www.autofile.co.nz DECEMBER 2020

THE TRUSTED VOICE OF THE AUTO INDUSTRY FOR MORE THAN 30 YEARS Government urged to drive greening of fleet Industry organisations say uptake of low-emissions vehicles is simply a matter of supply and demand Battling oliticians are being urged when EVs are unsuitable, such as through not to delay and lead by for some military purposes. Covid-19 example when it comes While the wholesale storm Pto promoting the uptake of transformation of the fleet in low-emissions vehicles in the just a few years is a big ask, p 8 fight against climate change. some progress has been made Organisations representing in recent years by New Zealand the automotive industry believe Government Procurement Something small for government departments, (NZGP) when it comes to the Christmas stocking agencies and local bodies can all-of-government (AoG) motor- help stimulate the market by vehicles contract. opting for greener models as For example, it recently fleets are purchased. announced Tesla, Kia, MG and p 14 When fleets are then Volvo have been added to the AoG renewed, this would in turn vehicles catalogue. boost the supply of second-hand “This will give agencies stock enabling dealers to meet These four more choice as they work burgeoning demand. marques have towards having an emissions- been added The call for action comes as to the all-of- free government fleet,” says a Prime Minister Jacinda Ardern government spokesman for the NZGP. Ford prepares for vehicles has declared a climate change catalogue There are now 18 suppliers electric charge p 21 emergency in New Zealand and on the motor-vehicles contract pledged the whole public sector with 14 of those able to provide fleet – which currently totals electric vehicles (EVs) for AoG. about 16,000 vehicles – will be Nissan and Motorcorp carbon-neutral by 2025. Distributors, which represents All government agencies are Jaguar Land Rover, were added Kiwi’s record now required to only purchase to it in October 2019 when they p 24 electric vehicles (EVs), or hybrids joined Audi, BMW, Ford, Holden, at Nürburgring

[continued on page 4]

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DELIVERING THE PERFECT season welcomed DIRECTORS EDITOR Brian McCutcheon Darren Risby [email protected] [email protected] ph. 021 455 775 Frank Willett ponders the year that was, from JOURNALISTS CHRISTMAS REWARD! shipping disruption to auction prices booming Darren Wiltshire Sue Brebner-Fox [email protected] [email protected] ph. 021 0284 7428 hank goodness When it comes to Matthew Lowe [email protected] the end is nigh stock, there are signs DESIGNER because most of auction prices in Japan Adrian Payne MOTORSPORT usT will be glad to see the are easing up. [email protected] Mark Baker [email protected] back of 2020. One positive coming During my 25- out of this major plus years in the used disruption and the ESC Autofile magazine is also available online as a readable file or downloadable as a PDF. Subscriptions are available at Autofile Online – www.autofile.co.nz. imported-vehicle rule is we’re now seeing FRANK WILLETT Back copies are also available on the website. industry, I’ve never a higher proportion of Chief executive, Copyright: Published monthly by 4Media Ltd, Wellington, New Zealand. experienced such a deep Autohub NZ hybrids and electric cars and prolonged impact as being imported. All statements made, although based on information believed to be accurate and reliable, cannot be guaranteed, and no liability can be that which Covid-19 has created. These vehicles were destined accepted for any errors or omissions. Reproduction of Autofile in The ongoing “wake” caused is to become mainstream due to the print or digital format in whole or part without written permission, continuing to the point where we used-import trade here following whether by copying or any other means, is strictly forbidden. are unable to see its end. the trends of Japan’s domestic fleet All rights reserved. ISSN 0112-3475 (print) ISSN 2350-3181 (online) And because the planet has – albeit eight years or so behind. essentially become “one market” Things have, however, been for many things, the global accelerated. interruption to getting anything And thanks to the Japanese from anywhere – and quickly – has market’s metabolism re-awakening profoundly impacted on people. with more new-vehicle sales Vehicle Inspection NZ As for used-imported cars, the releasing more used stock, the industry has suffered over the past pressure of finding quality product at year with the final phase of the ESC the right price-points appears to be Entry Certification rule for all light vehicles. easing. This will hopefully continue. It has effectively removed Set to further help the used Specialists 30 per cent or more of what was market is the apparent lag some being imported mainstream and, distributors have in acquiring new simultaneously, the coronavirus stock. Anecdotally, some new-car lockdown froze business in its tracks. retailers are changing their business There have been unexpected models to survive, such as recycling post-shutdown buying frenzies, trade-ins and buying used stock stock shortages, no good used locally and offshore. In fact, anything vehicles available and or higher to ensure they have something to priced stock in Japan, and “will I offer clients during these times. be able to open tomorrow”. Some high-end suppliers have The current “wake” now mentioned they cannot get stock being seen in shipping is freight- of some new models. All this will movement issues. China is back contribute to the vacuum of stock on-stream and “hoovering” much being created at this time. I am Vehicle Shipping General Freight Vehicle Tracking Shipping Schedule Rewards Programme of the global container stock for starting to feel quietly positive exports. Roll-on, roll-offs previously there will be a boom coming… at our disposal have, in some cases, I’m sure everyone is looking for • Entry Certification for imported cars • Vehicle Appraisals • Pre-Purchase Inspections • WoF • CoF • Road User Charges been rerouted to service China’s and a diversion from “life”. Christmas • Registration & relicensing • Exhaust emission testing South Korea’s new-car shipments. is a good chance to spend quality Load it >> Ship it >> Track it >> Clear it >> Deliver it Nothing in shipping is “normal” time with family and friends – and at present and this may continue hopefully get some mental relief 0800 GO VINZ VINZ.CO.NZ through 2021’s first quarter. from the year that was. www.jacanna.co.nz Tel: +64 9 825 0888 www.autofile.co.nz 3 news [continued from page 1]

Hyundai, Mazda, Mercedes-Benz, should… amend departmental Mitsubishi, Renault, Suzuki, Toyota Government fleet purchases – low-emissions vehicles votes to empower agencies to and Volkswagen. VEHICLE TYPE TOTALS 2017 2018 2019 2020 afford EVs. For the country, it could “The new catalogue offers GOVERNMENT BODY introduce incentives or a feebate agencies the choice of 19 models scheme. Fully electric 201 20 60 77 53 of battery EVs available, an increase “In our view, if the government of nine,” says the NZGP with 11 Petrol hybrid 1,378 140 175 620 721 contributed as little as $10 million plug-in hybrids (PHEVs) also added. Plug-in petrol hybrid 224 60 42 41 87 a year to incentivise low-emission “The government is vehicle uptake, then you could Totals 1,803 220 277 738 861 committed to achieving positive support that with a modified environmental outcomes through LOCAL BODY feebate scheme whereby sustainable procurement by buying Fully electric 137 37 26 56 24 only the worst of poor low emissions and low-waste fuel performers are Petrol hybrid 313 30 45 151 107 goods and services.” targeted.” In addition, flexibility has been Plug-in petrol hybrid 41 8 6 16 14 The MIA’s feebate added to procurement criteria Totals 491 75 77 223 145 idea is one version of with emissions and environmental Source: MIA. Up to and including October 31, 2020 many variations. It isn’t outcomes able to be considered as quite revenue-neutral well as total cost of ownership. central and local – has been low. since October 2019 when the because it would cost David Crawford, chief executive It has been “bemusing to hear a government announced new rules the government $9m of the Motor Industry Association big game” by encouraging and to encourage a greater transition a year, but it would (MIA), describes the previous sometimes shaming others to to low-emissions vehicles, car make a “substantial t government’s action to boost the reduce their emissions profiles, sharing and flexible rental difference” to sales number of low-emissions vehicles “yet they have done little to arrangements, Crawford replies, of cars with low in its own fleet, and generally, over reduce theirs”. “the simple is answer is not really”. emissions. the past three years as “more talk When asked – prior to Ardern’s Statistics supplied to Autofile “The basic idea is to than action”. announcement on December 2 by the MIA show that in 2019 penalise – through higher He says the number of EVs – if there has been much change government and local bodies first-registration costs – vehicles going into government fleets – in activity around this area purchased 133 EVs, which was up with CO2 [carbon dioxide] output by 54.7 per cent on 86 in 2018. To of more than 250g. Then there the end of October this year, the would be a large neutral section number was 77. through to 100g with incentives in As for PHEVs, the combined total place over two levels under that.” was 48 in 2018 and 57 during 2019. Crawford notes “a few caveats” Up to October this year, the total would need working through. was 101 for a 77.2 per cent increase. “For example, used imports would Government and local bodies be subject to the same regime purchased 220 hybrids in 2018 and so are there any unintended Specialists in 771 in 2019 for a jump of 250.5 consequences from that? pre‑shipment inspections per cent. They increased by 7.4 “Also, it wouldn’t be feasible per cent up to October 31, 2020, to have commercials involved at in Japan & UK thanks to 828 registrations. present, but they could be in the “In terms of government future.  Full border inspections purchases, earlier in the year and “The attraction of the idea for ahead of this year’s budget, the  Authorised MPI inspections politicians is this proposal is more MIA called on the coalition to public than a supply-side penalty  Authorised NZTA inspections increase departmental vote for regime, so it would be seen to purchases so agencies could afford be doing something. It would be  Odometer verification to purchase EVs,” says Crawford. self-funding – or nearly so, year by However, with prices of electric year – and controllable in a post-  Pre-export appraisal cars significantly more compared Covid-19 world. to those with internal combustion “The attraction for our  Vehicle history reports engines (ICEs), it is feared Ardern’s industry is penalties for high- latest move will hurt the budgets emitting cars would have a small of many agencies. impact on sales of those vehicles, Crawford adds: “In terms of yet the incentives would have a general EV and PHEV uptake, massive boost for lower-priced, our view remains the same – the lower-emitting models and government should implement change the business case for JEVIC NZ a feebate scheme to address importing some plug-ins and EVs affordability issues. from negative to positive.” 09 966 1779 www.jevic.co.nz “As for the AoG contract, it Crawford says the government 

4 www.autofile.co.nz news

customers. It is not as simple as saying ‘105g/km Changing wheels of CO2 emissions by 2025’ Prime Minister Jacinda Ardern BMW X5 plug-in or ‘no ICEs from 2032’. is swapping diesel power for hybrids. “At present, the electric with an Audi e-tron 55, Ardern is government has pictured, set to become her new already familiar approached the purchase of low- ministerial vehicle. with EVs because her personal car for-purpose transport is an emission cars in the same way The government is adding three is a Hyundai Ioniq. important priority,” said Chris as any business – what does the of the battery SUVs to its fleet to The government has set a goal Hipkins, Minister Responsible for vehicle need to do, what its cost is replace the BMW 7 Series cars for of having a 100 per cent green Ministerial Services at the time. and what its residual value will be. ferrying around top politicians. fleet by 2025. It is expected to “We’re playing a leadership “Fleet managers will be looking The Audis are not expected soon tender to replace its entire role and intend to transition the to balance these factors to find the to be dedicated to Ardern on a fleet of VIP vehicles. full crown fleet to emissions-free best vehicle at the best price and full-time basis, but are likely to be It was towards the tail-end vehicles by 2025/26.” retain best value at the end of its used by her when in Wellington of 2019 that the government He added such a shift over this useful business life. and Auckland on government pledged to ditch some diesel- timeframe will allow the market “Clearly, the government needs business. Also joining the powered ministerial cars. for EVs to grow and help ensure to emphasise to its purchasing ministerial fleet are three new “Low-emission and fit- taxpayers get value for money. officers that environmental goals have a ‘value’ that counts for more than the dollar value being spent. t is right to set an example on the “In the clean car discussions be necessary to achieve carbon- “As for the automotive industry, uptake of low-emissions vehicles over the past 18 months, the reduction goals. it knows its customers have a because “it is a credibility issue”. MTA has been supportive of the “However, the date at which range of demands and thus has a “The government has a large industry and government agreeing that would take affect needs to range of vehicles on offer. fleet across all of its agencies,” he to reasonable CO2 emissions be worked out with a view to “Manufacturers and retailers adds. “In time, as low-emission standards and incentive schemes providing for a ‘just transition’ that have invested in providing vehicles come through its fleet, to encourage purchases of low- for the industry – for businesses, low-emission offers are advertising it would accelerate the uptake of emission vehicles, especially EVs. their employees, suppliers and those products and customers are one-owner vehicles to the public “Those discussions did not [continued on page 6] at affordable prices at three years progress well. In fact, it was of age. disappointing to see Labour “Price is critical. Every agency is come out with a policy that trying to maximise output from a simply mimicked the clean cars fixed budget with many more calls consultation paper. It didn’t for their spending than they have.” account for the vast amount As far as the Motor Trade of evidence and argument put an independent choice Association (MTA) is concerned, it forward by the industry for a more says the uptake of low-emissions measured approach.” vehicles in New Zealand is a simple As the MTA raised during the Quest Insurance offers: matter of supply and demand. consultation over the clean car “Unfortunately, global supply is proposals, as tabled by former Mechanical Breakdown Insurance – backed by AA Roadside Assist still low,” Greig Epps, advocacy and Associate Minister of Transport, strategy manager, told Autofile. Julie Anne Genter, it agrees Comprehensive Motor Vehicle Insurance “This means the higher price for with incentives for buyers and a – including learner and restricted license cover. scarce goods makes demand low. standard for importers to affect Weekly, fortnightly & monthly instalment options now “The government, as a large market change. available to match your customers pay cycle purchaser, is in a great position to “But we need to recognise the take the lead by investing as an low level of supply, high prices and Guaranteed Asset Protection early adopter and to encourage time it will take to shift attitudes Lifestyle Protection Insurance large corporates to do the same. and behaviours so we can refresh “It has, however, hit the same our current fleet with lower hurdle as many potential low- emission and higher safety-rated emission and electric vehicle cars,” says Epps. buyers, which is finding one He adds a clear roadmap, which that suits the wide needs of an has been developed with the organisation. As such, it hasn’t industry to ensure it is reasonable If you are a forward thinking motor vehicle trader, or financier, looking for a trusted vehicle insurance partner, call Quest. progressed far with EV ownership.” and practicable, is needed to make Trying to affect supply is the government’s fleet and the Contact: Simon Moore difficult for a small country, so whole country’s fleet cleaner. ph. 021 149 2266 the government needs to look at “For example, should we be e: [email protected]  incentives and standards, says Epps. considering an end to ICEs? It may

www.autofile.co.nz 5 news [continued from page 5]

