Singapore

High-end bike prices raised by as much as S$27,000

High-end bike prices raised by as much as S$27,000
The price increase came after the Government announced a new tax system for motorcycles in the Budget statement on Monday. Photo: Nuria Ling
Published: 4:00 AM, February 23, 2017
Updated: 11:58 AM, February 23, 2017

SINGAPORE — Two days after they were hit by the news that most of their models would draw heftier taxes, motorbike dealers such as Ducati Singapore and MV Agusta have revised prices for high-end motorcycles.

The price hikes for these two-wheelers range from a few thousand dollars to over S$27,000. The changes came after the Government announced a new tiered tax system for motorcycles in the Budget statement on Monday.

Under the new Additional Registration Fee (ARF) system, which kicked in from the Certificate of Entitlement (COE) bidding exercise that started yesterday, the 15 per cent ARF rate will stay for motorbikes with an open market value (OMV) of up to S$5,000.

However, there are two new tiers: The subsequent S$5,000 of a motorbike’s OMV will incur a 50 per cent ARF, and the remaining OMV — beyond S$10,000 — will come with a 100 per cent ARF.

Checks by TODAY revealed that the costliest Ducati model, the Superbike Panigale R (1,198cc), which had a price tag of S$76,000 as of last month, will now cost S$103,800 — an increase of more than S$27,000.

This is a touch above the price of some small cars, such as a Toyota Corolla Altis Elegance 1.6 (1,598cc), which is priced at nearly S$102,000, based on the latest figures.

The increases will be easier on the wallet for Ducati’s popular Scrambler range. A Scrambler Icon Red (803cc), for instance, will now cost S$30,800 — up from S$28,800 last month.

Similar checks with BMW Motorrad showed that prices were projected to increase “S$5,000 to S$12,000”, although the full price list was not ready. The previously listed machine prices for its bikes ranged between S$22,000 and S$46,000.

The machine price refers to the cost of a motorbike, and typically includes elements such as the ARF, but excludes insurance. The on-the-road price, on the other hand, includes elements such as insurance and road tax for stipulated periods, and the Goods and Services Tax.

At Italian bike-maker MV Agusta Singapore, the machine price for an F3 bike will now amount to S$36,800, up from S$30,000 before. One of the sharpest jumps will be for its Lewis Hamilton model, which is now priced at “slightly over S$60,000”, up from about S$50,000.

Announcing the ARF system — meant to address the trend of costlier models gaining popularity — Finance Minister Heng Swee Keat said on Monday that going by current registration trends, more than half of new motorcycle buyers would not have to pay more.