Category A COE hits record S$129,000 on July 8 as demand surges

Singapore’s car market hit a new ceiling on Wednesday. Category A Certificate of Entitlement (COE) premiums closed at a record S$129,000, up S$5,153 from the previous exercise. All five vehicle categories posted gains, with 4,950 bids chasing just 3,214 available COEs. The Land Transport Authority attributed the surge to a three-week gap since the last bidding round, which compressed demand into a single exercise.

Record prices across all vehicle categories

Category A COEs for smaller cars and electric vehicles jumped 4.2% to S$129,000, surpassing the previous record of S$128,105 set in October 2025. Category B premiums for larger, more powerful cars climbed 6% to S$130,889. Commercial vehicle COEs hit S$95,000, a 2.1% increase and a new all-time high. Motorcycle COEs rose 2.1% to S$10,201, marking the third time this year the category breached five digits. Open category COEs edged up 0.62% to S$129,801.

Why the three-week gap triggered the spike

The extended interval between exercises compressed buyer demand into a single bidding round. Industry observers noted that one additional week beyond the standard two-week cycle meant more orders accumulated. Ng Choon Wee, commercial director of Komoco Motors, told media that order collection had been strong after COE prices dipped at the previous round as buyers return from their mid-year holidays. The Land Transport Authority urged buyers and dealers to be prudent in bidding for COEs.

Demand far outpaces supply

The latest exercise received 4,950 bids across five categories for only 3,214 available COEs, a 10.8% increase in total bids compared to the previous round’s 4,462 submissions. Category A alone drew 1,879 bids for just 1,244 COEs. Category B received 1,500 bids for 867 COEs. This persistent supply shortage keeps prices elevated and signals sustained buyer appetite despite record premiums.

What this means for Singapore car buyers

The record COE prices add substantially to the total cost of vehicle ownership in Singapore. A buyer purchasing a Category A car now faces a minimum S$129,000 premium before paying for the vehicle itself. The compressed bidding cycle suggests future exercises may see similar demand spikes if intervals remain extended. Buyers and dealers face a choice between bidding aggressively at current highs or waiting for the next exercise, though no relief appears imminent given sustained demand.

Final Thoughts

Singapore’s car market remains one of the world’s most expensive. With Category A COEs now at S$129,000 and all categories posting gains, buyers face mounting barriers to vehicle ownership. The three-week bidding gap amplified demand, but underlying supply constraints suggest prices will remain elevated.

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