making decisions. The market has agencies must change their fleets shown the level of choice for low- by 2025/26 to hit a zero-emissions emission vehicles.” Cutting pollution profile target. This presents a shift in focus, The most critical part of tatistics supplied to Autofile work fleet managers are doing to “but there is now a strong urgency accelerating the shift to low- by the MBIE show low- rationalise the fleet and reduce their to take action”. emissions vehicles will be emissions vehicles now emissions profile where practicable,” “New Zealand has agreed to consumer behaviour and demand representS 9.4 per cent of the says a MBIE spokeswoman. international commitments at needing to change, opines Epps. government fleet – as of June 30, Statistics for each quarter are the World Trade Organisation Then the industry will shift to meet it had 108 battery electric vehicles published by NZ Government on driving down our emissions, that new demand. (BEVs) and 944 petrol hybrids. Procurement and Property, which consistent with achieving no “The used market is a key source By the end of September, collects and holds data on about more than 1.5 degrees of global of transport for low to middle- there were 146 BEVs and 1,291 140 agencies mandated to apply warming,” the rules state. income families. It would seem hybrids with that quarter also the procurement rules. “In 2019, the Zero Carbon ill-considered for the government seeing the total size of the fleet The overall fleet for mandated Bill was established, including to compete against those families drop by 106 vehicles. agencies comes in about 15,000 binding carbon budgets for the in the used market. “This is a reflection of the units. government. “As well, for a corporate or “Government procurement has government purchaser, a used Light vehicles, as of July 31, 2020, on mandated agencies list an important role to play and is vehicle presents drawbacks such doing its part to lower emissions. PETROL PLUG-IN YEAR DIESEL ELECTRIC PETROL TOTAL as maintenance, which is mostly HYBRID HYBRID It accounts for 12 per cent of GDP, covered by new-car servicing 2016 246 3 1,291 1 1 1,542 so how we engage with suppliers deals, and older technology. and set priorities under contracts 2017 455 18 1,576 62 14 2,125 Health and safety considerations can have significant effects on net 2018 556 43 1,959 89 6 2,653 may be pertinent if the purchaser carbon emissions. has policies requiring advanced 2019 423 32 1,238 528 21 2,242 “The AoG vehicles contract safety features.” 2020 171 7 592 273 35 1,078 includes more EV options and Note: The table does not include vehicles that may no longer be in the fleet. Data is supplied will continue to be refreshed SHIFT IN EMPHASIS to MBIE by the NZTA on an annual basis. Agency breakdowns can be found on an emissions as technologies emerge, giving dashboard online at www.procurement.govt.nz/broader-outcomes/reducing-emissions-and- A policy shift in the government waste/reducing-government-fleet-emissions/ agencies access to the newest procurement regulations came innovations.” into force in October last year. It reforming procurement to support “support the transition to a net The document continues that places emphasis on emissions broader social, economic, cultural zero-emissions economy and assist officials need to think about how and environmental outcomes in and environmental outcomes, as the government to meet its goal of a purchase will impact an agency’s addition to total cost of ownership. well as continuing to represent significant reduction in waste by carbon footprint, not just its budget. “Many agencies have work standards of good practice,” says 2020 and beyond”. “This is now part of best practice under way to use contracts to Carolyn Tremain, MBIE’s chief The guidelines state: “Climate for commissioning significant increase public value,” says John Ivil, executive. change is one of the greatest government projects and is general manager of New Zealand The policy framework for challenges of our time. When reflected in a new requirement for Procurement and Property. procurement is based on a charter, we do the recycling, fuel up or cabinet papers to include climate- “For example, we’ve seen principles, rules and good-practice decide whether to insulate, we are impact assessments. agencies start to transition to guidance. making decisions that will help or “For example, every time you low-emission vehicles to travel “Public value” is defined as hinder the transition to a net zero- buy an EV instead of a combustion and explore car shares or use more getting the best possible result emissions economy. engine not only do you reduce flexible rental arrangements.” from procurement, using resources “As procurement practitioners fuel consumption during the time Rule 20 for government effectively, economically and for government, this challenge is your agency owns the vehicle, procurement states agencies without waste. increasingly a core part of our jobs these carbon savings continue should support acquiring low- The procurement charter sets as well.” when you on-sell supporting the emissions and low-waste goods, out priority outcomes. One is to The procurement rules say development of an affordable services and works, and encourage second-hand market for EVs. innovation to significantly reduce “In this way, the government emissions and waste impacts. can be a catalyst for change. And The government also has its at the end of the day, when the fleet-emissions dashboard, which government picks up its bill for provides a greenhouse gases its mandated carbon budget, it emissions profile. might be a bit lighter thanks to The AoG motor-vehicle efforts of procurers and property contract is now among those managers.” defined as a type of “collaborative contract” approved by the Ministry Kit Wilkerson, of the Imported Motor Vehicle Industry Association, for Business, Innovation and investigates the likely impacts of the Employment (MBIE). government’s clean car proposals – Winston Peters getting out of his diesel-powered ministerial turn to page 16 “These rules are essential in BMW 7 Series 730Ld before the general election

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www.autofile.co.nz 7 news Bouncing back after crisis t he successful management 2019, “give a confusing picture”. of cash control and having However, sales of nearly-new a strong balance sheet are vehicles are strong, which signals a Tamong the factors that have helped reversal to predictions in April. a major player in the car industry to “It all adds up to good numbers, weather the Covid-19 storm. but it could all slow down if The Colonial Motor Company, consumer confidence is hit again. as other businesses across New For now, to use a concept familiar Zealand, saw trading halt in March to salesmen, ‘buyers are buying, as the country went into lockdown Jim Gibbons, chairman of NZX-listed Colonial not just looking’. It’s day-by-day as coronavirus “quickly moved trading, but adds up.” from someone else’s problem to a previously announced dividend. the end of June the company Gibbons highlights two key real threat”. “At dealership level, cash had 965 employees – only three strengths that have helped Colonial Chairman Jim Gibbons says its control is a combination of per cent down compared to 12 get through the past six months. impact was sudden as consumer operating expenses and managing months earlier. One is its strong balance sheet. The confidence dropped in what he inventory. Both were managed Total remuneration paid other is its management. describes as a challenging year. exceptionally well. for the full year, including the “The company has two major The group saw its revenue in “Dealerships’ management faced government’s wage subsidy, rose asset groups – inventory and March drop by 37 per cent on the unprecedented problems, pressures from $75.9 million to $76.1m. property. There is little goodwill previous year, an indication of what and huge uncertainty. In addition, “The revenue bounce after or long-term right of use leases. to expect when lockdown was as individuals they had to cope with lockdown ended started unevenly, Borrowing is short term and used announced at the end of that month. personal pressures that arose.” but soon was stronger than to fund current inventory. “It had a dramatic impact, Gibbon cites past experiences – expected,” says Gibbons. “Our balance sheet doesn’t especially on car dealerships. such as Christchurch’s earthquakes “Revenue in March, April, and lock us into yesterday’s trading There would be little income for in 2010 and 2011, the global May were all materially down, but patterns. Our assets are all the duration of the lockdown and financial crisis of 2009 and 2010, June was only down two per cent marketable. We can expand or probably weak demand after that.” and market upheavals in the 1990s on the previous year. Revenue in reduce as conditions dictate. Gibbons told shareholders at – helped shape awareness of what the first quarter of this year is down “The second strength is the the annual general meeting in to do, and Colonial retained cash, by the same two per cent. management. The company has a Wellington last month that while its staff and customers. “We’ve bounced back to a level small Wellington office with only the company had money in the Group revenue for the fiscal of revenue similar to last year. But six employees. Most operational bank and unused credit lines, the year’s second half fell by 24 per the significant revenue lost in March, decisions are made at dealership issue was how long that would last. cent and 17 per cent for the full April and May hasn’t been recovered.” level by experienced managers “The immediate focus was our year, with April’s nosediving by 82 He notes there are now few who thrive on autonomy. cash control. That was the context per cent on the previous year. new rental cars so total industry “The shareholding has been of the decision to cancel the Despite those decreases, by numbers, by comparing 2020 to stable, and there has been stability 

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t at director and chief executive “Basically, a change of The benefits of a business level. Over the past 100 years, there circumstances often results in a with annuity earnings at a time have only been four CEOs and nine change of cars, so dynamic times of volatility have come “more chairmen.” can support transaction volumes clearly into focus” with insurance Another contributing factor for for used. renewals proving to be valuable Colonial is “the long-term nature of “We don’t mind whether people during lockdown with recurring the franchise relationships especially, are trading up or down as long as premiums paid up-front. but not restricted to, Ford”. they are trading. A lot of the used Baker says continued “Senior-level stability filters market is structural and needs- investment to deliver in digital and down to individual dealership based with buying and selling online environments is essential. managements. The result is a happening throughout the cycle.” “We are outspending competitors stable core of people with huge As for Oxford Finance, Baker says in this area and, more importantly, experience.” its strategic review of last year as delivering tangible outcomes. As Gibbons stresses the coronavirus Grant Baker, Turners’ chairman well as its and EC Credit’s testing of well as providing existing services lockdown for Southpac was less the market have shown their value. in this new environment, we’ve severe than car dealerships with MAJOR OPPORTUNITIES “Our annuity businesses – launched BuySafe and Turners Car many of Colonial’s heavy-truck Turners Automotive Group hasn’t insurance, finance and credit – Subscription. customers classified as essential. been resting on its laurels this have underpinned fluctuations in “A future focus is optimising Parts, servicing and some year. “As the saying goes, never the automotive market. Although digital marketing and increasing replacement trucks continued waste a crisis,” is chairman Grant the used-vehicle market is value by better understanding under strict controls. Primary Baker’s view. subject to economic cycles, it’s customer, vehicle and technical data. producers, in particular, continued “We are operating in worth noting that compared to “While it has been a challenging working during the shutdown. unprecedented times. Nonetheless, many other retail categories it is year, and while we will continue to Consequently, Southpac this is an exciting time for the relatively stable.” face challenges in coming months didn’t get dramatic revenue falls business as we are well-positioned Turners’ finance division and and years, what is heartening is experienced by car franchises, “but for uncertain times. work to improve the quality of its the stress-test of Covid-19 has nor did it get the dramatic rebound “It has been a year of challenges loan book means that, so far during demonstrated we are on the right after lockdown”. for our nation, and we operate in the Covid-19 crisis, there has been track in terms of strengthening Its two brands, Kenworth conditions of great uncertainty good performance for arrears. and diversifying.” and DAF, have different ordering and volatility. We haven’t and aren’t cycles, with Kenworth mainly sitting back. While we have to be manufactured to specific aware of risk, we see significant requirements and DAF being opportunity. standard builds. “By operating a diversified Australian assembly of business and driving performance Kenworths continued through in each part of it, we’ve created Victoria’s lockdowns and the a resilient model with managed pre-build of the new model DAF- risk. We have diversification in insulated Southpac from build geography and business type,  shortages in Europe. which serves us well.” A better deal for the “Southpac’s forward-order Baker describes the used-car position is improving month by market as robust – with about four month. Logs are being milled, million on Kiwi roads, some 25 per Motor Vehicle Trade livestock moved and goods cent turn over annually. transported.” “New Zealand also has an nFlexible credit facility available to fund Gibbons notes the current ageing fleet of cars. Around one vehicles in transit or on your yard financial year has started on a million are more than 20 years positive note. Despite a two per cent old, and the scrapping age is nAccess to stock when you want to buy, drop in revenue, trading profit for the dropping due to repair costs and not only when you have the available cash first quarter, from July to September, tougher warrants. This means n was up compared to 2019. hundreds of thousands will Free up your capital and grow your business “This reflects ongoing skilled need replacing in coming years, management of details to ensure the providing steady demand.” nOnly available to registered best result from available activity. He notes consumers often motor vehicle traders It is not a growing market, but it’s release capital from vehicles by much stronger than earlier economic trading down during an economic projections. There are some forward downturn. orders, some supply shortages. “We’ve also seen, with overseas “But it can all suddenly slow travel foregone due to Covid-19, down again. Confidence is fragile. some Kiwis are upgrading to new Ph: 09 320 5646 We all live for today and start again and luxury cars if they have the Contact us now to find out more www.autobridge.co.nz tomorrow.” spending power.

www.autofile.co.nz 9 news Dealers feel shipping squeeze ome importers are of the space. It comes at a time Describing the current situation, at any time also add congestion experiencing delays in when most people are busier than he notes ro-ros from Japan may fees and variable charge rates for getting vehicles shipped anticipated a few months ago. suffer delays of three to four days if cargo being moved by container. toS New Zealand as international “New vehicles often get priority stopping in Australia. With container He says logistics operators are supply chains face ongoing because of contracts to fill and vessels, delays of 10 to 14 days are doing their best to work with lines Covid-19 disruption. it appears a lot of stuff is being common and, in extreme cases, they to mitigate additional costs and Container ships and roll-on, moved before the end of the year. can extend to weeks or months. delays when possible. roll-off vessels are being affected “The shipping lines need to “The main market for us is still “It makes it tough for dealers by changed schedules and a surge get more vessels on because, at Japan and ro-ro at the moment to work with their customers, in demand in the pandemic’s wake, the moment, new cars or other has been at fairly high capacity,” particularly with import to order, which in turn is impacting the destinations are taking priority over says Willett. when arrival times and final costs transportation of cars. used vehicles and New Zealand.” “So far that hasn’t been may not be known. There have been reports of a The monthly number of used- detrimental to the trade because “At present, it’s difficult for number of ro-ros being rerouted imported cars coming into New purchasing volumes have been someone who has a car or two in a from Japan to service new-vehicle Zealand slumped this year to 4,048 subdued. However, they’re looking box to determine what their final shipments out of China and South in May and 5,021 in June. Those likely to pick up as New Zealand costs will be and when they will see Korea, while much of the global figures have since leapt with the dealers are back to buying at their vehicles. container stock is being snapped tally averaging more than 9,200 in auctions in Japan again. “It’s frustrating for all concerned. up for exports from China. the following four months. “Other vehicle markets, if reliant Some vehicles coming from Europe Logistics providers say factors Meanwhile, the number of new on container services, are competing are fairly high-end and whereas such as congestion at domestic passenger vehicles crossing our with the general freight market and your capital outlay timeframe used ports, industrial action in Australia border tumbled to 2,765 in May, that’s the main difference.” to be fairly consistent, it can now and political uncertainty in other but soared to 8,440 in September He describes the current vary significantly. countries are adding to the problem. and 8,998 in October. The latter shipping situation, particularly for “The message to our clients It means cars being imported to figure eclipsed the monthly total containerised cargo, as “fairly flat”. is be prepared for delays and New Zealand are sometimes being from October 2019 when 8,122 As a result, those prepared to pay variable costs and try to work taken on longer routes than usual new cars came into the country. a premium are getting access to with us when you can. Becoming or are bumped onto later sailings Quigley says that besides containers easier than those who stressed and angry doesn’t change because of a lack of space. schedules being trimmed back won’t. anything, unless they’re prepared Experts say the delays for ro-ros during 2020, some lines have been Willett notes shipping lines can to pay considerable extra costs or from Japan have been no worse operating smaller vessels and this consider air freighting, but even than a few days so far, but vehicles has put further pressure on capacity. that has limitations. being shipped in containers can He predicts the market will “It’s the way of global freight at be stuck in transit for weeks longer eventually correct itself, but until the moment. Import and export than usual. then he says shipping lines appear markets have been affected with Ken Quigley, managing director nervous about committing too a large backlog in both directions, of Jacanna Customs & Freight, told many vessels. and the marine industry is Autofile many vessels are being “It’s about a lot more than just struggling to keep up.” packed with new cars before they Covid-19, it’s also related to port Container shipments can be arrive in Japan and that’s leaving strikes in Australia, congestion at held up depending on which ports little room to import used stock. the ports in Auckland – everything they stop at with industrial action He says the hold-ups come is happening at once. There is across the Tasman causing a “choke as the automotive industry is probably room to put another point and delays”. performing above expectations vessel onto the schedule. Willett says the number of following the coronavirus outbreak. “If you went back six months, vessels operating globally has also “A lot of vessels are full before you’d have thought the market changed because of coronavirus and they even get to Japan and they’re wouldn’t rebound quickly. But it has businesses in China are dominating being filled with new cars,” says and if you had said you wouldn’t get cargo movement capacity. Quigley. “I’ve never seen anything a space on a vessel because they He adds it is difficult to forecast like it before. were all full, you’d laugh. And yet when shipping will get back to “Buyers here are struggling to here we are in that space.” “normal” and predicts current ship vehicles because there’s no disruptions may continue for many space. People are getting frustrated PERFECT STORM months yet. because you can buy the car, get it Frank Willett, chief executive officer “We have got bow waves from prepped and heat-treated but can’t of Autohub, agrees many different the initial impact of Covid-19, we get it on a vessel. factors have impacted shipping have got potential political unrest “There are fewer vessels around this year and it has “resulted in a and trade agreements are up in the The global shipping industry is struggling and new cars are taking up a lot perfect storm”. to keep up with demand air with major markets.

