News

Consumers should be the first priority in the car buying process

16.4.2015

The peak national body representing the motoring consumer, the Australian Automobile Association (AAA), has welcomed Federal Government moves to review vehicle import restrictions.

“It is important the interests of the consumer are front and centre of the car buying process through improved competition and affordability,” AAA Chief Executive Michael Bradley said.

The Federal Government is reviewing the Motor Vehicle Standards Act which determines what vehicles can be imported into Australia.

“The relaxation of vehicle import restrictions has the potential to improve motoring affordability with our analysis showing many new vehicles are more expensive in Australia than other comparable markets,” he said.

“Safety is a vital consideration and all imported vehicles – new or second-hand – must meet the current Australian Design Rules,” Mr Bradley said.

“The Federal Government must use this process to listen to the motoring consumer and the AAA will be using the Tax White Paper process to urge the government to also review other mechanisms such as the luxury car tax and import tariffs,” he said.

“With local manufacturing coming to an end in 2017 it is only fair that the date be named to remove vehicle import tariffs and the luxury car tax,” Mr Bradley said.

“Nine out of ten new vehicles sold in Australia are already fully imported so there is no longer any justification to maintain these taxes,” he said.

“The removal of tariffs could save the average new car buyer between one and two thousand dollars on the cost of a vehicle,” Mr Bradley said.

…ends.

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