some interesting points about proposed upcoming changes to the importation of used passenger vehicles, as per the govt productivity report into automotive sector. not sure if i should be sharing this, so i reserve the right to take down this thread. RECOMMENDATION 5.4 The Australian Government should progressively relax the restrictions on the importation of second-hand passenger and light commercial vehicles. The new regulatory arrangements for imported second-hand vehicles should be developed in accordance with the outcomes of the Australian Government’s current review of the Motor Vehicle Standards Act 1989 (Cwlth) and should: • not commence before 2018, and ensure that reasonable advance notice is given to affected individuals and businesses, such as vehicle leasing companies • be preceded by a regulatory compliance framework that includes measures to provide appropriate levels of community safety, environmental performance and consumer protection • initially be limited to vehicles manufactured no earlier than five years prior to the date of application for importation • be limited to second-hand vehicles imported from countries that have vehicle design standards which are consistent with those recognised by Australia. • The Australian Government should remove the $12 000 specific duty on imported second-hand vehicles from the Customs Tariff as soon as practicable. RECOMMENDATION 5.5 The Australian Government should accelerate the harmonisation of Australian Design Rules with the United Nations Economic Commission for Europe (UNECE) Regulations and the mutual recognition of other appropriate vehicle standards. The Australian Government and all state and territory governments should justify any existing and future jurisdictional deviations from UNECE Regulations through comprehensive and independent cost benefit analyses. RECOMMENDATION 5.6 The Australian Government should, in its forthcoming Taxation White Paper, consider: • the removal of the five per cent tariff on imported passenger and light commercial vehicles after Ford, Holden and Toyota have ceased manufacturing motor vehicles in Australia • the removal of the luxury car tax • more efficient sources of government revenue with which to replace these measures. RECOMMENDATION 5.7 • After Ford, Holden and Toyota have ceased manufacturing motor vehicles in Australia, the Australian, South Australian and Victorian governments should remove fleet procurement policies that require government agencies to purchase vehicles manufactured in Australia. OTHER POINTS OF INTEREST: • The Department of Infrastructure and Regional Development is currently reviewing the Motor Vehicle Standards Act. The Review will identify options to reduce regulatory burdens imposed on businesses by the Act, and improve its safety, environmental and anti-theft provisions. A Regulatory Impact Statement and public consultation processes are expected to begin in mid-2014 • There would also need to be an appropriate regulatory compliance regime covering the imported vehicles, with the expenses incurred by governments to be recouped on a cost-recovery basis. The Commission also considers that second-hand vehicle imports should be limited to source countries where vehicle design standards are consistent with those recognised by Australia. The Commission anticipates that the outcomes of the current Review of the Motor Vehicle Standards Act will provide insight into the appropriate regulatory framework for a future second-hand vehicle import scheme. • In view of the impending closure of the motor vehicle manufacturing plants in Australia, it seems even less plausible that having some local set of ADR standards that differ from internationally accepted design standards could be justified taking account of all the costs compared to the benefits.