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The government has confirmed the Vehicle Replacement Matching Grant Programme will continue into 2027, allowing owners of cars aged 20 years and above to trade in their vehicles for a new Proton or Perodua and receive a combined rebate of up to RM4,000.

Its extension was confirmed in key budget documents compiled by the Ministry of Finance (MOF).

Under the structure, the government contributes up to RM2,000, matched by the participating national carmaker — Proton or Perodua — for an equivalent amount.