Singapore’s latest Certificate of Entitlement (COE) prices have fallen. The first December 2025 bidding round concluded on Wednesday. Prices dropped across most vehicle categories.

This decline follows months of high premiums. The year-end travel season and softer demand are key factors. Industry experts are now weighing in on the final 2025 tender.
Breaking Down the Latest COE Price Numbers
The numbers show a clear downward trend. Category A, for smaller cars, closed at $105,413. That is a drop of $3,587 from the previous round.
Category B, for larger cars, fell to $123,900. The open Category E also dipped, finishing at $123,000. Only commercial vehicle prices saw a marginal increase.
This softening aligns with analyst expectations. According to Reuters, similar patterns have emerged during past holiday periods. Consumer spending often shifts away from big purchases.
What Dealers and Analysts Are Saying Now
The market sentiment is notably cautious. Several senior automotive executives spoke about the results. They cited widespread year-end travel as a major dampener.
Many potential buyers are currently overseas. This naturally reduces showroom traffic and bidding urgency. One managing director noted sales are “not crazy” right now.
There is also a strategic pause happening. Some buyers are waiting for the final 2025 bidding round. Others are anticipating policy changes set for early 2026.
This wait-and-see approach is suppressing prices. Dealers are not facing the same pressure to secure COEs aggressively. The current quota appears sufficient for the subdued demand.
A quick knowledge drop for you
Why did COE prices drop in December 2025?
Prices dropped mainly due to seasonal factors. The year-end holiday and travel period reduces buyer activity in showrooms. Less competition for certificates allows premiums to ease.
Will COE prices keep falling in 2026?
Experts are divided on the 2026 outlook. Much depends on government quota adjustments and economic conditions. Policy changes for hybrid vehicles could specifically impact Category B.
What was the Category A COE price in December?
Category A closed at $105,413 in the first December 2025 bidding. This reflected a decrease of several thousand dollars. It covers small cars and lower-powered electric vehicles.
How do COE prices affect car prices in Singapore?
The COE premium is a major component of a car’s final cost. When COE prices fall, dealers can potentially offer better deals. However, other factors like import taxes also play a role.
Where can I get trusted COE news updates?
Reputable financial and automotive news outlets provide reliable updates. Sources like Reuters and Bloomberg often cover major COE trends. Following official Land Transport Authority announcements is also crucial.
Is now a good time to buy a car with lower COE?
A lower COE price can improve affordability. However, buyers should consider overall market conditions and personal needs. Consulting with multiple authorized dealers for the full price picture is wise.
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