The proposed tax incentive for the industry is seen as an encouraging move and in line with international market

by NUR HANANI AZMAN / pic source: carsome.my

CARSOME Sdn Bhd, South-East Asia’s (SEA) largest integrated car e-commerce platform, plans to integrate more selections of electric vehicles (EVs) on its platform following the pent-up demand and government’s tax incentives for EVs under Budget 2022.

Co-founder and group CEO Eric Cheng said the tax incentives is a very encouraging move, in line with the international market particularly US and Europe where EVs are becoming a bigger pie of the entire market share.

“So, we think why not for Carsome? We already have some Tesla models both new and used on our platform. Carsome is joining the EVs movement with brand-new Tesla models available now on our website starting with the Tesla Model 3. These Tesla models are available on a pre-order basis.

“Being a platform that has a lot of consumers that trust us to buy cars, we also see manufacturers’ principles talking to us at the same time trying to see how they can innovate the way they sell new cars as well. Tesla for example is selling their car online,” he told reporters during MIDF Conversations yesterday.

Under Budget 2022 the government has proposed to provide full exemptions on import and excise duties and sales tax, as well as road tax (up to 100%) for EVs to support the development of a domestic EV industry.

Individual income tax relief of up to RM2,500 will also be given on the costs of buying, installing, leasing or repayments of EV charging facilities.

Meanwhile, Carsome declined to comment further on possible listing in the US within the next 12 months.

It was reported in September that the company was in talks with sponsors of blank check companies for that purpose.

“This is something that along with the numbers, we won’t be able to comment for now. I think it’s something that we would find the right time to talk about,” Cheng said.

On the outlook for 2022, Cheng said they have seen how the industry picks up over the last few months since lockdown was removed.

“We are breaking record numbers on a month-to-month basis. We think that if there is no huge disruption in 2022, we will be able to continue with this momentum.

“There is a potential for us to create an ecosystem out of one single platform. I think that is where we are heading to in the next couple of years,” he added.

Cheng co-founded Carsome in 2015, and within six months, the company has evolved from a car comparison website to SEA’s largest integrated car e-commerce platform specialising in the selling and purchasing of used cars.

With his combined knowledge in accountancy, business development, digital marketing and strategy, he leads the overall strategic direction of the business across multiple vertical expansion strategies.

Carsome has 13,000 car dealers across Malaysia, Indonesia, Thailand and Singapore.