10 www.autofile.co.nz [continued on page 12] www.autofile.co.nz 11 news [continued from page 10]

“It’s hard to tell when things will After the number of vehicle A very Merry Christmas start evening out. We just keep on imports dropped because of New IN BRIEF keeping on doing the best we can Zealand’s lockdown, fewer ships with what we have got.” have headed to our shores and there Petrol and diesel ban in UK brought forward is more time between sailings. The sale of new light vehicles powered by petrol and diesel will be RO-ROS KEEP ROLLING Vinsen notes some lines are and happy holidays banned in the UK from 2030. Matt Battle, general manager of presently code-sharing to save Prime Minister Boris Johnson has also announced hybrid sales will Moana Blue, acknowledges the costs and ensure vessels operate as come to an end in 2035 as part of a 10-point plan to tackle climate change. pressures facing used-vehicle close to capacity as possible while His government has set aside £4 billion – or about NZ$7.7b – for the imports, but remains upbeat about import and export markets build from the team at proposals. The funding includes a £1.3b investment in electric vehicle the overall situation. back up after suffering a hit from (EV) charging points and grants for EV buyers will increase to £582m. “When you consider the coronavirus. Johnson’s announcement on November 18 brings forward a previous impacts on ro-ro services and As a result, some ships are policy to scrap new petrol and diesel car sales by 2035. schedules compared to what embarking on longer journeys As countries race to cut emissions from motoring, the UK is now only is happening with containers that may include different source second to Norway, which has a fossil-fuel vehicle abolition target of and other sea freight, it’s pretty markets and destination markets. 2025. Visit www.autofile.co.nz for the full story. positive,” he says. He describes the process for “In general, our services haven’t getting vehicles from auctions in Sustainability key in concept’s production been affected in the same way Japan to dealers’ yards here as a Polestar has announced its Precept other freight operations have. “fine juggling act”. will enter production after the “We have been fortunate “It’s like food. There are three It’s been a tough year, but we’ve got through it. company, which believes there is compared to what we’re seeing criteria – quality, speed and price. a market for its sporty, all-electric with the rest of the world. We You can have two of the three, but And it’s all thanks to you – our readers, our car, received positive feedback on recognise our industry isn’t going to you can’t have them all. You can the concept from consumers. be immune to those pressures and have quick, cheap food but it may supporters and, most of all, our advertisers. The vehicle will be made in vessels are running at high capacity.” not be very good. China, the fledgling marque’s home market, in a plant that is currently in “It’s a bit the same with logistics. its planning stages. The factory will not only be carbon neutral, but also STRETCHED SYSTEM We can have a robust, resilient If you’re in a position to do so, please support one of the world’s most connected automotive production facilities. David Vinsen, chief executive system but it probably won’t be An important part of the Precept will be its lightweight carbon- of the Imported Motor Vehicle the cheapest, or we can have a companies that advertise in Autofile composite construction. Its interior will feature a mix of sustainable Industry Association, says the cheap system that breaks down materials, such as recycled plastic bottles, reclaimed fishing nets and coronavirus pandemic has meant as soon as it hits a major problem. magazine and on our website. reworked cork vinyl. normally efficient supply chains Ultimately, the market decides internationally have been tested to what it wants to pay. South Korean marque drives rugby support their limit. “Everyone in the chain is We’re all in this together and we Kia Motors has teamed up with While this is having an impact doing their best to provide the Auckland Rugby to bolster the on New Zealand’s car industry, he best possible service at the wouldn’t want it any other way, national sport in New Zealand’s notes it is a global issue and needs best possible price, but at the most-populated region. to be treated in that context. same time acknowledging these so a special thanks from all of us. The deal boosts the marque’s “During Covid there’s been a stresses and strains on the system.” position as a key supporter of the problem with international supply While the present situation is code with it also sponsoring Eden chains. As a result places such as difficult to manage, Vinsen says Park since 2016. Ports of Auckland are struggling dealers need to continue operating Kia Motors has provided a fleet of Sportages to Auckland Rugby in with scheduling and processing, not as close to normal as they can. Have a great festive season. support of its efforts in driving community engagement and fostering just cars but particularly containers, “Dealers are focused on buying the sport across the region, from grassroots to senior competitions. some of which are being diverted. stock they need to replace stock In return, Kia’s logo will appear on Auckland’s Mitre 10 and Farah “In terms of supply-chain they have sold. It’s down to We look forward to working Palmer Cup jerseys, and on vehicle signage. management, efficiency and everybody else in the supply chain resilience are inversely proportional to organise things as efficiently and with you again in 2021. Organisation hits record year for membership so when we have a very efficient effectively as possible. The Financial Services Federation (FSF) has signed up UDC Finance as its supply chain, by definition, it “Other factors will come into play most recent member. becomes relatively fragile. with professionals further up the Under new owner Shinsei Bank, it is poised to continue as the “The stink-bug crisis showed us system and that’s why we had the country’s largest non-bank lender with about 82,000 active borrowers there’s no fat in the system. When development of the supply chain and loans of some $3.3 billion. the supply chain stops, everything that we have to make the process as “UDC’s growth is an example of the importance of the non-banking stops. That’s been proven again efficient and smooth as possible. sector in our economy,” says Lyn McMorran, the FSF’s executive director. with Covid-19. “Dealers just have to press the “What we consider in a prospective member isn’t the size of its “Logistically, supply chains button and their agents, brokers and loan book, but that we can be satisfied its commitment to responsible are being stretched to twanging logistics partners will do their thing. lending matches ours.” point, and Ports of Auckland and My advice to people is to get on with The FSF also welcomed AA Money, Auto Finance Direct, Happy Prime, New Zealand are getting caught business as best you can, dealing Collection House Ltd and 255 Finance in its 2019/20 fiscal year. up in that.” with what’s in front of you.”

12 www.autofile.co.nz A very Merry Christmas and happy holidays from the team at

It’s been a tough year, but we’ve got through it. And it’s all thanks to you – our readers, our supporters and, most of all, our advertisers. If you’re in a position to do so, please support companies that advertise in Autofile magazine and on our website. We’re all in this together and we wouldn’t want it any other way, so a special thanks from all of us.

Have a great festive season. We look forward to working with you again in 2021.

www.autofile.co.nz 13 Industry movers

SARA PASTOR RUPRICHOVA, formerly marketing manager for Volkswagen NZ, is now leading a centralised customer engagement team for multiple brands represented by European Motor Lando Norris trying out the Senna Ride-On with the full-size version as a backdrop Distributors (EMD). Greg Leet, Volkswagen passenger general manager, Sara Pastor says: “The team is focusing on the complex online Ruprichova customer journey. “We had been thinking about the best use of our Something special for marketing resources for some months, then a certain worldwide pandemic arrived that interrupted the process for a few weeks.” Christmas stocking HELENA SCHULTZ has replaced Pastor Ruprichova. Helena Schultz She has three years’ experience with Volkswagen NZ ave you ever thought of it features working dihedral doors as a senior marketing executive before which she downsizing or shelling for easy access. worked for Maori Television. out about NZ$735 on a For precision handling, the SHANNON PENTECOST, who joined the marque Htrack-focused electric car for the model also features a working working on its digital, events and public relations junior racing driver in your family? brake with brake-light function. efforts about a year ago on a temporary capacity, has Thanks to the McLaren Senna Junior journeys can also be joined the marketing team on a permanent basis. Shannon Pentecost Ride-On, well now you can and it’s accompanied by music, played via available in five colours – black, an infotainment system that can MICHAEL WOODHOUSE has been promoted to white, orange, access files from become National’s transport spokesman. blue and red. a USB device or The list MP, who also shares finance with Shadow A special- SD card. Treasurer Andrew Bayly, replaces Chris Bishop, who edition colour, Going now holds the Covid-19 response portfolio. exclusive further into Before entering parliament in 2008 and serving as a minister, to McLaren its high-tech Woodhouse, pictured, was an accountant in Dunedin. retailers, of features, this He has experience as a senior manager at HealthCare Otago and yellow with ride offers a ACC, and was the chief executive at Mercy Hospital in Dunedin. green accents is a homage to the full-time, 360-degree view around Barbara Kuriger is the opposition’s associate transport colours of Ayrton Senna’s helmet. the car, courtesy of the child’s spokeswoman. Her other responsibilities include energy and resources. The Ride-On is aimed at three head sticking well above the Todd McClay retains economic development and tourism, and also has to six-year-olds, although F1 Senna’s body. the small business, and commerce and consumer affairs portfolios. driver Lando Norris did manage to It’s priced at £375 in the UK squeeze into one for a test drive. market, and is available to order VHARI McWHA has been made an associate member of the An authentic push-button start from McLaren retailers and Commerce Commission. activates Senna engine sounds and selected toy shops. McWha is an experienced economist and advises on public policy and regulation, including competition analysis. She is currently a director at Sapere, where she has worked since 2011. Her previous positions include deputy director at the economic Time to pay back consultancy NZIER and manager of regulatory affairs at Meridian Energy. itsubishi Motors NZ says right” thing to do because it has CHRIS GLEDHILL, pictured, has been appointed it will pay back $456,000 done better than anticipated. managing director of Michelin Australia and New in wage subsidies “We hope other companies Zealand. He succeeds David Issautier, who has returned afterM coming through coronavirus experiencing the same favourable to the parent company’s head office in France. stronger than anticipated. trading conditions come to the Gledhill, who has been with the tyre giant since It now hopes other companies same decision we have,” adds 2011, was previously Michelin’s commercial director for Oceania with experiencing favourable trading Congdon. that position now being filled by Nathan Flynn. conditions will make the same During the height of the decision. Covid-19 crisis in New Zealand PETER KELEY has retired as GM Holden’s sales director. He was Spokesman Reece Congdon earlier this year, employers could previously managing director of Holden NZ from 2005-08. says the marque applied for the apply for the subsidy if they Keley was behind setting up General Motors Specialty Vehicles wage subsidy during “severe and suffered or expected a revenue across Australasia. uncertain times” to protect jobs. drop due to the pandemic. However, the company has About $14 billion has been paid TO FEATURE IN INDUSTRY MOVERS EMAIL [email protected] since decided repaying the to some 754,350 applicants and at its government pay-out is the “fair and peak supported 1.8 million jobs.

14 www.autofile.co.nz T Fast replies boost conversions

n last month’s column, we up will have positive relevant staff are being customised questions and looked at social advertising outcomes. made aware as soon as appointment requests. You can use and the importance for car Prospective buyers enquiries come in. these tools to find out how and Idealers to include it as a key will appreciate the We recommend when to best reach your customers. element of their marketing mix. quick service and will be dealers capture leads Some may wish to be called. Following on from this, it’s more likely to engage immediately by Others, however, may want to pertinent to consider the leads you because you have pushing them into connect via SMS or Messenger generated by platforms such as caught them at a time a centralised lead given they were more than likely Facebook and how traders should when your business is TODD FULLER management system using their phones to look at be handling them. front of mind. General manager (LMS), and or by setting Facebook when they saw and AdTorque Edge NZ Best practice by some of This, in turn, will open up alerts so staff are responded to your advert. the country’s most successful the door to further discussions and notified whenever an enquiry is A few people may be available dealerships indicates that systems make the sales process easier. submitted. If dealers have to log to talk immediately, but many will and processes, specifically Many customers are likely to into individual platforms such as prefer you contact them during for digital leads, need to be be online using Facebook and Facebook to see whether any leads their lunch break or in the evening. established to maximise conversion researching vehicles outside of have come through, delays will Giving prospects control over the opportunities while noting these business hours. occur, which will result in lost sales. way they converse with you delivers may differ from the way more Although there is a certain level Another process worth a positive experience, enables you traditional lead types are handled. of expectation that queries logged considering is how best to to build rapport and improves your Crucial to effective digital after hours may not be responded communicate with leads that come chance of conversion. lead management is a prompt to until the following day, why not from Facebook Advertising. Every dealership is different as response rate. surprise and impress a would- are the processes and systems If customers log enquiries be client by getting back to they have in place for dealing from a Facebook advert, it means him or her even when the Let’s get digital with customer enquiries. What they are actively online at that dealership is closed. Facebook leads should be responded to is consistent across the sector, within 15 minutes to maximise conversion moment and are likely considering The most successful dealers opportunities. however, is a desire to get the purchasing a vehicle. we work with assign certain most out of every dollar spent Assign a team member to manage after- The longer it takes for you to team members the task of hours enquiries. on advertising. respond to those queries, the more keeping an eye on their leads Capture enquiries in your LMS to prevent There is little point in opportunities those potential during the evening, ensuring response delays. investing thousands of dollars buyers have to look at other brands’ they continue to adhere to the Use Facebook’s lead forms to establish how with Facebook only to waste or competitors’ websites or to even 15-minute response time even and when to contact your customer. opportunities by responding rethink their purchases altogether. then. too slowly – or not at all – to Our recommendation to clients, For your dealership, this may Unlike traditional sales training leads that come in. based on the practices of high- be a particular team member or that directs you to pick up the Instead, your team members performing dealerships, is to set by weekly rotation. The important phone and speak to a customer need to be armed with the right a key performance indicator of 15 thing is, someone is always ready immediately, people who log training, tools and processes minutes to address digital leads. to take that enquiry no matter the digital enquiries tend to prefer to to enable them to maximise Although a seemingly tight time of day. have control over how and when these potentially lucrative sales timeframe, establishing a process In order to efficiently respond they communicate with you. opportunities so your business amongst your sales team that to leads, it is imperative you have Lead forms can be set up gets the best possible return on prioritises prompt lead follow- systems in place that ensure within your Facebook Ads with its investment.

