Customers flocked to car showrooms over the weekend following the latest drop in Certificate of Entitlement (COE) premiums, reported The Straits Times.

Dealers said prices of cars up to 1,600cc and 130bhp were around $5,000 less after COE premiums fell to their lowest level in nearly five years on Wednesday. But they expect prices to rebound as soon as the next round of bidding.

Business at some showrooms, such as those in Alexandra Road, was brisk when The Straits Times visited yesterday.

Mr. David Chung, Senior Marketing Manager for Mazda, saw a 30 to 40 percent rise in visitor numbers. "Prices for the popular Mazda 3 are a few thousand dollars cheaper than a month ago, mostly because of the lower COE prices," he said.

Mr. Eric Chan, Cycle & Carriage Managing Director of motor operations, said the drop in COE premiums for smaller cars, coupled with the Singapore Motor Show this week, is likely to fuel demand.