Singapore Category A COE Hits Record S$133,009 on September 9

Singapore’s Category A Certificate of Entitlement premiums smashed through the S$130,000 barrier for the first time ever, closing at a record S$133,009 on Wednesday, September 9. The 3.5% jump from S$128,501 marks the second record set this year and reflects tight vehicle supply, a three-week bidding interval, and buyer rush ahead of January 2027 EV incentive cuts. Every COE category rose, with motorcycles surging 11.1% to S$12,556.

Why Category A COE hit record highs

Category A premiums, covering cars with engines up to 1,600cc and horsepower not exceeding 130bhp, rose S$4,508 or 3.5% to S$133,009. This breaks the previous record of S$129,000 set on July 8, 2026. The Land Transport Authority attributed elevated prices to the three-week interval since the last exercise, compared to the usual two-week gap. Motor dealers said the extra week gave them time to accumulate orders, fueling demand.

All vehicle categories posted gains

Category B cars (larger, more powerful vehicles) climbed 3.1% to S$135,001, the highest since November 2023. Commercial vehicle COEs rose 3.4% to S$93,101, while motorcycle premiums jumped 11.1% to S$12,556, marking the fifth consecutive round of increases. The open category (Category E) rose 2.1% to S$137,890. All categories closed higher despite tight supply.

EV incentive cuts and buyer urgency driving demand

Industry insiders cited the impending cut in electric vehicle incentives from January 2027 as a key driver of this round’s high prices. Buyers are rushing to secure COEs before incentives shrink, adding pressure to already constrained supply. Expectations that COE prices will continue to rise further fueled bidding intensity. The quota for August to October stands at 19,085 COEs, a 0.2% increase from the previous quarter’s 19,052.

What this means for Singapore motorists

A Category A COE alone now exceeds many Singaporeans’ annual household income. The total on-the-road price for a typical 1.6-litre family car routinely exceeds S$200,000. With inflation running at 2.2% and T-bill yields at just 1.56%, the cost of vehicle ownership is squeezing household budgets. The Land Transport Authority urged buyers and dealers to remain prudent when bidding for COEs.

Final Thoughts

Category A COE premiums have crossed S$133,000 for the first time, reflecting tight supply and buyer rush before EV incentive cuts. For Singapore motorists, total vehicle ownership costs now far exceed S$200,000 for mainstream cars, making COE affordability a pressing household issue.

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