Singapore’s latest COE bidding exercise (22 January 2025) reveals dynamic shifts across categories, driven by evolving demand, policy changes, and economic factors.
Below is a breakdown of the updated results and trends:
Category-Specific Results
- Category A (Cars ≤ 1,600cc & 130bhp)
- Premium: $93,601 (▼$98 from previous bidding)
- Quota: 1,069 (+35) | Bids Received: 1,484 (+103)
- Insight: A marginal dip in premiums despite higher bids and quota suggests cautious optimism for small cars.
- Category B (Cars > 1,600cc or 130bhp)
- Premium: $116,625 (▼$4,876)
- Quota: 686 (+9) | Bids Received: 1,071 (-195)
- Insight: Luxury/EV premiums dropped sharply due to reduced demand (-195 bids), likely tied to economic uncertainties.
- Category C (Goods Vehicles & Buses)
- Premium: $65,476 (▼$2,415)
- Quota: 234 (-14) | Bids Received: 373 (+9)
- Insight: Lower premiums despite fewer quotas indicate stable commercial demand but weaker price pressure.
- Category D (Motorcycles)
- Premium: $ 7,721 (▼$1,280)
- Quota: 536 (+16) | Bids Received: 651 (+56)
- Insight: Motorcycle premiums fell significantly (-14.2%), signaling cooling demand despite increased quotas.
- Category E (Open Category)
- Premium: $115,112 (▼$7,888)
- Quota: 190 (-1) | Bids Received: 326 (-89)
- Insight: Steepest decline (-6.4%) in Open Category reflects reduced competition for luxury/EVs amid economic headwinds.
Key Trends & Drivers
- Broad Price Corrections: All categories saw declines in premiums, likely due to cooling demand, tighter budgets, and policy adjustments.
- PQP Trends:
- Category A: PQP drops to 94,513 in Feb(▼94,513 in Feb (▼3,234 from Jan).
- Category B: PQP rises slightly to 110,537 in Feb (▲110,537 in Feb(▲1,373), hinting at future stabilization.
- Bid Activity: Mixed bidding patterns (e.g., Category A bids surged, Category B/E bids fell) reflect shifting buyer priorities.
Actionable Insights
- Buyers: Use the price dip to negotiate deals, especially in Categories A and E. Monitor falling PQP for February bargains.
- Sellers: Prepare for softer resale values in luxury segments (B/E) but leverage stable demand for commercial vehicles (C).
- Policy Watch: The government may adjust quotas to sustain price stability if declines persist.
Opportunities Amidst Price Drops
The January 2025 COE results mark a rare moment of relief for buyers, with premiums dropping across all categories in the second bidding exercise. This downward trend reflects a combination of economic pressures, cooling demand, and policy adjustments, offering a window of opportunity for those looking to secure a COE at more affordable rates.
However, the mixed bidding activity—ranging from increased bids in Category A to reduced competition in Categories B and E—suggests that market dynamics remain complex.
As Singapore continues to navigate the transition towards greener transportation and economic recovery, stakeholders must stay vigilant, leveraging data-driven insights to make informed decisions. Whether you’re a buyer, seller, or policymaker, understanding these trends is key to thriving in an ever-evolving COE landscape.
