MACC reportedly research into irregularities in the tire industry – import of unsuitable tires, service leaks – paulan.org

The Malaysian Anti-corruption Commission (MACC) is reportedly investigating alleged irregularities in the local tire industry. These irregularities include suspected price manipulation practices that are said to have put an unnecessary burden for the consumer, such as the New Straits Times Reports.

A nameless source told the news publication that an important care is the import of tires, which can reach up to 300 containers annually. It is said that the government may lose up to RM70 million a year due to leaks in the collection of import tasks with approximately 100,000 imported tires, mainly for heavy vehicles, each priced at an average of RM1,600 per unit.

According to the source, the losses are apparently due to unpaid import duties of up to 40% on tires imported from non-AFTA countries (Asean free trade area), as well as collections of the 10% Sales and Services Tax (SST). Moreover, it is assumed that some of these tires are unsafe or unsuitable for use on Malaysian roads, which leads to serious concern about road safety.

“MACC keeps a close eye on the problem and will take further action, including opening a research paper if necessary,” said the source. Contact by the NST, Macc’s Special Operations Division Senior Director thatuk Mohamad Zamri Zainul Abidin confirmed the case, but refused to comment further.

As indicated in the news report, the controversy comes in the midst of rising tire prices in Malaysia, which has reportedly increased by five to 10% in recent years, whereby some sources claim that prices have tripled since 2022. While the price increase is often attributed to the weakened ringgit, the concern about the quality and safety of imported tires that are sold locally are.

Earlier, Daily news Reported founder and adviser Jamil Manan Supri, founder and adviser of RSEA), say that Tyre-related problems are an important cause of traffic accidents, especially those with heavy vehicles.

He said that, despite repeated incidents of ties that failed – either by exploding or loosening – on these vehicles and ‘flying tires’, enforcement in this area remained weak and that, if not corrected, would result in more ‘ticking time bombs’ that could strike without warning.

Do you want to sell your car? Sell ​​it with Auto.