Executive Summary
January 2026 saw a dynamic start for Singapore's Certificate of Entitlement (COE) market, with mixed movements across vehicle categories. Category A premiums surged notably, reflecting heightened demand for smaller cars, while Category B also saw an increase. Conversely, commercial vehicle (Category C) and Open Category (Category E) premiums experienced slight dips, though competition remained intense.
First Bidding Exercise Results
| Vehicle Class | Quota | Bids Received | Bids Success | Premium (SGD) | Over-subscription % |
|---|---|---|---|---|---|
| Category A | 1,285 | 1,658 | 1,284 | $102,009 | 129.03% |
| Category B | 824 | 1,128 | 821 | $119,100 | 136.89% |
| Category C | 287 | 394 | 286 | $75,503 | 137.28% |
| Category D | 544 | 639 | 527 | $8,689 | 117.46% |
| Category E | 278 | 528 | 247 | $122,000 | 189.93% |
Second Bidding Exercise Results
| Vehicle Class | Quota | Bids Received | Bids Success | Premium (SGD) | Over-subscription % |
|---|---|---|---|---|---|
| Category A | 1,301 | 2,303 | 1,277 | $109,501 | 177.02% |
| Category B | 803 | 1,207 | 800 | $121,634 | 150.31% |
| Category C | 283 | 434 | 280 | $75,202 | 153.36% |
| Category D | 538 | 609 | 523 | $8,860 | 113.20% |
| Category E | 299 | 426 | 299 | $120,891 | 142.47% |
Detailed Analysis
Bidding Competition
Over-subscription rates, which measure the number of bids received per available COE, provide a clear indication of market demand. In January 2026, the first bidding exercise saw Category E (Open Category) leading with an exceptionally high 189.93% over-subscription, meaning nearly two bids were submitted for every COE available. This underscores its role as a flexible, highly sought-after category for various vehicle types. Category B (larger cars) and C (commercial vehicles) also showed strong demand, both exceeding 136%. Category D (motorcycles) remained the least competitive, with a rate of 117.46%.
The second bidding exercise brought a significant shift, particularly for Category A (smaller cars). Its over-subscription rate jumped dramatically from 129.03% to 177.02%, indicating a sharp increase in demand for entry-level private vehicles. Category B also saw increased competition, moving from 136.89% to 150.31%. Interestingly, Category E's over-subscription moderated to 142.47%, still high but less frenzied than the first round. Category D continued to be the least competitive at 113.20%, reflecting its distinct and less volatile market segment.
Premium Movements
The final premium amounts reflect the intense competition. In the first bidding exercise, Category E commanded the highest premium at $122,000, followed closely by Category B at $119,100. Category A secured a premium of $102,009, while commercial vehicles (Category C) settled at $75,503. Motorcycle COEs (Category D) remained the most affordable at $8,689.
Between the two exercises, the most significant movement was observed in Category A, which saw its premium climb by an impressive $7,492, a 7.34% increase to reach $109,501. This aligns directly with its sharp rise in over-subscription, signifying robust demand for small to mid-sized cars. Category B also experienced a modest increase of $2,534 (+2.13%), bringing its premium to $121,634. In contrast, Category C premiums saw a slight dip of $301 (-0.40%), settling at $75,202. Category E premiums also softened slightly by $1,109 (-0.91%) to $120,891, possibly due to price resistance after its initial high. Category D premiums edged up slightly by $171 (+1.97%) to $8,860.
Category Performance
January 2026 highlighted a clear divergence in performance across categories. Private car categories (A, B, E) continued to dominate in terms of demand and premium levels. Category A demonstrated the most dynamic growth, with both its over-subscription rate and premium experiencing substantial increases. This indicates a strong appetite for more accessible private car ownership. Category B maintained its position as a high-value category, showing consistent demand and a modest premium climb.
Category E, while still holding the highest overall premiums for the month, showed signs of slight moderation in its second exercise. This could suggest that bidders, faced with persistently high prices, may be exercising more caution. Categories C and D remained relatively stable. Category C, despite a dip in premium, saw increased over-subscription, indicating underlying commercial demand. Category D, the motorcycle category, consistently presented the lowest premiums and over-subscription rates, cementing its position as a separate market segment with different demand drivers.
What This Means for Car Buyers
The January 2026 COE bidding rounds provide critical insights for prospective vehicle owners in Singapore.
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Category A Buyers (Small Cars): The significant surge in Category A premiums is a strong indicator of rising demand for entry-level and mainstream cars. Buyers looking for vehicles under 1600cc or 130bhp should anticipate continued high prices and intense competition. Delaying a purchase might mean facing even higher premiums in subsequent bidding rounds if demand sustains its current trajectory. Consider bidding strategically and having a clear budget.
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Category B Buyers (Larger Cars): Category B premiums saw a moderate increase, reflecting steady demand for larger or more powerful cars. Buyers in this segment should be prepared for premiums above $120,000. While not as volatile as Category A this month, the market remains competitive. It's crucial to factor these high costs into your overall vehicle budget.
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Commercial Vehicle Buyers: Despite a slight premium dip in the second exercise, the increased over-subscription for Category C suggests underlying demand for goods vehicles and buses. Businesses should monitor upcoming quota announcements closely, as quota adjustments can significantly impact prices in this segment. The slight premium reduction might offer a fleeting opportunity, but long-term trends could still see upward pressure.
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Motorcycle Buyers: Category D continues to be the most affordable COE segment. Premiums saw a small increase but remain relatively stable. For motorcycle enthusiasts, this category offers the most predictable bidding environment, though competition is always present. Keep an eye on overall economic conditions, as a strong economy can indirectly influence even this category.
Overall, the start of 2026 shows a robust COE market, particularly for private cars. With COE quotas adjusted periodically, understanding these demand patterns is key. Buyers should stay informed, set realistic budgets, and consider the potential for continued volatility, especially in the private car categories. It's always advisable to consult with dealerships about projected prices and bidding strategies.
