Cat A vs Cat B: Compare the Car, Not Just the COE Gap
A narrow Category A–B spread can change a shortlist. Compare exact variants, final prices and running costs before deciding an upgrade is good value.
In March 2026’s second exercise, the Category B premium exceeded A by $3,678. That difference made it useful to compare final quotations across categories. It did not mean that moving to a larger or more powerful car cost only $3,678.
Verify the exact variant
The Category A limits differ between fully electric and other cars. Use the registered specifications, not a model name, a brand’s reputation or a generic “standard range” label. The category guide explains the thresholds.
Isolate the certificate difference
Suppose your two final on-road quotations are $180,000 and $210,000. The $30,000 package gap is the amount to assess. Even where the exercise premium gap is small, the vehicle’s import value, tax, equipment and commercial terms can create a much larger difference.
Ask whether both quotes include guaranteed COE, the same number of bidding attempts, comparable delivery dates and the same financing conditions. A conditional discount can make an apparently cheaper package more expensive over the loan period.
Compare five recurring items
- Insurance for the actual drivers and intended use.
- Road tax based on the correct powertrain, capacity or power and vehicle age.
- Energy cost at your mileage and available charging or fuel price.
- Servicing, wear items and warranty exclusions.
- Parking, fit and practical access for passengers and luggage.
Category does not guarantee the size of these bills. An EV is not automatically cheaper in every running-cost line, and a brand alone cannot establish a resale premium. Obtain the actual terms and use conservative disposal assumptions.
Test the extra commitment
In an illustrative seven-year loan at a 2.8% flat rate, an additional $18,000 borrowed adds $3,528 interest and about $256.29 a month in repayments. If the $30,000 package gap is financed at 60%, the remaining $12,000 is an additional deposit. This example isolates financing; it does not establish eligibility or an available rate.
What the narrow spread does not prove
A single inversion or convergence does not show that the categories have permanently changed value. It also does not identify the people bidding in each pool. The official category review should be monitored, but no hypothetical new boundary or price saving belongs in a firm purchase budget.
Choose the vehicle that meets the transport need within the full budget. Use the total-cost calculator to compare the two offers and check the latest exercise before reusing March’s spread.
Sources and review date
Reviewed on 13 September 2026. Historical results retain their exercise dates; worked budgets are assumptions, not quotations.