SINGAPORE — Certificate of Entitlement (COE) premiums fell across all five categories in Singapore’s latest bidding exercise on Wednesday, Sept. 23, with the Category A premium retreating from a record high reached just two weeks earlier.
The latest results marked a broad reversal from the Sept. 9 exercise, when premiums climbed across every category and Category A reached an all-time high of S$133,009.
Category A Drops From Record High
The Category A COE premium, covering smaller and less powerful cars as well as qualifying electric vehicles, fell to S$131,890, down S$1,119, or about 0.8 per cent, from S$133,009.
The September peak had surpassed the previous Category A record of S$129,000 set in July.
Category B, for larger and more powerful cars and qualifying EVs, also declined, falling from S$135,001 to S$133,890.
While both car categories remain above S$130,000, the latest results ended the across-the-board upward movement seen in the previous tender.
Every COE Category Moves Lower
The declines were not limited to private cars.
The latest premiums were:
- Category A: S$131,890, down from S$133,009
- Category B: S$133,890, down from S$135,001
- Category C: S$91,889, down from S$93,101
- Category D: S$12,001, down from S$12,556
- Category E: S$136,001, down from S$137,890
That means commercial vehicles, motorcycles and the Open Category also recorded lower premiums in the same exercise.
The Market Had Just Hit Records
The latest decline comes after an unusually strong Sept. 9 tender.
At that exercise, Category A jumped 3.5 per cent to S$133,009, while Category B increased 3.1 per cent to S$135,001. Category C climbed to S$93,101, Category D to S$12,556 and Category E to S$137,890.
The Sept. 9 exercise followed a three-week gap between bidding exercises instead of the usual two-week interval. Motor industry observers said the longer interval gave dealers and buyers more time to accumulate orders, contributing to the stronger bidding activity.
The latest exercise returned to the regular bidding schedule, providing a different supply-and-demand backdrop.
COE Supply Remains Tightly Managed
Singapore’s COE system is designed to regulate the number of vehicles on the road.
For the August-to-October 2026 period, the Land Transport Authority set the total COE quota at 19,085, representing a 0.2 per cent increase from the previous quarter.
The quota is calculated using vehicle deregistrations and other adjustments, meaning the number of certificates available is closely linked to the existing vehicle population and policy parameters.
Because buyers compete for a limited number of certificates, changes in demand can produce substantial movements in premiums from one tender to another.
Why the Latest Drop Matters
The Sept. 23 results show that even after COE premiums reached record or near-record levels, prices can move in the opposite direction from one bidding round to the next.
However, the decline does not mean COE prices have returned to low levels.
Category A remains above S$130,000, while Categories B and E are also above that threshold. The latest premiums therefore remain historically elevated despite the week-to-week correction.
For prospective vehicle buyers, the COE is only one component of the total cost of acquiring a vehicle in Singapore. Registration taxes, the vehicle’s purchase price, financing and other ownership expenses also contribute to the final cost.
What Happens Next?
The latest bidding results provide a fresh snapshot of Singapore’s tightly controlled vehicle market, but they do not by themselves establish where premiums will move in subsequent tenders.
What is clear is that the September market has already produced two sharply different outcomes: record-setting increases on Sept. 9 followed by declines across every category on Sept. 23.
With Category A moving down from its record and every other COE category also falling, Singapore’s latest tender offers a notable change in direction — but the next bidding exercise will show whether the September decline continues or proves temporary.
For Singapore motorists, the headline is simple: COE prices finally moved lower across the board, but the cost of securing the right to own a vehicle remains exceptionally high.
WWC ONE MEDIA G,A
