Abolition of proposed new-vehicle parallel imports a wise decision: VACC

17 August, 2017

The Victorian Automobile Chamber of Commerce (VACC) has welcomed the Turnbull Government’s announcement that the Road Vehicles Standards Bill will not include the originally proposed allowance for the personal importation of new vehicles.

The draft document, issued in February 2016, proposed that the importation of new or near-new vehicles from the United Kingdom and Japanese markets be allowed under the guise of consumer benefit.

VACC campaigned strongly against the proposed legislation on behalf of its Victorian Automobile Dealer Association members, as the overall detriment clearly outweighed any advantages.

“The negative consequences of the original proposal for all stakeholders was obvious. VACC is pleased that the Turnbull Government has listened to the experience of the automotive industry,” said VACC Executive Director, Geoff Gwilym.

Mr Gwilym, added that the decision is good for all parties.

“This ruling in the Road Vehicles Standards Bill now affords better consumer protection for unwary motorists who either import a vehicle into Australia for their own use, or to unwary subsequent buyers of these imports who may not know exactly what they are purchasing.

“Enthusiasts and collectors wishing to import low-volume ‘specials’ or classic cars may still do so as they have done in the past. It is a win for all motorists,” said Mr Gwilym.

Importantly, the ruling means that Licensed Motor Car Traders will also be protected from the expected fallout from adopting the original proposal, which would include a raft of possible complaints about a vehicle’s operating condition and/or lack of parts supply for a vehicle that was never intended to be driven on Australian roads.

“Changing the existing personal importation laws for new vehicles would have necessitated complex communications programs to alert consumers of the possible issues surrounding personal imports and/or subsequently purchasing a personally imported vehicle, such as a possible lack of consumer protection arrangements, the possibility that a manufacturer’s warranty may not extend to a vehicle imported into a non-intended region, and the arrangements around possible manufacturer safety recalls,” said Mr Gwilym.

The updated Road Vehicles Standards Bill will be implemented in 2019.