Target the right message, to the right person, at the right time.

DYNAMIC LIVE INVENTORY ADVERTISING

Call us today to find out how you can reach more customers.

ADTORQUE Call (09) 887 1822 or email [email protected] | adtorqueedge.co.nz EDGE

www.autofile.co.nz 15 tech report

Clean car idea ‘flawed by design’ t

he writing is on the wall, not to actual reductions Concerning the effect government should classify people we shall see if we are the in GHGs nor even cuts on the automotive movers with light commercials modern-day Belshazzar’s. in the rate of increases industry, we have a and off-roaders, which will have a TGlobal warming is real, but we in emissions. Instead, duty of care to ensure slightly higher target. are doing a horrible job managing it sometimes refers to any plan to reduce GHG The standard also only addresses it. Talk of making efforts to reduce drops in the acceleration emissions is maximally cars coming into the fleet. it, which should have started 40 in the rate of increases. effective. Remember the previous points years ago, has led to nothing but The only way to Take, for instance, about 14 per cent vehicle-efficiency tinkering around the edges. meaningfully mitigate KIT WILKERSON the government’s improvements over the past The reality is we have no the problem is to Policy adviser and analyst proposed “clean car” decade? The conclusion was only a [email protected] meaningful way to change the decrease our emissions. emissions standard. Its reduction in the rate of increase. trajectory we’re on over at least the Governments are stated purpose is to cut The standard will drive an increase next 30 years. being forced to act, even if they are emissions by penalising the supply in time that cars remain in service by Because we have failed to act for doing a poor job of convincing the of the highest-emitting vehicles upping the price of newer vehicles so long, gradual lifestyle changes public of the problem. People don’t through financial penalties on beyond the budget of most Kiwis. that could have occurred across like change and their lifestyles or importers. Cars made today are designed to several generations will now be businesses interrupted. Penalties would be based on last 450,000km if well-maintained. forced into less than one. Even then, Without the will of the people, the difference between a vehicle’s At 12,000km per year, the distance it’s too late to prevent many negative there is no political will no matter how emissions, and a target set by the an average car travels in New effects. The alternative to inaction, necessary the change. This dynamic government and modified by its Zealand, vehicles brought in today however, would be even worse. means democracies tend to act on weight. This target will decrease could potentially last 40 years. If We like to think steps and issues only after they have become annually to zero by around 2040. the only options for replacement sacrifices already taken are helping, crises and long-term plans will always Unfortunately, this standard are outside people’s price ranges, but in reality they have only slowed be relegated by short-term benefits. is flawed by design. Its weight- “potentially” necessarily becomes the aggravation. Usually, when we It’s difficult to mitigate long-term adjusted aspect means lighter, “must” last for 40 years. hear about cuts in greenhouse gases problems when the public balks at less-emitting models end up As we continue to import and sell (GHGs), we are actually hearing any pain and responds to necessary subsidising heavy high-emitters. ICE vehicles today, this already pushes about drops in the rate of increase. change by electing a government This seems an odd design choice the date we can achieve carbon Over the past 10 years, average that promises to deny the problem. when the goal is to decrease neutrality to way beyond 2050. emissions of vehicles being added The UK is now moving forward emissions. It seems to be designed The biggest fault, however, is to New Zealand’s fleet have its deadline to cut off the sale of to drive down GHGs and drive up that the proposed standard does decreased by 14 per cent. new internal combustion engine the fleet’s mass. It’s definitely not nothing to educate the public This sounds great until you realise (ICE) vehicles to 2030. a systems approach to efficiency – about the connection between the fleet’s size has increased by This news comes a year before a we should be doing the opposite. their choice of vehicle, behaviour 23 per cent. The efficiency gains are meeting in Scotland where world If the target were flat, then fewer and relevant GHG costs. only on vehicles added to it. And leaders are expected to agree on low-emitting, light vehicles would be To address these failures, the the total distance travelled by the targets more aggressive than the penalised. If we stopped importing government will need to couple entire fleet has risen by 20 per cent Paris Agreement, which requires New all vehicles that receive the same the standard with other initiatives. in the same period. The conclusion? Zealand to be carbon neutral by 2050. penalty, say $5,000, we would find One place to start is to develop A net gain in emissions. It is simple maths. If we are the GHG savings from a level target incentives to manage the fleet, This same doublespeak is used by required to have a carbon-neutral are significantly higher than the such as replacing gross emitters – those who like to use their progress transport system by 2050 and the proposed weight-adjusted target. the small percentage of vehicles in “reducing GHG emissions” to sell average vehicle stays in the fleet for Another problem with the that emit a disproportionally high products and by governments to 15 years, 2035 is the cut-off for ICEs. standard is that it is a family amount of GHGs, such as light “greenwash” initiatives. If that 2050 deadline ups, so does tax. Sometimes people need commercials. After that, incentives In some cases, decreases refer our ICE cut-off. low-efficiency vehicles. The should shift progressively to target 

Advocate  Advise Advise  Connect • Advocate • Connect

Imported Motor Vehicle Industry Association

www.via.org.nz

16 www.autofile.co.nz tech report

Vehicle weight by emissions for used imports t the highest emitting vehicles. This solution is not even wealth 450 Policies targeting the existing redistribution. It is the price we pay 400 fleet should also include ideas that each other for the harm we’re all will have similar results, such as 350 causing to our shared resource – incentivising people to drive less. 300 the planet.

Then we must address the 250 Again, this is just an example of a

question of how individuals will 200 full solution. It penalises emissions,

afford a mandated move to electric 150 educates people, creates public vehicles (EVs). The government buy-in, rewards behavioural change 100 and industry will need to explore and creates commercial demand for 50 creative financing solutions. more efficient products. 0 Together, all these necessary 800 1000 1200 1400 1600 1800 2000 2200 Most2400 importantly,2600 this is all done steps create an unwieldy beast of an This graphic shows vehicle weight by emissions for used imports coming into New Zealand since April transparently and with a single 2020. The weight-adjusted target of 130gCO2/km is in black with the level target in red. Source: VIA initiative. Unfortunately, the costs simple lever – if change does not will be borne by New Zealanders, to the price of carbon to create a cost at the time is a direct deterrent. occur fast enough, increase the likely hitting them hardest in times level playing field and force a shift Most people, however, would get carbon price. It’s that simple. of personal crisis, such as when a to low-carbon solutions. more back than they spend. Those In fact, if we want to make this vehicle failure requires them to buy a Under such a solution, there is changing their lifestyles to minimise solution even more elegant, we replacement. only one lever and that’s raising emissions would be rewarded with could pay this public reparation The penalties from the clean- the cost of carbon for an equal and the most benefit from the policy. into KiwiSaver. If we did that, car standard for instance, even fair effect on all industries. Extending this policy to include we would have every adult though aimed at and initially paid Since consumers are paying all GHG emissions, at today’s receiving money annually into a by importers and intended to the price of their lifestyles, there price of $25 per tonne of CO2e superannuation account. control supply, will be passed onto is a direct connection between – that being the carbon-dioxide Perhaps we could then address consumers. If the public demands behaviours and the social costs of equivalent, which includes all the EV cost issue by allowing and is willing to pay for inefficient those behaviours, assuming costs GHGs standardised to CO2’s people to make that purchase, vehicles, guess what will be imported. are applied fairly and equally to all effect – means every adult in New and or an initial deposit, from their Again, costs from these different who generate GHGs. Zealand would get about $500 KiwiSaver accounts. This is logical initiatives will be passed onto if the savings the government buyers and interpreted as a tax. claims all EV buyers will have are We should find a New Zealand “The only way to meaningfully mitigate considered investments. solution, one with public buy-in, It comes down to this – we need instead of borrowing models from the problem is to decrease our emissions” a serious solution. But that solution jurisdictions with different fleet The primary objection to a annually with the average driver needs to be fair and the pain of dynamics, a solution that can be carbon fuel tax – beyond the paying around $45 in petrol tax. necessary changes shared relative applied universally. obvious public dislike of taxes – is If the price of carbon were to size of impact. No one and no For instance, we could its regressive nature of having a raised to the $75 per tonne as industry should be exempt. implement a single simple larger effect on low-income earners. recommended by the Productivity The government must do solution, which has surgical There are, however, potential Commission, the refund would a better job of informing the precision in targeting emitters, will fixes for that. For example, the increase to almost $1,500 annually public of expected and potential create demand for lower-emitting government could periodically with the average motorist paying impacts from global warming and goods, educate consumers, is return the amount collected about $125 in petrol tax. quantify the cost of inaction versus fair across industries and costs a equally to the adult residents of Free money is not the goal. The the costs of changes we will be fraction as much to manage. New Zealand. goal is to reduce GHG emissions. required to make. We should follow the Productivity This might initially sound like Consumers would still have the Public buy-in is necessary to Commission’s recommendation a counter-intuitive solution. But added expense at the pump. This drive support that hard decisions and implement a meaningful tax consider the impact – people tax would help people understand will require. There are no more on GHG-emitting fuels. This tax paying at the pump still feel the the environmental cost of their excuses for half-measures. should be tied pinch, the connection between choices and encourage them to  behaviour and cost is change their behaviour created, and the added appropriately.

If the government’s proposed clean car standard is adopted, a target of 130gCO2/km could potentially give the 2011 BMW 550i a $9,000 penalty. The 2011 Mazda Premacy will have one of the biggest total costs to the industry with a $2,000 penalty multiplied by the volume of this model imported. Source: VIA www.autofile.co.nz 17 newslooking back The month that was... November

December 2, 1996 December 8, 2006 Fowles’ arrival sparks skirmishes Over 80,000 motor industry employees Car dealers looked set to be the big winners The 2006 census figures released that week showed that following the setting up in New Zealand of out of the 4,027,947 people residing in New Zealand, Australian company Fowles, which was likely to put more than 80,000 were employed in the automotive the auction market for vehicles on its ear. industry, with around one-quarter of those working in Fowles had already conducted several auctions repair and maintenance. for Ford dealerships and was in negotiation with The country’s four-million-plus population had other manufacturers and distributors over their ex-rental and grown 7.8 per cent on 2001’s figures, the biggest expansion lease fleets. recorded in a five-year period. Of those, 1,985,788 were employed of which The company had expanded into the dealer market with its first trader- 85,881 were motor-vehicle related. only auction in Auckland on December 12. The highest number of those employed in the automotive industry was Director David Fowles said his company would be conducting trade- those listed as road freight transport with 22,881 workers, followed by other only auctions – something not done in New Zealand before. automotive repair and maintenance on 14,790. Car retailing clocked in third He was adamant auctioneers shouldn’t be retailers because that was a with 11,259. real minefield saying when the pressure was on, volumes were drying up About 8,200 people worked in the parts industry – both retail and and incomes were dissipating, and auction houses were under enormous wholesale – 5,500 were in vehicle wholesaling, 3,900 in rental and hiring, pressure from shareholders to keep revenues up. and 2,000 listed themselves as employed within auto electrical. The vehicles for Fowles’ dealer-only auction would be supplied by Of the almost two million employed, just under half of these drove Phoenix Autos, traditionally a supplier to Turners. a private car, truck or van to work, and around 200,000 had a company Peter Clark, Phoenix’s managing director, said any ongoing vehicle. relationship for supplying vehicles to Fowles depended on whether this auction was a success. December 21, 2007

December 21, 1998 Imported vehicles continue to increase Imports of new and used vehicles into New Zealand Year to sort out company’s collapse increased by almost one-fifth in November 2007, It might be 12 months before the affairs of but many experts believed only time would tell how collapsed vehicle warranty company First Systems, exhaust-emission rules would affect the numbers. formerly Nationwide Guarantee Corporation, were New legislation was set to come into effect on completely sorted out. The company ceased trading January 3, 2008, which stated that all vehicles had on December 2, 1998. to meet minimum emissions standards. An initial report prepared by liquidator Anthony However, January 31 was the actual implementation date, allowing McCullagh estimated a deficiency of up to $3 million might be owed for cars that were already en-route or awaiting shipment to be imported to unsecured creditors. without adhering to the rules. It said there were a number of issues that required investigation and it The most recent figures released by the New Zealand Customs Service was unlikely that the administration of the liquidation would be completed showed stark increases in import numbers, with total arrivals climbing by within the next six months – and probably not until December 31, 1999. 17.8 per cent from 18,372 last year to 21,642 this time around. The report stated it appeared unlikely there would be sufficient funds This figure was also up on the 18,967 arrivals in October and was the from the realisation of the company’s assets to pay more than a minimal second highest month for 2007. dividend to unsecured creditors. Year to date, the total number of vehicles crossing the border was up During the year, according to the liquidators, all but three of Nationwide’s 5.7 per cent from 203,736 to 215,276. franchises were sold to Snap-on Tools of the US for some $4.6m. “Traders are buying up now,” said David Vinsen, chief executive of the While this gave the company a substantial cash injection, it was too late Imported Motor Vehicle Dealers’ Association. “They are stocking their to overcome losses being incurred by the warranty side of the business. yards in preparation for the implementation of the rule.” Don’t go searching for news. Let the news come to you.

Subscribe now to INSIGHTfor twice-weekly updates www.autofile.co.nz/subscribe 18 www.autofile.co.nz Pitfalls of vehicle-year declarations

eading into 2021, dealers with customers, and For example, “2015 need to be mindful about in advertising and Toyota Aqua” means it Key points how they and sales staff promotions, but these was first registered in Dealers need to be vigilant in how Hrepresent vehicle ages because sorts of terms can be 2015 overseas, given 1 they represent unregistered new statements can be interpreted misinterpreted by that model wasn’t sold vehicles, particularly at the start of any new year. differently by the parties involved. consumers and that’s new in New Zealand. “New” to a customer might where confusion can There are, however, Full disclosure helps reduce scope for confusion and misinterpretation. mean “just built”, which is a world arise. “The salesperson exceptions. The 2 Recognise a consumer might away from “never been registered”. told me it was a 2021 TONY EVERETT “definition” of year interpret information differently to It’s not uncommon for operators vehicle, but I’ve now Sector manager – dealers, was different before how you intended. Motor Trade Association to face disputes about vehicle year in discovered it was made January 1, 2007, A written record is the best the early months of every new year. in 2020”, can be a typical outcome. whereby vehicles loaded onto our 3 mechanism. If age is discussed at And to confuse matters, the rules for It’s important to recognise motor-vehicle register reflected any time during the sale process, new cars are different to used. that “perception” carries some any one of three possible dates – then record all known and relevant dates on the VOSA. That could be weight in dispute situations. The year of manufacture, model year or handy if a dispute later arises. NEW VEHICLES best way around this is to follow year of first registration. It’s essential your staff understand In the early months of the year the commission’s guidance and Refer to the back of the 4 all of the sensitivities involved, most, if not all, of your new-vehicle reference any unregistered new consumer information notice for and address customers’ questions stock will have been made in the vehicle by its year of manufacture. more information on this aspect. fully and frankly. previous year or even before that. Also, don’t forget to record all This situation might be the relevant dates on the vehicle THE BIG PICTURE vehicle content and inadvertently worse than usual on the back offer and sales agreement (VOSA). If it’s confusing for us in the industry, triggers a whole new conversation. of coronavirus-related supply This should include the year imagine what it is like for buyers. Members of your sales team shortages and delays, and might of manufacture, model year and, And if you think it won’t become need to understand these issues extend well into 2021. of course, actual date of first an issue, remember vehicle-year and consequences when discussing The Commerce Commission registration on sale. Full disclosure disputes typically arise post-supply age. A poorly worded verbal issued guidance back in 2010 helps to reduce possible avenues for when customers receive the record response to a question from a on the treatment of vehicle year confusion and, therefore, dispute. of registration, which references consumer could come back to and that remains relevant today. the car by year in written form, or haunt you. Describing a car as three It stated new vehicles that have USED VEHICLES perhaps when the owner books years old is different to saying it was not been registered should be The treatment of used vehicles is the vehicle in for service or goes to first registered three years ago. referenced by year of manufacture. different. The “year” cited on the purchase parts. Disputes claiming Dealers might often use “new”, licence label usually refers to when The service or parts staff misrepresentation can be costly. “latest model” or “2021 model it was first registered anywhere in member may well refer to it by its At worst, you might face buying a year” and the like in discussions the world. “model year”, which best specifies vehicle back some years after sale.

