actually another main factor is also the bike shops, although their cause and effect not so apparent
recently i wanted to sell off my class 2 bike to purchase another one, i went down to one of the big players in kaki bukit, they have tons of high end bikes and im interested in one of them, tried my luck and asked about trade in, kenna shoot upside down by the sales guy because he thinks my pricing unreasonable...
the point i'm saying is, they have LOTS of brand new bikes in their showroom, the bike COE quota already so low and yet these big bike shops still continue to bid and keep bikes in their shop, keeping the demand there, of course COE will keep going up. secondly, i realized they are selling second hand bikes at quite low price, meaning that even the second hand market pricing are controlled by bike shops, i listed my asking price on the forum as so and so, then i saw their ad and have to drastically reduce my asking price, afterall, for the same pricing, one would rather get a second hand bike from shops than direct user. thirdly, i read this comment somewhere that bike shops are able to cope with rising COE is because the higher cost means people have to take larger loan from them and they earn from installments too.
tl;dr: bike shops are one of the factor jacking up bike COE