Singapore - Record petrol prices have hit budget car sales the hardest, with monthly pump prices beginning to match loan instalment payments for some models, published trade figures said Friday. Sharp drops in sales of 50 per cent or more hit Chevrolet, Hyundai, Kia and Ford, The Straits Times said. Chinese brands are also reeling.
Models priced below 60,000 Singapore dollars (44,776 US dollars) were the worst hit.
"Budget cars are bought by budget buyers," Paul Ng, general manager of Vertex Automobile, was quoted as saying. Vertex distributes China's Chery. "With inflation so high, these people would want to take care of necessities rather than spend on big- ticket items."
The Motor Traders Association said 23 of 33 member brands suffered a drop in sales in the first five months of 2008.
Of the 10 that bucked the trend, seven were luxury models such as Mercedes-Benz, BMW, Audi and Ferrari, the report said.
For luxury car owners, petrol is not a "big" consideration, Ng said.
