its the Chinese New Year..

Predictable as TOTO.

Fishy games. Goondoo Sheeps sleeping 😴.

Almost all COE bids are done by the motor traders, motor dealers on behalf of their car buyers. They often show their support to LTA that priceS will drop whenever increases the supply. Rest assured all of them will bid higher the next round and the convenient reason they will give is that demand suddenly shot up tremendously. If only LTA bar all motor traders and dealers from bidding on behalf of buyers, and make the bidding a Pay As You Bid, and most importantly, make it a close bidding instead of the current open bidding, where everyone can see… Read more »