SHAH ALAM – Car ownership in Malaysia is not merely a lifestyle choice; it is increasingly shaping how young couples approach family planning.
With vehicle prices remained high and public transport struggled to meet daily demands, more families were postponing or reconsidering parenthood to maintain financial stability.
Universiti Putra Malaysia (UPM) Engineering Faculty Road Safety Research Centre head Law Teik Hua said that car ownership costs significantly influenced family planning decisions for many young Malaysian couples.
“Beyond general child-rearing expenses, the transportation needs of a growing family are a significant consideration.
"Larger vehicles like MPVs and SUVs, which often cost over RM80,000, along with ongoing maintenance and fuel expenses, represent a substantial financial commitment. As a result, some couples choose to delay having children or limit their family size to maintain financial stability, especially under increasing economic pressures,” he said.
Law had clarified that affordability was relative to income levels.
While some may find local car brands reasonably priced, others, particularly young working adults earning between RM2,500 and RM4,000 monthly, might struggle to afford vehicles priced at RM50,000 and above.
“When factoring in additional costs like insurance, maintenance and fuel, even entry-level models from Proton or Perodua often require long-term loans stretching up to nine years, with monthly payments taking a significant chunk of their take-home pay.
"Although local cars are more accessible than international brands, calling them truly ‘affordable’ can be misleading for many early-career individuals or young couples planning families, particularly amid stagnant wages and rising living costs,” he added.
Law believes addressing car affordability requires multifaceted reform. He suggested reducing excise taxes on competitively priced, fuel-efficient vehicles to benefit first-time buyers and young families. Sponsored vehicle loan programmes could also provide financial relief.
To restore trust in the second-hand market, he proposed establishing a national vehicle history database tracking accidents and flood damage.
Encouraging the adoption of greener vehicles, such as hybrids and electric vehicles (EVs), through incentives would promote long-term affordability and environmental sustainability.
On the industry front, certified pre-owned programmes backed by manufacturers or reputable third parties could reduce buyer risks.
Strengthening public transport, particularly in low-income areas, through public-private partnerships, along with promoting car-sharing, ride-hailing and micro-mobility services, can help reduce overall dependence on private car ownership.
Piston.My Managing Editor and motoring expert, Keshvinder Singh Dhillon observed the broader societal factors at play.
He stressed that reducing traffic congestion and promoting more sustainable transportation methods should remain a priority.
“Strengthening public confidence in alternative transport modes, be it through reliable public transit, flexible leasing, or a safer used car ecosystem, is key to helping Malaysians navigate the high cost of vehicle ownership without compromising on quality of life or family goals,” he said.