HELPING DRIVE YOUR BUSINESS The MTA brand is consistently associated with expertise, reliability and trust. Talk with us today about the benefits of MTA membership.

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www.autofile.co.nz 19 ev focus Gearing up to take on the world Paddon Motorsport ayden Paddon is heralding Paddon says: “It is faster on “We are also proud to welcome Hyundai Kona EV rally car in a “new era” in his sport paper than an ICE car, has better Meridian Energy to our EV rally car after unveiling one of the weight distribution and is more programme along with battery- Motors: Brusa BLDC motor, Hworld’s first electric rally cars. reliable because there are fewer charger leader YHI Energy. potential configuration with two, three or four motors, each motor The Kiwi driver and his team moving parts. “And we’ve partnered with produces peak power of 200Kw of six engineers have spent 18 “The potential with the EECA to help promote GenLess, a and 1,100Nm torque, customised months developing the vehicle, technology, electronics and design campaign to showcase how one cooling system and front-rear which is based on the Hyundai of the car is endless. It’s simply a new act or change can help reduce each torque vectoring. Kona and is designed to cope with era of rallying that has new limits. person’s carbon footprint.” Tyres: Pirelli range, 15-inch gravel the rigours of motorsport. “The EV package is capable of Paddon Rallysport is now and 18-inch sealed, EVO Corse Work on the 400kW-plus electric more than 800kW, but we have embarking on an eight-month lightweight alloys. vehicle (EV) was started by Paddon focused on building this car to have development programme to get Cockpit: Racetech seats, belts, Rallysport in March 2019 at a comparable power to a current ICE the most from the vehicle. steering wheel, MoTec M1 facility in Cromwell. rally car and we are aiming for it to The team is also working with management system, PDU and About 80 per cent of the car was be winning rallies against normal local motorsport bodies to make driver displays, keypad. designed in-house, such as its chassis, ICE competition from 2022. EV technology viable in a rally Chassis and suspension: Front- engineering, aerodynamics, steering, “A lot of work needs to happen environment. rear EXT MacPherson struts with suspension, cooling and electrics. between now and then, and we “This includes exploring how five-way adjustable dampers, Austrian company Stohl are confident EV technology is such cars can be serviced between steering electric power-assisted Advanced Research and going to work in a normal rally rally stages, regulations on rack and pinion, ventilated Development contributed to the environment.” changing battery packs, charging Brembo disc brakes – 355mm project as technical partner by Another feature of the vehicle systems, vehicle weight and chassis on tarmac, 300mm on gravel, air-cooled four-piston calipers, providing guidance and advice. is that it produces a loud and structure,” says Paddon. handbrake hydraulic control. The team wanted to create a distinctive sound for the safety “Finding the way to move vehicle that combines performance, – and enjoyment – of marshals, forward with EV technology is Transmission: Twin transmission, range and reliability, and one media and spectators. something we identify as being paddle-shift gear selection – MoTec controlled, driver- capable of competing in a traditional Paddon Rallysport has created important for our sport’s future, not controlled torque settings. rally format against those with and maintained several long-term only in New Zealand but globally. internal combustion engines (ICEs). commercial partnerships over the “If the sport doesn’t respond, Chassis, bodywork: Steel It also features a modernised years with several helping ensure it will be left behind commercially bodyshell with welded multi-point chromoly roll cage, extensive aerodynamics package the project could continue through and technologically compared to chassis strengthening, composite reminiscent of current World Rally the challenges of Covid-19 this year. other motorsports. fibre panels, UC-designed aero Championship (WRC) cars. “We’ve been working with “The next phase of the project package for combination of When in rally specification, it Hyundai NZ for six years now,” says is focused on performance and downforce and reduced drag. weighs in at about 1,400kg and Paddon. “Its belief in us to deliver reliability before we build up to a Weight: About 1,400kg with has the same suspension travel as and to continue representing the full-length rally in the second half battery. a WRC model. brand makes us proud and humble. of 2021.”

The team: Mike Pittams, lead technician; Rory Callaway, mechanical engineer; Ben Fretwell, technician; Haydon Paddon; Ari Pettigrew, technician; Matt Bowater, plant “The potential with the technology, manager; Matt Barham, project manager and electrical engineer electronics and design of the car is endless” – Haydon Paddon

20 www.autofile.co.nz ev focus Preparing for electric charge

ord New Zealand has begun the rollout of charging infrastructure at dealerships asF it prepares to launch its first plug-in hybrid models. It has partnered with electrical company Singer Group Ltd to prepare its network of dealerships around the country with charging The new charging bay at John Andrew Ford stations and home or business Forecourt chargers are for charging solutions. customer use and most sites will Ford currently offers two light also have a second charging station commercial models as plug-in in service areas. hybrid vehicles (PHEVs) – the Each dealership showroom Transit Custom SWB PHEV van and will also have a non-live charging the eight-seater Transit Tourneo demonstration unit on display to Simon Rutherford, left, managing director of Ford NZ, and dealer Titanium. principal Phil Saunders with a customer demonstration charging show consumers how to plug in And local deliveries of the all- unit in the showroom of John Andrew Ford in Auckland their PHEV. new Escapes in two variants – the The charging stations can be FWD PHEV and Escape FWD ST-Line programme makes great sense,” stations are compatible with type networked back to Singer, which X PHEV – are anticipated sometime says Simon Rutherford, managing one and two connections. can monitor and report back on next year. director of Ford NZ. Most Ford dealerships will have consumption as well as lock or Phase one of the Ford and Singer “It has a successful track record the faster 22kW AC chargers on unlock the station remotely. partnership includes dealerships of installing chargers for businesses their forecourts, future proofing for “It’s a fairly simple procedure installing on-site charging stations, and homes, and providing fantastic battery electric vehicles to come. and straightforward charging unit, with sales and service staff being after-sales support. It can work which is another reason we went trained on the PHEV technologies. with our customers to assess the Total EVs by region with Singer,” says Rutherford. Service and sales teams are also best options for them.” Northland 695 “Our focus is always on the Auckland 9,501 being brought up to speed on how He adds: “The Escape PHEV customer experience. We want Waikato 1,282 to use the chargers and talking to has already made a big impact in Bay of Plenty 824 to ensure the charging process is customers about options at their Europe, so we are excited to be Hawkes Bay 397 simple and easy to use, and it is. If home or business. prepping our dealerships.” Gisborne 69 you can plug in a television you can The first charging facility has “Equally, as New Zealand’s Taranaki 289 plug in your Ford.” been installed at John Andrew light-commercial leader and with Manawatu/Wanganui 700 Ford sales and service teams Wellington 3,332 Ford in Grey Lynn, Auckland, with the Transit Custom as the country’s will be able to refer customers to Nelson/Marlborough 834 the rest of the blue oval’s network only PHEV van solution in the Canterbury 3,527 Singer for their home or business under way. market, we’ve got a great option for West Coast 31 installations. Singer will conduct “Partnering with Singer for our businesses looking to run a cleaner, Otago 1,387 site assessments with clients and dealer network charging-station greener and more efficient fleet.” Southland 177 put together a plan for connecting installs and customer referral The Singer-installed charging Source: MoT, November 11, 2020 the charging station on-site.

Monthly light EV registrations - new and used import EV percentage share registrations 100 0 4.00% 3.75% 900 Used l ight New li ght 3.50% 800 3.25% 3.00% 700 2.75% 600 2.50% 2.25% 500 2.00% 1.75% 400 1.50% 300 1.25% 1.00% 200 0.75% 0.50% 100 0.25% 0 0.00% Jul Jul Jul Jul Jul Jul Oct Apr Jun Oct Apr Jun Oct Mar Mar Mar Mar Nov Dec Feb Mar Aug Sep Nov Dec Feb Mar Aug Sep May Sep Nov May Sep Nov May Sep Nov May Sep Nov May May 201 Jan 7 201 Jan 8 201 Jan 9 202 Jan 0

201 Jan 9 202 Jan 0 Source: MoT, November 11, 2020 www.autofile.co.nz 21 new cars Agile coupé ramps up appeal he appeal of the new GLE Coupé range has been boosted with more cabin Tspace, extra technology and greater agility thanks to a shorter wheelbase. Its design and dimensions place a stronger emphasis on coupé- specific elegance and the extra agility of a wheelbase significantly shorter than the GLE SUV on which it is based, says Mercedes-Benz. The GLE Coupé is now more spacious At a total of 39mm longer and 7mm wider than its predecessor, variants tuned by Mercedes-AMG. with 64 colours and smartphone Other enhancements include including 20mm added to the The 450 variant is powered integration with wireless charging for the Airmatic air suspension and wheelbase, the cabin feels more by a three-litre turbocharged compatible devices. adaptive damping system, a two- spacious with 40 more litres of six-cylinder producing 270kW of The 450 also includes the pipe selectable AMG Performance stowage space to boot. power and 500Nm of torque. keyless-go package, easy-pack exhaust system, spoiler lip and the The wheelbase is, however, This is supplemented by 48V powered tailgate, multi-beam LED AMG night package, which includes 60mm shorter overall than the EQ Boost technology that can headlights with adaptive high-beam heat-insulating dark-tinted glass. original GLE SUV, a characteristic add a further 16kW and 250Nm of assist plus, an 85-litre fuel tank, AMG Finally, at the heart of the that boosts dynamic response in electric output, and is allied to a Line body styling and 21-inch AMG Mercedes-AMG GLE 63 S 4MATIC+ cornering and manoeuvrability. 9G-TRONIC automatic transmission multi-spoke light alloys. Coupé is a potent four-litre twin- The three-model range is also with 4MATIC all-wheel grip. It takes The AMG GLE 53 adds to the 450 turbocharged V8 packing 450kW more aerodynamically efficient than 5.7 seconds to reach 100kph and model’s specification with a range of and 850Nm, now with 48V EQ the model it replaces, offering a nine achieves economy of 9.2l/100km. AMG performance equipment and Boost technology. per cent reduction in wind resistance The GLE 450’s parking package AMG-inspired visual enhancements. It’s allied to the AMG Speedshift despite having the same frontal includes a 360-degree camera, The AMG-fettled, 48V EQ-boosted 9G auto and AMG Performance surface area as its predecessor. Burmester surround-sound system, three-litre turbocharged six outputs 4MATIC+. Acceleration from zero to The GLE offers the choice of nappa leather upholstery, heated 320kW of power and 520Nm of 100kph takes just 3.8 seconds with three potent petrol-powered front seats with memory settings, a torque in combination with an AMG economy rated at 12.6l/100km. engines, including two model sliding glass sunroof, ambient lighting Speedshift TCT 9G auto and the AMG The Mercedes-Benz GLE 450 Performance 4MATIC+ variable all- 4MATIC Coupé starts at $159,300. wheel-drive system. The AMG GLE 53 4MATIC+ Coupé From standstill, it can hit and AMG GLE 63 S 4MATIC+ Coupé VEHICLES WANTED 100kph in 5.3 seconds with fuel start at $185,100 and $236,000 DEALERS BUYING NOW economy coming in at 9.3l/100km. respectively. VEHICLES WANTED All Audi, Porsche, Jaguar, Land Rover and Volvo Models Electric first race ew Zealand has fully “These are exciting times,” says electric or plug-in hybrid Andrew Bayliss, general manager models providing some of LDV importer Great Lake Jeff Dacombe . 021 532 355 . jeff[email protected] Nform of competition to models Motor Distributors. “To be at the with internal-combustion engines cutting edge and leading the EV in most segments – and that may charge in the commercial sector is LATE MODEL FORDS & MAZDAS WANTED soon be the case with utes. something we’re delighted to be LDV has confirmed its double-cab celebrating. T60 will have a pure EV fully electric “Enquiry for commercial EVs variant in 2021. Production is slated has been particularly strong, so to begin in the second quarter of having an electric ute and EV vans next year, with Kiwi arrivals projected on the market will bolster LDV’s Call Jason Robb to arrive in the third quarter. increasingly popular range.” Ph 0274 133 222 The marque already has a What LDV’s electric ute will look To advertise here, contact: fully electric model in its range, like has yet to be revealed, and the EV80 van, which will soon be that’s also the case with the T60’s [email protected] or ph 021 455 775 complemented by the eDeliver 3. capacity and possible range.

