The Government must be fair & reasonable in issuing AP
DAP National Deputy Chairman and MP Kepong Dr Tan Seng Giaw calls on the International Trade and Industry Ministry to be fair and reasonable in the offering of Approved Permit (AP) for the import of vehicles.
The minister should monitor closely for suspected irregularities associated with AP, taking appropriate action.
On 21.3.2011, Dr Tan raised the AP question in the House. The minister has given a written reply.
According to the minister, AP is categorized into Open AP and Franchised AP, both restricted by ceiling based on 10% of the number of vehicles produced the year before (TIV).
Open AP is given to 98 companies to import all kinds of new and used cars from any source outside the country except 20 brands for which import restriction has been imposed
On 28 October, 2009, the National Automotive Policy was reviewed, in which no further allocation of open AP to new companies would be considered.
Franchised AP is given to 24 companies only to import new vehicles directly from manufacturers outside the country for certain brands based on franchise agreement. There is no new brand.
I have raised the question of AP in Parliament because of complaints on the abuse of AP including the selling of AP to others. How is the price per AP?
In 2010, the total number of APs issued to companies holding Open AP and Franchised AP were 53,659 units. How many are done according to procedure? The ministry must pay attention and ensure that there are no irregularities in the issue of AP.
Dr Tan Seng Giaw