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AAAA Welcomes ACCC Market Study into New Car Retailing Industry

The market study into the New Car Retailing Industry announced 17 June 2016 by the Australian Competition & Consumer Commission (ACCC) is strongly supported by the Australian Automotive Aftermarket Association (AAAA).

Through its extensive membership and operating network, the AAAA has formed progressive views about the competition and consumer issues in the automotive industry.

AAAA Executive Director Stuart Charity said that these issues are significant in the automotive market because a new vehicle purchase and its ongoing maintenance represent a significant portion of the household budget for the owners of Australia’s 17 million vehicles.

“For many years the AAAA has advocated for a level playing field and stronger consumer law protection for Australian vehicle owners. Within Australia’s transport network, road vehicles make a vital contribution to consumers’ working and family lives. This translates to a huge contribution to the national economy,” he said.

Stuart Charity said that three of the areas of focus for the ACCC market study have long been of concern to AAAA members and have been the subject of many submissions to various government inquiries and reviews:

  • Compliance with consumer guarantees obligations and the ability of consumers to enforce their rights.
  • The effect on competition and consumers of post-sale care arrangements (such as servicing).
  • Whether consumers and businesses could be affected by any restrictions on vehicle access to data.

The fourth area of investigation for the ACCC study is false, misleading and deceptive practices in performance, fuel efficiency, fuel consumption and emissions, also a topic raised in a recent AAAA submission to government.

“AAAA welcomes this ACCC market study. The scope and processes planned for this work will produce important findings to help guide the industry and protect consumer rights,” said Stuart Charity.

“The AAAA looks forward to contributing to this work to ensure that Australian consumers drive safe and reliable vehicles – and that they benefit from an open, fair and competitive automotive market place,” he said.

Read the ACCC New Car Retailing Industry market study media release HERE.

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