22 www.autofile.co.nz new cars Hybrid boasts cheap price-tag he most affordable new the hybrid has a new four-cylinder, petrol-electric car in New 1,197cm3 K12D engine with a Zealand has been launched shorter stroke. byT Suzuki. While the 61kW K12D has a Offered in GLX and LTD slightly smaller capacity, it is assisted specifications, the self-charging by the ISG system. Maximum engine Swift Hybrid is powered by a new torque of 107Nm is achieved at petrol engine and assisted by a 2,800rpm instead of the standard compact and high-performance Swift’s top end of 4,400rpm. 12-volt lithium-ion battery. Suzuki expects half of all Swift The marque says its lightweight Hybrid sales in New Zealand package adds only 25kg to the Suzuki’s Swift Hybrid will be to fleet and business vehicle’s overall weight. customers, and predicts 24 per The company pioneered the Hybrid CVT automatic is 4.1l/100km electrical energy recovered from cent of all new Swift sales will system known as Smart Hybrid compared to 4.8l/100km for the GL deceleration and braking, while likely be hybrid models. Vehicle by Suzuki (SHVS) four years CVT automatic. the ISG operates the idle stop-start “We have long been highly ago and claims an improvement SHVS combines a belt-driven function. regarded for producing fuel- of 15 per cent in fuel economy to integrated starter generator (ISG) Suzuki says the hybrid requires efficient cars and with the make it the most economical Swift and the 10Ah lithium-ion battery, no special maintenance but about introduction of the Swift Hybrid this model sold here. with the ISG acting as both a 30 minutes of continuous driving reputation is further enhanced,” says In addition, carbon dioxide (CO2) generator and starter motor. is recommended every month to Gary Collins, general manager of emissions drop by a generous 25 The ISG uses stored power recharge the battery and prevent it marketing for Suzuki NZ. per cent from 110-94g/km. to drive the motor and further from running out. The Swift Hybrids are priced Suzuki’s official combined fuel- improves fuel efficiency. In place of the 1,242cm3 from $26,500 for the GLX and cycle consumption for the Swift The long-life battery stores displacement K12C petrol engine, $28,500 for the LTD. New low entry point VEHICLES WANTED G has lowered this passenger, MG achieved more country’s entry point than 250km on one charge, which to new electric vehicle was calculated including range to Toyota SUVs & Utes M(EV) ownership with a sticker empty of 30km. price of $55,990 for its first fully The electric powertrain electric model. develops 105kW with 353Nm of In place of the one and torque for a 0-100kph time of 1.5-litre turbo engines powering 8.5 seconds. conventional models, the ZS EV has There are three levels of kinetic- a 44.5kWh, water-cooled, lithium‐ion energy recovery and three driving battery and synchronous electric modes so owners can adapt to motor. Its range is 262km using the their driving needs and levels of WLTP combined cycle test. energy conservation. • • MG Motor NZ has set a slightly The ZS EV, pictured, can be Hilux Land Cruiser Prado lower range expectation of 250km rapid-charged to 80 per cent in based on real-world testing, 40 minutes using a 50kW rapid- conducted in urban traffic in charging point. Auckland excluding motorways. In New Zealand, MG has With AC on and driver and partnered with TransNet to supply and install the optional Wallbox range of home-chargers, which We are always looking to purchase late model can fully top up the battery in seven hours. NZ NEW CARS AND COMMERCIALS miles motor group PAUL CURIN 0274 333 303 [email protected]

www.autofile.co.nz 23 motorsport Kiwi logs record Ring tally t is a race in which drivers can clock up 3,000km in a day. It’s where drivers can absorb the Inature and direction of the track, but never memorise corners or braking areas. And where Formula One safety measures are unknown and unforgiving Armco barriers await the slightest lapse of concentration. Few New Zealanders can lay claim to having raced at Germany’s infamous 24 Hours of Nürburgring. Wayne Moore, left, with some racing fans at the Nürburgring Fewer still have managed more than a couple of such ventures. in various BMWs with the Danish conduct on-track driving tests contesting Rally Isle of Man. Only one Kiwi can say he has Scangrip team. at the Nürburgring, and this Eberhard and Norbert Rattunde, raced there 26 times and in most of Moore’s long-standing had a substantial impact on the of VW, joined the duo and that those years for a factory or factory- involvement with VW at the development of their vehicles. partnership led to 17 years of supported team – and that’s race stood him in good stead Scangrip wasn’t the only driving a wide range of Volkswagens Wayne Moore, of Paekakariki near when Scangrip decided against withdrawal. Toyota’s factory with support from the Wolfsburg Wellington. contesting it in 2020. team also stayed away, Porsche company. Defying this year’s height Travel restrictions introduced to withdrew the semi-factory Moore has always had an empathy of the Covid-19 pandemic, he thwart the spread of coronavirus Manthey-Racing entry and driver with VW thanks to numerous returned to the race again and meant some teams didn’t Robin Frijns opted out after podium finishes and two class wins. back to Volkswagen after six years have enough opportunities to catching a non-Covid-19 flu. For 2020, the line-up was truly Moore’s 2020 team was WS international with a Russian, an Racing from Trier, Germany, and Englishman and a German as co- the Giti Tire-backed car was a VW drivers. “customer racing” Golf GTI. By regulation, no driver can go UNLOCK After all these years, he says the for more than three hours without EXHILARATING 2020 event was by far the strangest a two-hour break and many due mainly to the restrictions set in vehicles require refuelling before PERFORMANCE place to manage coronavirus. hitting that limit. And for the first time in 48 years, Nothing tests engine oil like a motorsport vehicle being pushed “I sleep easily between drives to the limits. Not only do we work alongside leading car no camping was allowed at the despite the background noise of manufacturers - many who exclusively recommend Castrol EDGE 25.3km circuit, which robbed the a race although I’m not so sure I - but we also test our oils with leading motorsport teams and event of much of its traditional would sleep if I owned the car or partners on the track and in the workshop. Our technology is festive atmosphere. built on the bedrock of their great achievements. the team,” smiles Moore. “I missed the fireworks and Apart from a handful of German Castrol EDGE 10W-60 is the official oil of theCastrol smell of steak cooking,” Moore told nationals, no driver in the world Toyota Racing Series – Tested to the EXTREME. Autofile. “I was quite sorry for the has competed more times in this 230,000 fans who had to forgo their event than Moore. annual weekend-long adrenalin fix.” He remains “thrilled” by the The race was broadcast live enormity of the race and of the in many countries – although Nordschleife circuit despite having not New Zealand – and there raced more than 30,000km on its were online opportunities for ever-changing surface. “engagement”. “Over the years, I’ve trained Moore’s introduction to the many New Zealand and Nürburgring’s 24-hour race came Australian drivers. I always find through an invitation from then it very satisfying when their Wellington-based German driver initial trepidation about such Florian Schmidt. a formidable track turns to Having navigated in local exhilaration and enjoyment.” rallies for Schmidt, he got the Many drivers learn the direction call-up when the latter decided of the track’s 87 corners online but the 24-hour race would be a are still in awe of the 290-metre perfect practice opportunity for variation in altitude, the plethora of 

24 www.autofile.co.nz motorsport

Wayne Moore assists his co-driver during a pit stop

The mother of all endurance races – Germany’s Nürburgring 24 hours Moore’s WS Racing team brought the VW GTI home in 64th place

t blind corners and bumps, and half- and water ponding on the circuit. experienced at the Nordschleife. At 8am the following day, racing banked Karussell corners. It was only the seventh time that “The race is extraordinarily restarted with a lap behind the A series of shorter four and six- weather had led to the race being challenging now with fierce safety car in two groups. hour endurance races are conducted suspended. competition between the factory The Rowe Racing BMW M6 at the Nürburgring each northern- Moore says: “Germany had teams that head the field. entry – driven by Nicky Catsburg, hemisphere summer and these high temperatures for weeks, but “Years ago, everyone slowed Alexander Sims and Nick Yelloly – were used this year to test Covid-19 all that changed as race weekend down in fog and heavy rain and was the outright winner. protocols and systems before the 24- approached. now there’s almost pressure not to. The WS Racing GTI driven by hour race from September 24-27. “Rain was forecast and it came “It’s essential to have an Moore, Niklas Kry, David Drinkwater Some 160 cars successfully with a vengeance. Also, fog settled intimate knowledge of the circuit and Fortchantre came home 64th. completed the distance in a six- on the Eifel Mountains, which is not because in those conditions you “To bring the car home safely hour race at the end of August. uncommon and creates hazardous often can’t see where the track was incredibly satisfying,” enthuses This year’s event was disrupted racing because the edges of the goes. You have to rely on instinct.” Moore. “Where we finished overall, by heavy rain. At 10.33pm on the track are hard to see.” Moore’s 11 laps before the red as well as second in our class, was Saturday, a torrential downpour Driving for his three-hour stint flag were described as a “hero a great achievement. It was my made it unsafe to continue with before the red flag was some of the drive” by his French co-driver first podium finish in class for three the dual threats of poor visibility most stressful laps Moore has ever Tommy Fortchantre. years, so it was a great result.”

SpecialiStS in pre-Shipment

www.jevic.co.nz vehicle inSpectionS ph 09 966 1779 

www.autofile.co.nz 25 disputes

The case: One month after Police officer’s bid to reject statutory supply, the purchaser wanted to reject his Nissan Navara because he felt he had been pressured into write-off dismissed by adjudicator buying the statutory write-off and believed it had suffered chassis damage. The trader said it had Background Khan advised Simeon other didn’t adequately disclose the provided all documents regarding A month after purchase, Jackie potential buyers were interested true nature and extent of the the ute’s repairs before supplying Simeon wanted to reject the 2018 in the vehicle. Simeon said that damage to the Navara or the it and refused to accept his customer’s rejection of the car. Nissan Navara he bought from due to the “look” of the car and significance of the repairs as was MIK Autos Ltd in April 2020. its price, which was cheaper than required under the FTA. The decision: The buyer’s Simeon said the trader told him similar utes advertised for sale, he Under this legislation, the claims under the Fair Trading Act the ute was a statutory write-off purchased the Navara because it trader had an obligation to disclose (FTA) and Consumer Guarantees Act (CGA) were dismissed. from Australia and it had been was “a good bargain” and paid a the ute was written-off in Australia repaired in New Zealand. deposit of $6,995 the next day. due to structural accident damage. At: The Motor Vehicle Disputes However, Simeon believed The vehicle offer and sale This information was material Tribunal, Auckland. he had been pressurised into agreement was completed on April to any reasonable consumer purchasing the vehicle and had 21 for the agreed price of $26,995. because it enabled an informed since discovered it had suffered The balance was paid directly to decision about the purchase his decision was influenced more more damage than he was led to MIK Autos by finance company MTF. to be made. This included by his perception the vehicle was believe. He wanted the purchase After purchase, Simeon said he the buyer then being able to a good bargain than any undue price refunded. was advised by an acquaintance, make enquiries as to the future pressure exerted by the dealer. The trader said it had provided who had more than 30 years’ consequences of a vehicle being Therefore, the tribunal was all the documentation regarding the experience in the automotive a statutory write-off. satisfied the trader had not damage and repairs before Simeon industry, that he should check the Those future consequences engaged in misleading conduct in agreed to buy the car, so it refused integrity of the chassis. He asked were important because a stigma breach of the FTA. to accept the Navara’s rejection. Khan whether it had suffered any was attached to vehicles that had Simeon also alleged the ute was such damage and Simeon said he been written off and significantly not of acceptable quality under the The case was led to believe it had not. affected resale values, the CGA because he considered it was The buyer saw the ute advertised He had the ute assessed by adjudicator said, irrespective of structurally unsound and hadn’t for sale on Trade Me as an Hometune Mobile Mechanics on the nature of the damage that been adequately repaired. Australian “stat write-off”. May 1. It found the left-front upper caused the car to be written off. He relied on Hometune’s When Simeon viewed the radiator support was pushed back It was the fact that the Navara assessment in making that Navara on April 18, the trader’s too far and the left-front headlight had been written off that created submission, but the tribunal wasn’t director Mohammad Khan advised bracket was damaged to line up the stigma. However, in this satisfied that evidence proved the him on several occasions of its fitment. case, the tribunal was satisfied vehicle was structurally unsound. write-off history. The front of the chassis the trader complied with its Documents provided by Khan also showed him a copy of appeared to have been cut off obligation to disclose the vehicle’s MIK Autos showed its chassis hadn’t the NZTA’s light-vehicle repair record and a new section welded on. The history as a statutory write-off. been damaged or repaired and of certification dated February 20 Navara had passed compliance Simeon also alleged he other structural repairs were of an and an AA inspection report. and an AA pre-purchase was pressured into buying the acceptable standard to be certified The certification noted the inspection with those repairs. ute without obtaining further for use on New Zealand roads. ute had suffered damage to the Hometune’s report led Simeon information about it, such as getting The adjudicator was satisfied the left-front inner guard, radiator to believe the vehicle was a pre-purchase inspection done, and vehicle was of acceptable quality support panel, front bumper and structurally unsound and unsafe. by Khan’s representations other cash taking into account it was a repaired beam, headlight, left-front guard, He contacted Khan seeking to buyers were interested in it. statutory write-off and sold at a bonnet and left-front suspension. reject it, but this was declined. The adjudicator said Simeon, discount to reflect its history. It also listed all repairs performed who was a police officer, came in New Zealand to manufacturer The finding across as a robust and intelligent Order specifications. The buyer alleged the trader man and the tribunal was satisfied The application was dismissed.

MEDIATION SERVICE FACILITATING RESOLUTION

26 www.autofile.co.nz disputes

The case: A Subaru Legacy Failure to replace air-pump relay results required repairs soon after purchase in March 2019. The trader had it fixed a few months later, in car trader facing extra repair costs but by March 2020 its secondary air pump needed to be replaced again. The dealer said it was not Background similar faults during the first recent fault had occurred too liable for the second round of Tyson Smith bought a 2007 Covid-19 lockdown in March and long after purchase for it to have repairs because the second fault Subaru Legacy for $7,569 from April 2020. liability under the CGA. happened too long after purchase. 2 Cheap Cars Ltd. Smith had it assessed by J & S The decision: The tribunal The vehicle needed repairs Automotive, which found three The finding ordered the trader to remedy the almost immediately and the dealer diagnostic fault codes linked to the The Subaru Legacy was defective problem affecting the operation of paid to replace the secondary air air-pressure sensor. at the time of sale with a fault the vehicle’s secondary air pump by replacing it. pump and other parts two months He said those codes showed that affected the operation of its after supply. the fault was the same as secondary air pump. This became At: The Motor Vehicle Disputes Smith said the same fault the problem remedied by GT evident within days of purchase. Tribunal, Auckland. reoccurred about 10 months later Automotive in May 2019. The evidence showed the and claimed the Subaru wasn’t of In that regard, he noted GT underlying cause of the issue acceptable quality for the purposes Automotive found a similar fault was likely to be a defective relay, adequately repaired, causing of the Consumer Guarantees Act code when it assessed the vehicle which caused the pump to fail and further faults to occur. (CGA), so he lodged an application in April 2019 and that it replaced was a common fault with models However, when it came to with the tribunal seeking a remedy. the air-pressure sensor and air of this age. remedies under the CGA, the The dealer said the second fault pump, which had become faulty. Also, the evidence showed the tribunal ruled Smith wasn’t entitled with the air pump had happened 2 Cheap Cars didn’t dispute trader’s repairer GT Automotive to reject the Legacy. too long after purchase for it to Smith’s version of events. It said didn’t replace the car’s faulty relay That was because the faulty have liability under the legislation. the Subaru was likely to have a when it performed repairs. This relay was common in such Subaru fault with its secondary air pump, problem ultimately damaged the models and was easily repaired. The case which might have been caused replacement secondary air pump, It didn’t amount to a failure of Within days of Smith buying the by a defect with the relay for that causing the vehicle’s second round a substantial character for the Subaru in March 2019, it developed component. of faults. purposes of section 21 of the act. a fault with its secondary air pump. The tribunal was advised by The tribunal acknowledged Furthermore, 2 Cheap Cars After weeks of discussing Steven Dufty, a mechanical claims 2 Cheap Cars’ submission that hadn’t unreasonably failed or the issue with 2 Cheap Cars, it consultant at 2 Cheap Cars, that it relied on GT Automotive to refused to rectify the problem. was taken to GT Automotive the Subaru Legacy models of that age perform the required repairs with Given the length of time it took following month. commonly had a fault that caused reasonable care and skill, and that for the issue to return, the trader’s The trader’s chosen repairer the secondary air-pump relay to the secondary air pump didn’t fail denial of liability and refusal to diagnosed faults with the stay open, causing the part to again until about 12 months post- repair was understandable in the secondary air pump, one-way “burn out” prematurely. purchase by which time Smith circumstances. check valve, air-pressure sensor Dufty advised that the defect had driven about 20,000km in the However, the tribunal found and air-control solenoid valve. was so common that Subaru of vehicle. that under section 18 of the CGA, The dealer provided NZ had implemented a recall in Nonetheless, 2 Cheap Cars Smith was entitled to have the replacement parts, some or all of respect of this issue and “most had obligations under the CGA to Subaru’s defects rectified within a which were second-hand, and GT mechanics” knew to replace the ensure the Legacy’s pre-existing reasonable time. Automotive completed the job in relay if a fault developed. faults were properly rectified. May 2019. Although 2 Cheap Cars The tribunal was satisfied the Order Smith drove the vehicle for 10 accepted the car was again car hadn’t been of acceptable The tribunal ordered 2 Cheap Cars months without any problems and defective, it denied liability. It said quality for the purposes of section to rectify the fault affecting the drove it about 20,000km during it had relied on GT Automotive to six of the CGA because it had a pre- operation of the secondary air that time. perform the appropriate repairs. existing defect with its secondary pump. This included replacing the But the Subaru developed The trader added the most air-pump relay that wasn’t pump and its relay.

