Hmm what I can summarize based on this 2 part rather lengthy article, the cause of high car prices are:
1. High excise duty of up to 105% of the car costs/factory prices (not 105% from the car final selling prices ya). Solution? Scrap the excise duty. :P
2. Local cars cannot compete with the economy of scale from foreign brands hence the local car prices are rather high. This in turn drives up foreign car prices too.
Solution? scrap local cars. :P
3. Limited AP & the opaque manner of granting the AP by the gov indirectly drives up car prices as the AP holder/franchise try to limit/match their supply capability with the market demand so not to cause over demand/order queuing up to much.
Solution? Scrap AP all together or don't put limit/quota on it.
4. Malaysia market smaller hence less bargaining power to the manufacturers in other countries.
Solution? should be somewhat alleviated if other factors scrapped to drive prices down and hence will grow the market, isn't it? :P
5. Weaker MYR exchange rate value.
Well not sure what would be the solution here. :D Make the economy more prosper so the currency will gain value, maybe? Don't have any idea how to do that. If I do, I'd be economic minister by now. :D
6. No transparency from gov. arms on some factors that affects the car prices, for example when determining rebates to local cars, and control (or lack thereof) on ex-factory prices decalred to the Customs to impose taxes.
Solution? If no.1 & 2 above are done then this should be less of an issue, right? :D
I guess that's all, feel free to add or CMIIW.