Government Grant for Scrapping Old Cars
The Malaysian government has announced a matching grant of up to RM4,000 to encourage vehicle owners to dispose of their old vehicles and purchase new national cars.
This initiative, announced by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim during the tabling of Budget 2026, aims to promote the disposal of vehicles aged more than 20 years.
The government will match the grant offered by national carmakers, such as Proton or Perodua, up to RM4,000, resulting in a total rebate of RM8,000 for the old car.
The Malaysian Automotive Association (MAA) welcomes this move as a step towards End-of-Life Vehicles (ELV), but suggests that it should be extended to include other Completely Knocked Down (CKD) cars.
Author's summary: Gov't offers RM4k grant to scrap old cars.