Disputes cost you time & money MTA dealer members have access to a free support service. Visit www.mta.org.nz/mediation or call 0508 682 633

www.autofile.co.nz 27 YOUR FIRST CHOICE IN SHIPPING

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Phone 0800 ARMACUP (0800 276 2287) Shipping to email [email protected] www.armacup.com t h e Whangareid Auckland Hamiltonc Thameso nTauranga Rotorua Gisborne Napieru uNew Plymouth Wanganui Palmerston North n oMasterton Wellington Nelson Blenheim Greymouth Whangarei Auckland Hamilton Thames Tauranga t r Rotorua Gisborne Napier New Plymouth Wanganui r

A Palmerston North Masterton Wellington Nelson y Total new cars Blenheim Greymouth Westport Christchurch Timaru Total imported used cars Oamaru Dunedin Invercargill Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne 8,029 Napier New Plymouth Wanganui Palmerston North 9,523 2019: 9,641  16.7% N Masterton Wellington Nelson Blenheim 2019: 11,674  18.4% YOUR FIRST CHOICE IN SHIPPING Greymoutho Whangarei Auckland Hamilton Thames0 ve 2 m b er 2 0

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NEW: 144 2019: 130 10.8% NEW: 66 2019: 36 83.3% USED: 154 2019: 159 3.1% USED: 42 2019: 75 44.0%

Wanganui Napier

NEW: 74 2019: 83 10.8% NEW: 230 2019: 220 4.5% USED: 65 2019: 106 38.7% USED: 285 2019: 253 12.6%

Palmerston North Masterton

NEW: 272 2019: 289 5.9% NEW: 86 2019: 79 8.9% USED: 249 2019: 284 12.3% USED: 77 2019: 78 1.3%

Nelson Wellington

NEW: 131 2019: 100 31.0% NEW: 871 2019: 715 21.8% USED: 189 2019: 254 25.6% USED: 695 2019: 919 24.4%

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Greymouth Christchurch

NEW: 22 2019: 5 340.0% NEW: 934 2019: 2,007 53.5% USED: 28 2019: 26 7.7% USED: 1,162 2019: 1,372 15.3% LATEST SCHEDULE Timaru NEW: 76 2019: 67 13.4% Don Juan Grand Quest Turandot Don Juan USED: 100 2019: 116 13.8% Port Calls v2022 v2023 v2024 v2101 Oamaru

NEW: 17 2019: 7 142.9% Moji – – – 30 Dec USED: 18 2019: 25 28.0%

Osaka – 4 Dec 17 Dec 31 Dec Dunedin

NEW: 243 2019: 269 9.7%

JAPAN Nagoya – – 18 Dec 1 Jan USED: 291 2019: 364 20.1%

Yokohama – 5 Dec 19 Dec 3 Jan Invercargill Auckland 7 Dec 21 Dec 4 Jan 18 Jan NEW: 111 2019: 116 4.3% USED: 136 2019: 200 32.0% Lyttelton 19 Dec 2 Jan 9 Jan 30 Jan Wellington 21 Dec 4 Jan 8 Jan 1 Feb FINANCE TO SHIFT Y OUR Your Vehicle

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www.autofile.co.nz 29 Imported Passenger Vehicle Sales by Make - November 2020 Imported Passenger Vehicle Sales by Model - November 2020

NOV '20 2020 YEAR 2020 NOV '20 2020 YEAR 2020 MKT MAKE NOV '20 NOV ’19 +/- % MAKE MODEL NOV '20 NOV ’19 +/- % MKT SHARE TO DATE MKT SHARE MKT SHARE TO DATE SHARE Toyota 2,662 2,844 -6.4 28.0% 25,694 24.8% Toyota Aqua 563 417 35.0 5.9% 4,519 4.4% Nissan 1,441 2,117 -31.9 15.1% 17,854 17.2% Mazda Axela 429 618 -30.6 4.5% 5,540 5.3% Mazda 1,369 1,925 -28.9 14.4% 16,412 15.8% Toyota Prius 409 368 11.1 4.3% 3,512 3.4% Honda 797 1,220 -34.7 8.4% 9,579 9.2% Mazda Demio 316 430 -26.5 3.3% 3,517 3.4% Subaru 718 798 -10.0 7.5% 7,443 7.2% Honda Fit 313 517 -39.5 3.3% 3,942 3.8% Mitsubishi 457 505 -9.5 4.8% 4,605 4.4% Mitsubishi Outlander 288 293 -1.7 3.0% 2,627 2.5% BMW 412 362 13.8 4.3% 4,275 4.1% Nissan X-Trail 260 176 47.7 2.7% 2,094 2.0% Volkswagen 374 355 5.4 3.9% 3,636 3.5% Nissan Leaf 246 240 2.5 2.6% 2,087 2.0% Suzuki 243 585 -58.5 2.6% 3,915 3.8% Subaru Impreza 230 300 -23.3 2.4% 2,600 2.5% Audi 210 216 -2.8 2.2% 2,271 2.2% Volkswagen Golf 216 227 -4.8 2.3% 2,282 2.2% Lexus 164 146 12.3 1.7% 1,482 1.4% Subaru Legacy 216 289 -25.3 2.3% 2,431 2.3% Mercedes-Benz 139 101 37.6 1.5% 1,460 1.4% Toyota Corolla 203 221 -8.1 2.1% 2,038 2.0% Ford 84 84 0.0 0.9% 808 0.8% Suzuki Swift 201 510 -60.6 2.1% 3,287 3.2% Volvo 64 46 39.1 0.7% 645 0.6% Mazda CX-5 175 109 60.6 1.8% 1,397 1.3% Jeep 41 27 51.9 0.4% 276 0.3% Toyota Wish 170 213 -20.2 1.8% 1,705 1.6% Mini 38 25 52.0 0.4% 301 0.3% Toyota Vanguard 163 126 29.4 1.7% 1,387 1.3% Chevrolet 37 26 42.3 0.4% 356 0.3% Toyota MarkX 155 80 93.8 1.6% 1,089 1.0% Land Rover 35 30 16.7 0.4% 375 0.4% Toyota Blade 145 118 22.9 1.5% 1,328 1.3% Jaguar 33 28 17.9 0.3% 349 0.3% Mazda Atenza 140 258 -45.7 1.5% 2,063 2.0% Holden 29 34 -14.7 0.3% 354 0.3% Mazda Premacy 122 239 -49.0 1.3% 1,583 1.5% Porsche 26 15 73.3 0.3% 172 0.2% Nissan Note 121 197 -38.6 1.3% 1,556 1.5% Dodge 20 18 11.1 0.2% 192 0.2% Nissan Skyline 115 109 5.5 1.2% 1,267 1.2% Hyundai 20 35 -42.9 0.2% 256 0.2% Subaru Forester 109 80 36.3 1.1% 927 0.9% Chrysler 16 21 -23.8 0.2% 169 0.2% Honda CR-V 108 105 2.9 1.1% 1,089 1.0% Peugeot 11 13 -15.4 0.1% 91 0.1% Honda Odyssey 103 96 7.3 1.1% 849 0.8% Kia 9 15 -40.0 0.1% 122 0.1% Toyota Vitz 94 253 -62.8 1.0% 1,524 1.5% Citroen 6 2 200.0 0.1% 54 0.1% Nissan Serena 93 166 -44.0 1.0% 1,109 1.1% Bentley 5 1 400.0 0.1% 23 0.0% Nissan Tiida 88 388 -77.3 0.9% 2,431 2.3% Daihatsu 5 8 -37.5 0.1% 41 0.0% BMW 320i 74 59 25.4 0.8% 771 0.7% Fiat 5 2 150.0 0.1% 34 0.0% Ford Crown 68 23 195.7 0.7% 352 0.3% Cadillac 4 3 33.3 0.0% 46 0.0% BMW 116i 67 55 21.8 0.7% 676 0.7% Mercury 4 1 300.0 0.0% 16 0.0% Volkswagen Polo 65 30 116.7 0.7% 489 0.5% Pontiac 4 5 -20.0 0.0% 26 0.0% Toyota Auris 63 184 -65.8 0.7% 1,081 1.0% Range Rover 4 0 400.0 0.0% 16 0.0% Subaru Outback 62 37 67.6 0.7% 412 0.4% Chrysler Jeep 3 3 0.0 0.0% 30 0.0% Audi A4 61 62 -1.6 0.6% 537 0.5% Others 34 58 -41.4 0.4% 430 0.4% Others 3,272 4,081 -19.8 34.4% 37,710 36.3% Total 9,523 11,674 -18.4 100.0% 103,808 100.0% Total 9,523 11,674 -18.4 100.0% 103,808 100.0%

WHAT DO YOU WANT ü SOLID COMPANY ü QUALITY VEHICLES FROM YOUR ü CHOICE & VARIETY OF STOCK ü EXPERIENCED AGENTS contact: Taka Arimoto VEHICLE SUPPLIER? ü DEALER ONLY SUPPLIER email: [email protected] ü GREAT VALUE FOR MONEY www.heiwa-auctions.com

30 www.autofile.co.nz Scam alert targets car dealers

nyone who receives contact police if they are a victim of discovered his 2008 BMW had been cheque payments when a crime and echo the advice police Aqua tops ladder listed on Facebook by an imposter selling vehicles are being have given about being cautious There were 9,523 used-imported when a potential purchaser got in Aurged to hold onto them until the when accepting payments by cars registered in New Zealand for touch to offer a much lower price funds have cleared. cheques,” says Antonia Sanda, the first time last month. than on his Trade Me listing. The warning follows more of Facebook. “We take swift That was down by 18.4 per cent when The listing was copied by compared to 11,674 sales in November 2019. than 50 reports of scams across action to remove scams as someone claiming to be a The best-selling model was the Toyota the Auckland region in the past soon as we become aware.” Aqua on 563 units. Second spot was reseller, who had created a 12 months from victims who Lisa Kerr, head of trust and claimed by the Mazda Axela with 429 Facebook account under the have been conned after listing on safety at Trade Me, says: “While with Toyota’s Prius in third spot on 409. name Amrit Patel. Facebook Marketplace. becoming less common, it’s Mazda’s Demio and Honda’s Fit The vehicle was being came fourth and fifth on Nine people have been charged advertised for less than half of important to be aware cheques 316 and 313 sales with dishonesty offences in can be dishonoured and shouldn’t respectively. what Bing was asking for. relation to the cases and further be treated the same as cash.” He alerted the police, Netsafe investigations are taking place. The company has a 30-strong and Facebook to the scam. “Police have noticed a New Zealand-based team wrong, we have a disputes team on In other news impacting significant increase in these scams monitoring its site seven days a standby to help.” on car dealers, the Collision and take these matters seriously,” week to minimise the risk of its In September, Autofile Online Repair Association is warning of says Detective Senior Sergeant members being fleeced. reported on Trade Me warning lengthy delays with reports of Callum McNeill. “You’d be a mug to do anything its customers about staying safe replacement parts taking up to 12 He suggests car dealers and dodgy on Trade Me because you online following the emergence of weeks to arrive. consumers treat transactions leave deep electronic footprints scams on rival marketplaces. Neil Pritchard, general manager, involving cheques cautiously. “You on our site that can be traced,” It followed reports of a says some panel beaters are having shouldn’t hand over possession warns Kerr. suspected scam involving a to send clients away to either store until the payment is no longer “We have sophisticated Facebook Marketplace user cars at home or, if safe to do so, showing as pending.” processes in place to keep our copying a Trade Me listing in a bid to drive them until the parts are The authorities have received site trusted and safe. On the to illegally sell someone’s vehicle. available to be fitted. reports of a criminal buying a car rare occasion when a trade goes Tony Bing, of Auckland, only There was a backlog of work for after it was listed on Facebook. panel beaters before coronavirus The con artist paid by cheque and kicked in, but the subsequent Used Imported Passenger Registrations - 2017-2020 funds appeared as pending in the national lockdown meant fewer seller’s account. cars on the road and lower accident Police say cheques are then 14,000 rates so many repair shops caught dishonoured or reversed due to up on their workloads. 12,000 insufficient funds three to six days That said, stocks of certain later, by which time the scammer parts and panels at vehicle 10,000 has taken possession before usually distributors are running out and on-selling to a third party. 8,000 it is taking up to three months Attempts to make contact to source some items. Pritchard normally fail because the offender 6,000 says the Covid-19 pandemic has blocked or deactivated their has created a “perfect storm” 4,000 Facebook accounts. The police 20 17 with factories overseas having advise sellers to use regulated 20 18 stopped making parts because of 2,000 20 19 companies such as Trade Me and 20 20 closures, air-freight costs going other auction platforms. 0 up and shipping container space Jan Feb Mar Apr May Jun Jul Aug Sep Oc t Nov Dec “We encourage people to becoming more limited.

