Potential COE Premium Spike in Late 2025 Due To Higher Vehicle Demand Before Revision of Electric Vehicle Rebates

97 Mr Saktiandi Supaat asked the Acting Minister for Transport (a) what measures are being considered to mitigate a potential spike in COE premiums in late 2025 due to anticipated vehicle demand ahead of the revised electric vehicle rebate schedule; and (b) how will such measures ensure market stability and affordable vehicle ownership.

Mr Jeffrey Siow: We have been taking steps to stabilise the Certificate of Entitlement (COE) supply, such as by bringing forward COE quota from future guaranteed de-registrations and injecting an additional up to about 20,000 COE quota since February 2025.

Nevertheless, COE prices are ultimately a function of supply and demand.

As COE supply continues to increase till the peak supply in 2026, there will be more quota available in the coming quarters. We strongly encourage potential car buyers to be prudent in entering the market now.

The Member may wish to refer to my response to the Adjournment Motion on 22 September 2025 for more context. [Please refer to ​"Toward Certificate of Entitlement (COE) 2.0", Official Report, 22 September 2025, Vol 96, Issue 2, Matter raised on Adjournment Motion section.]