Finance Minister Lim Guan Eng denies that car prices will increase, as the government has yet to reach an agreement with regards to the restructuring of excise duties.

He said the changes, if any, would not affect the current excise duty rate.

"Should there be any changes, it must be made gradually and not abruptly. We are holding discussions regarding the matter to ensure transparency (in terms of reporting) so that we can continue to meet our obligations to the World Trade Organisation," he said.

Speaking to reporters after launching ''Budget 2020: Government Guarantee Schemes for SMEs'' by Syarikat Jaminan Pembiayaan Perniagaan Bhd in Kuala Lumpur today, Lim urged the public to wait for an official announcement from the government and not to take any speculation in the market as the final say.

Lim said this when was asked to comment on reports of a potential hike in the prices of locally assembled vehicles following the possible restructuring of automotive duties.

According to the reports, the International Trade and Industry Ministry and the Finance Ministry were in talks to determine the revised rates for excise duty policy involving locally assembled vehicles. 

- Bernama