Recently, the issue of oversupply in the second-hand car market in Malaysia has attracted widespread attention, and automotive analyst Hezeri Samsuri has issued a stern warning against it. He pointed out that if this issue cannot be resolved in a timely and comprehensive manner, Malaysia will face the risk of becoming a 'used car graveyard', which will not only have an impact on the automotive industry, but also have a profound impact on the national economy.

According to Herzli's analysis, the phenomenon of oversupply in the second-hand car market is mainly caused by multiple factors. On the one hand, the promotion efforts in the new car market are increasing day by day, and consumers can obtain more discounts when purchasing new cars, which to some extent encourages some car owners to eliminate old cars in advance and instead purchase new cars. On the other hand, Malaysia's loan terms are relatively long, and some consumers choose loan terms as long as 9 years to purchase new cars, which indirectly leads to an oversupply of vehicles in the second-hand car market. In addition, the maintenance cost of old vehicles is high, and many car owners choose to replace their vehicles with new ones after the warranty period ends, rather than continuing to repair and use them.

Herzli also mentioned that consumers' preference for new cars is one of the reasons for the surplus of used cars. In Malaysia, many consumers are more inclined to replace their vehicles with new ones after a period of use, rather than continuing to use old ones. This consumption habit has exacerbated the problem of oversupply in the second-hand car market.

Despite the low price of second-hand cars, in Malaysia, car owners still have to bear high insurance and regular inspection costs. These additional costs result in many old vehicles ultimately being scrapped, further exacerbating the surplus situation in the market. In developed countries, these costs encourage car owners to pay more attention to the maintenance and upkeep of their vehicles, extending their lifespan.

In the face of the surplus problem in the second-hand car market, Hezini called on relevant government departments to take active actions. He believes that the Ministry of Investment, Trade and Industry and the Ministry of Transport should develop specific action plans as soon as possible to design a reasonable "exit path" for old vehicles. He particularly suggests implementing a vehicle end-of-life plan, which aims to reduce carbon emissions and improve resource recycling by phasing out old vehicles that do not comply with modern regulations or are unsuitable for use on the road. However, this plan has been discussed in Malaysia for many years, but has not been effectively implemented due to a lack of implementation efforts.

In addition, Hezini also suggested reintroducing the "Cash for Old Cars" program to encourage car owners to scrap their old vehicles and provide at least RM5000 in vouchers for purchasing new cars. He believes that this plan should be combined with systematic collection of second-hand car data to support the effective implementation of policies. Through comprehensive data collection and analysis, the government can better understand the actual situation of the second-hand car market and provide a basis for formulating more scientific and reasonable policies.