Luxury cars sales in Singapore decreased after the money laundering scandal

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Luxury car sales in Singapore decreased, as buyers avoided wealth offers after the government raised vehicles on vehicles and discovered due care checks in response to the money laundering scandal of $ 2 billion.

The number of new Bentley models, Ferrari, Jaguar, Rolls -Royce, which was sold in the city of the city, decreased by three quarters last year compared to 2023, when wealthy buyers collected luxury brands after the harmful money laundering issue in which the police obtained degrees of clear vehicles.

“Most of the luxury cars have been purchased in recent years by Chinese customers,” said Anason Lee, the administrative director of the sale of luxury cars in Asia. “After the scandal, you see now that the market runs.

“I still have Chinese clients, but they want to maintain a low level, so the entire market slows down,” he said, adding that his customers prefer increasingly Electric vehicles.

EV sales, especially for the Chinese BYD company, which was the second best -selling car brand in Singapore Last year after entering the market only in 2020.

Byd Sales reached 6191 in 2024, an increase of four times in the previous year, while Tesla sales multiplied more than 2,384, according to numbers from the Land Transport Authority.

Meanwhile, the New Rolls-Royce sales decreased from 95 to 23 last year, while the Ferrari figure decreased from 97 to 29. The new Jaguar number decreased to nearly half to 27, while Bentley’s sales decreased to 25 out of 58.

Bentley attributed the decline to the current tour of the models, with new versions of Continental GT and Flying Spur, which only enters the market at the beginning of this year. It is expected that sales will improve with the availability of new cars.

Jaguar, Ferrari and Rolls Royce refused to comment.

Singapore has seen a wealth flow in recent years, especially from Chinese citizens, as it is competing as the center of asset management and wealth in Asia, but aspirations have also become risks.

The city was rocked two years ago by a The issue of money laundering The involvement of individuals associated with a gang from the Chinese province of Fujian. During property raids throughout the island, the police seized 77 vehicles.

In one of the property, four cars worth $ 4.7 million Singapore ($ 3.5 million) were confiscated, including Red Rolls-Royce Dawn, Rolls-Royce Cullinan, Red Porsche 911 TARGA and White Toyota Alphard.

A person involved in the case that was sentenced to 10 individuals said.

The merchants said that one of the reasons for the decline in new luxury cars is that confiscated cars were sold to the market. The Minister of Justice in Singapore, as Shangmogham, said last month that the government had sold 33 of the seized cars so far.

In response to the scandal, the government of Singapore asked luxury car dealers, real estate agents and sellers of gemstones to Check the sources of financing For their most expensive products and reporting buyers, criminal links are suspected.

He told me: “We (always) had to do the due care for customers, but this has become more sensitive due to the state of money laundering.”

Luxury cars sales were also struck a higher tax offered in 2023 to cool what the government considers Feverish market It comes out of the Covid-19s.

Taxes on the most expensive cars – those exceeding $ 80,000 Singapore – increased to 320 percent of 220 percent. The government also made changes to reduce the value of cars.

Another consideration of buyers is the cost of entitlement certificates, which the residents must get before allowing them to buy a car. Prices depend on the bidding system to control the number of vehicles on the road.

For the most powerful models, certificates currently cost less than $ 117,000 Singapore, an increase of 96,000 Singapore dollars per year, but much less than $ 150,000 Singapore in November 2023, reflecting the low demand for high -end vehicles.