While COE prices for big cars took a huge tumble at the close of yesterday's tender, auto dealers said it will not be feasible to slash showroom prices by the same quantum. This is because they expect premiums to rebound in the month's second bidding, and they want to deliver on their buyers' orders, reported The Straits Times.

Yesterday, COE prices for Category B - for cars above 1,600cc or 130bhp - dipped to a six-year low of $38,610, falling 23 percent from $50,089 two weeks ago. In Category A - for cars up to 1,600cc and 130bhp - the premium fell to $46,651, down from $51,301.

Mr. Nicholas Wong, General Manager of authorised Honda agent Kah Motor, said he was cutting the prices for Category B cars by between $5,000 and $9,000. For example, the Honda Odyssey will now have a starting price of $137,000, instead of $142,000 previously. 

Nissan agent Tan Chong Motor said it was reducing the prices of Category A and B cars by "$5,000 to $6,000". For example, the Nissan Teana is now $121,988, down from $127,988 previously, while the Nissan Qashqai 1.2 is $106,988, down from $111,988. The firm's General Manager, Mr. Ron Lim, said slashing by the same quantum as Category B's drop would be "not realistic", as the premium would rebound.

But Kia agent Cycle & Carriage is reducing prices more in tandem with the COE tumble. In Category B, the Kia Carens will be priced at $99,000, down from $109,000, while the Kia Optima is now $112,000, down from $122,000. For small cars, the Kia Forte K3 is $86,000, down from $90,000.