AGGRESSIVE promotions and new model launches combined with a three- week interval to push COE premiums up across the board.

 

There is usually a two- week break between bidding exercises for certificates of entitlement. So when it is longer than usual, more orders are collected - giving premiums a boost.

 

In yesterday's tender, Category A, for cars below 1,600cc, jumped $1,313 to $18,502, while Cat B, for cars above 1,600cc, climbed $1,001 to $19,003.

 

Cat E, the open category, rose $242 to $18,509, while Cat C, for commercial vehicles, surged $1,289 to $18,289, and Cat D, for motorcycles, edged up $3 to $854.

 

The sales manager of a mid-size dealership said the increases were not unexpected.

 

'Showroom crowds have not been fantastic but orders came in fairly steadily because some distributors want to clear stock before the year ends and are pricing their cars very aggressively,' he said.

 

Another reason he cited was the desire of some companies to beef up their sales numbers for 2009.

The market is generally 'tough' for most volume Japanese marques because of the higher yen, he added.

 

Continental brands, on the other hand, are doing better business because their prices are now 'very close to the Japanese models', he said.

 

Volkswagen, for example, has successfully launched its new Polo supermini. The 1.4-litre hatchback made its debut in the second half of November with a list price of $63,300, making it one of the cheapest VWs available here.

 

Looking ahead, the dealership manager said the last COE tender for the year - due in two weeks - may yield interesting results.