WHAT DO YOU WANT ü SOLID COMPANY ü QUALITY VEHICLES FROM YOUR ü CHOICE & VARIETY OF STOCK ü EXPERIENCED AGENTS contact: Taka Arimoto VEHICLE SUPPLIER? ü DEALER ONLY SUPPLIER email: [email protected] ü GREAT VALUE FOR MONEY www.heiwa-auctions.com

www.autofile.co.nz 31 www.mmnz.biz Warning over ‘juicing’ cars raders are being advised it appear newer than it is, which Hayden Johnston, general driving habits. Most EVs in Japan not to “juice” batteries in turn artificially inflates the EV’s manager of GVI Electric in are fuelled up at public rapid- following reports of the sticker price. Auckland, is seeing an increasing charge stations. practiceT being used to boost the However, owners are left number of juiced or tampered EVs value of used electric vehicles (EVs). disgruntled because the extra burst coming out of Japan. YEAR DOWN BY 25% The Imported Motor Vehicle of life usually fades after about His company has been importing There were 9,533 used cars Industry Association (VIA) has issued three weeks’ driving. used electric cars since 2013 and imported in November, which was a warning that car dealers who do “Dealers who engage in this describes juicing as the equivalent to down by 16.2 per cent compared to this are breaking the Consumer practice are doing so to ‘mislead’ winding an odometer back. 11,401 in the same month of 2019. Guarantees Act and Fair Trading Act. the customer,” says Malcolm “Unlike a normal internal So far this year, 96,591 used Juicing is the term used for Yorston, VIA’s technical manager. combustion engine car, mileage passenger vehicles have crossed artificially inflating a battery’s state “We advise all members to not travelled in an EV is largely an our wharves – down by 25.2 per of health (SoH) and is done by juice EV batteries.” irrelevant measure,” he says. “Its cent compared to 129,109 by this carrying out multiple rapid charges He adds consumers who can value is primarily based on the time last year. in short succession. identify this has been done would battery SoH.” There were 8,872 used cars This temporarily increases have a valid reason to reject the car Johnston adds juicing can be brought in from Japan during the SoH reading produced by a and file a complaint with the Motor done deliberately or may also be a November for a market share of battery health report and makes Vehicle Disputes Tribunal. result of an owner’s charging and 92.9 per cent.

USED IMPORTED PASSENGER VEHICLE ARRIVALS

20,000 19,000 18,000 17,000 16,000 15,000 14,000 2019 13,000 12,000 2017 11,000 2018 2020 10,000 2015 9,000 2016 2014 8,000 7,000 6,000

4,000 2013 JAN FEB MAR APR MAY JUN JUL AUG SEPT OCT NOV DEC

Used Imported Passenger Vehicles By Country Of Export

COUNTRY OF 2020 2019 2018 EXPORT JAN ’20 FEB ’20 MAR ’20 APR ’20 MAY ’20 JUN ’20 JUL ’20 AUG ’20 SEP ’20 OCT ’20 NOV ’20 NOV SHARE % 2020 TOTAL 2019 TOTAL MRKT SHARE 2018 TOTAL MRKT SHARE Australia 278 449 326 254 274 348 408 279 316 318 415 4.3% 3,665 5,148 3.6% 4,183 2.9% Great Britain 76 52 56 45 52 25 16 46 82 64 73 0.8% 587 894 0.6% 1,026 0.7% Japan 9,541 11,096 12,554 5,678 3,603 4381 8,452 9,455 7775 8418 8,872 92.9% 89,825 132,494 93.8% 134,510 94.2% Singapore 105 132 147 101 81 155 181 247 175 197 120 1.3% 1,641 1,678 1.2% 1,531 1.1% USA 72 50 47 37 24 18 38 43 48 32 37 0.4% 446 664 0.5% 1,108 0.8% Other countries 29 10 15 21 14 94 117 28 28 35 36 0.4% 427 340 0.2% 415 0.3% Total 10,101 11,789 13,145 6,136 4,048 5,021 9,212 10,098 8,424 9,064 9,553 100.0% 96,591 141,218 100.0% 142,773 100.0% Door-to-Door vehicle shipping experts To and from Japan, USa, UK, aUSTralia, Singapore, and The pacific Ph +64 9 303 0075 www.mmnz.biz ContaCt us today!

32 www.autofile.co.nz Traders urged to comply with law ealers who fail to display listings. Dealers can expect EECA and the safety-recall database. BUSINESS ON THE UP vehicle fuel-economy to check vehicles for compliance at Yorston says mechanisms for Car dealers sold 19,982 second- labels on stock they are any time on yards and online.” generating consumer information hand passenger vehicles to the sellingD may face a fine of $5,000 Meanwhile, the NZTA has notices and Rightcar QR code public last month. That was up per car. launched an online tool for posters will come soon. by 4.8 per cent compared to The Energy Efficiency and dealers, which provides them with He adds: “The site also features a November 2019 when there were Conservation Authority (EECA) has a single portal to get information bulk look-up tool for safety ratings, 19,062 ownership changes. requested the Imported Motor on vehicles. which uses New Zealand regos and The top two centres for Vehicle Industry Association (VIA) It is essentially a one-stop shop VINs as well as Japanese chassis proportional increases for such reminds traders of their legal for traders to access the generator numbers, so you can check the transactions were Westport and responsibilities on this matter. for fuel-economy labels and the ratings of vehicles you’re looking to Oamaru with 283.3 and 135.5 per “All registered traders are electronic stability control tool import or trade.” cent respectively, albeit on small required by law to display fuel- developed by VIA. Yorston advises all dealers to numbers. Napier and Timaru were economy labels on all vehicles It also has the NZTA’s dealer bookmark the tool, which can be joint third with 24.7 per cent jumps. displayed for sale,” warns Malcolm training module, motor-vehicle found online at https://dealer. Last month’s trade-ins came in Yorston, VIA’s technical manager. register information through rightcar.govt.nz, because it will at 14,031 for an increase of 12.2 “They also need to include fuel- Motocheck, PPSR, register for save time getting details on per cent compared to 12,506 in economy information for online damaged and written-off vehicles, individual vehicles. November 2019.

SECONDHAND CAR SALES - November 2020

DEALER TO PUBLIC PUBLIC TO PUBLIC PUBLIC TO DEALER NOV '20 NOV ’19 +/- % MARKET SHARE NOV '20 NOV ’19 +/- % NOV '20 NOV ’19 +/- % Whangarei 666 654 1.8 3.33 2,097 1,931 8.6 235 234 0.4 Auckland 6,543 6,364 2.8 32.74 13,674 14,232 -3.9 5,659 5,057 11.9 Hamilton 1,686 1,428 18.1 8.44 4,122 3,441 19.8 1,255 1,055 19.0 Thames 227 294 -22.8 1.14 533 649 -17.9 102 213 -52.1 Tauranga 1,016 859 18.3 5.08 2,497 2,227 12.1 628 578 8.7 Rotorua 295 454 -35.0 1.48 889 941 -5.5 87 133 -34.6 Gisborne 148 158 -6.3 0.74 389 394 -1.3 64 58 10.3 Napier 809 635 27.4 4.05 1,570 1,544 1.7 451 403 11.9 New Plymouth 463 404 14.6 2.32 1,056 962 9.8 216 199 8.5 Wanganui 189 233 -18.9 0.95 496 603 -17.7 120 156 -23.1 Palmerston North 893 764 16.9 4.47 1,811 1,678 7.9 645 665 -3.0 Masterton 217 227 -4.4 1.09 479 504 -5.0 201 126 59.5 Wellington 1,666 1,526 9.2 8.34 3,280 3,170 3.5 1,023 1,021 0.2 Nelson 319 293 8.9 1.60 1,023 1,047 -2.3 180 174 3.4 Blenheim 161 160 0.6 0.81 380 419 -9.3 98 83 18.1 Greymouth 86 80 7.5 0.43 171 185 -7.6 42 33 27.3 Westport 23 6 283.3 0.12 76 37 105.4 0 2 0.0 Christchurch 3,022 3,157 -4.3 15.12 5,030 4,908 2.5 2,121 1,573 34.8 Timaru 256 201 27.4 1.28 701 557 25.9 105 67 56.7 Oamaru 73 31 135.5 0.37 195 132 47.7 11 3 266.7 Dunedin 811 679 19.4 4.06 1,966 2,042 -3.7 490 410 19.5 Invercargill 413 455 -9.2 2.07 1,064 1,064 0.0 298 263 13.3 NZ total 19,982 19,062 4.8 100.00 43,499 42,667 1.9 14,031 12,506 12.2

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www.autofile.co.nz 33 new cars

New Passenger Vehicle Sales by Make - November 2020 New Passenger Vehicle Sales by Model - November 2020

NOV '20 2020 YEAR 2020 NOV '20 2020 YEAR 2020 MKT MAKE NOV '20 NOV ’19 +/- % MAKE MODEL NOV '20 NOV ’19 +/- % MKT SHARE TO DATE MKT SHARE MKT SHARE TO DATE SHARE Toyota 1,452 2,171 -33.1 18.1% 11,799 15.7% Toyota RAV4 511 881 -42.0 6.4% 4,963 6.6% Mitsubishi 927 648 43.1 11.5% 5,785 7.7% Mitsubishi Outlander 394 269 46.5 4.9% 2,214 2.9% Kia 735 884 -16.9 9.2% 7,733 10.3% Mitsubishi ASX 369 194 90.2 4.6% 2,150 2.9% Mazda 623 693 -10.1 7.8% 5,673 7.5% Mazda CX-5 285 277 2.9 3.5% 2,243 3.0% Suzuki 592 536 10.4 7.4% 5,556 7.4% Kia Sportage 285 218 30.7 3.5% 2,820 3.7% Hyundai 554 680 -18.5 6.9% 5,112 6.8% Suzuki Swift 260 184 41.3 3.2% 2,404 3.2% Ford 430 366 17.5 5.4% 3,031 4.0% Toyota Corolla 257 658 -60.9 3.2% 2,430 3.2% Nissan 395 499 -20.8 4.9% 3,492 4.6% Nissan X-Trail 188 194 -3.1 2.3% 1,398 1.9% Subaru 255 220 15.9 3.2% 2,285 3.0% Kia Seltos 180 400 -55.0 2.2% 2,560 3.4% MG 252 133 89.5 3.1% 1,199 1.6% Ford Escape 169 83 103.6 2.1% 966 1.3% Volkswagen 212 272 -22.1 2.6% 2,838 3.8% Toyota Yaris Cross 166 0 16,600.0 2.1% 263 0.3% Mercedes-Benz 194 207 -6.3 2.4% 1,861 2.5% Toyota Yaris 165 104 58.7 2.1% 997 1.3% Audi 163 126 29.4 2.0% 1,413 1.9% Hyundai Santa Fe 164 126 30.2 2.0% 1,000 1.3% Holden 145 724 -80.0 1.8% 3,316 4.4% Nissan Qashqai 157 260 -39.6 2.0% 1,583 2.1% BMW 130 177 -26.6 1.6% 1,484 2.0% Hyundai Kona 144 148 -2.7 1.8% 1,329 1.8% Honda 123 412 -70.1 1.5% 3,095 4.1% Hyundai Tucson 139 163 -14.7 1.7% 1,604 2.1% SsangYong 98 64 53.1 1.2% 802 1.1% Suzuki Vitara 116 183 -36.6 1.4% 1,201 1.6% Haval 91 72 26.4 1.1% 759 1.0% Toyota C-HR 107 50 114.0 1.3% 1,157 1.5% Lexus 89 76 17.1 1.1% 757 1.0% Ford Everest 107 48 122.9 1.3% 473 0.6% Land Rover 87 83 4.8 1.1% 964 1.3% Subaru XV 102 81 25.9 1.3% 705 0.9% Skoda 79 114 -30.7 1.0% 1,173 1.6% Mazda CX-9 88 58 51.7 1.1% 684 0.9% Mini 71 57 24.6 0.9% 645 0.9% Volkswagen T-Roc 86 0 8,600.0 1.1% 294 0.4% Jeep 70 60 16.7 0.9% 729 1.0% Subaru Forester 84 56 50.0 1.0% 683 0.9% Peugeot 37 52 -28.8 0.5% 689 0.9% Kia Stonic 84 0 8,400.0 1.0% 84 0.1% Volvo 31 44 -29.5 0.4% 416 0.6% MG ZS 81 49 65.3 1.0% 450 0.6% Porsche 29 26 11.5 0.4% 362 0.5% Holden Equinox 79 69 14.5 1.0% 701 0.9% Jaguar 27 51 -47.1 0.3% 340 0.5% Mazda CX-3 76 104 -26.9 0.9% 674 0.9% Isuzu 23 16 43.8 0.3% 220 0.3% Toyota Highlander 65 47 38.3 0.8% 573 0.8% Citroen 20 24 -16.7 0.2% 185 0.2% Ford Puma 64 0 6,400.0 0.8% 186 0.2% LDV 17 1 1,600.0 0.2% 88 0.1% Suzuki Ignis 61 45 35.6 0.8% 453 0.6% Renault 14 18 -22.2 0.2% 172 0.2% Mitsubishi Mirage 61 13 369.2 0.8% 349 0.5% Seat 10 15 -33.3 0.1% 123 0.2% MG ZS EV 60 0 6,000.0 0.7% 60 0.1% Bentley 9 4 125.0 0.1% 49 0.1% Haval H2 58 50 16.0 0.7% 528 0.7% Can-Am 7 8 -12.5 0.1% 76 0.1% Mitsubishi Eclipse Cross 57 117 -51.3 0.7% 631 0.8% Alfa Romeo 6 7 -14.3 0.1% 123 0.2% Suzuki Jimny 57 5 1,040.0 0.7% 540 0.7% Aston Martin 5 5 0.0 0.1% 41 0.1% Suzuki Baleno 56 43 30.2 0.7% 481 0.6% Fiat 5 0 500.0 0.1% 39 0.1% Mazda CX-30 56 0 5,600.0 0.7% 607 0.8% Genesis 4 0 400.0 0.0% 19 0.0% Kia Rio 56 67 -16.4 0.7% 840 1.1% Chevrolet 3 4 -25.0 0.0% 47 0.1% Toyota Landcruiser 53 55 -3.6 0.7% 283 0.4% Ferrari 3 1 200.0 0.0% 35 0.0% Subaru Outback 51 71 -28.2 0.6% 687 0.9% Lamborghini 3 2 50.0 0.0% 26 0.0% MG HS 49 0 4,900.0 0.6% 327 0.4% Maserati 2 1 100.0 0.0% 35 0.0% Kia Sorento 49 33 48.5 0.6% 451 0.6% McLaren 2 1 100.0 0.0% 19 0.0% Volkswagen Tiguan 49 127 -61.4 0.6% 955 1.3% Rolls-Royce 2 1 100.0 0.0% 13 0.0% SsangYong Korando 48 39 23.1 0.6% 462 0.6% Tesla 2 58 -96.6 0.0% 505 0.7% Honda HR-V 46 128 -64.1 0.6% 1,005 1.3% Others 1 28 -96.4 0.0% 154 0.2% Others 2,190 3,944 -44.5 27.3% 27,829 37.0% Total 8,029 9,641 -16.7 100.0% 75,277 100.0% Total 8,029 9,641 -16.7 100.0% 75,277 100.0%

34 www.autofile.co.nz new cars ‘Grateful’ economy largely intact he managing director Skoda’s Octavia wagon to the commercial building on 6,595sq m of Andrew Simms Land Rover Defender, is on offer Sales down 16% of freehold land. Newmarket and Botany from $995 a month. When BMW NZ bought the site Tsays the automotive industry SIXT promises a degree There were 8,029 new cars sold in 1988, it was the ideal location last month – down by 16.7 per cent should be “forever grateful” of personalisation with its from 9,641 in November 2019. to accommodate its business that New Zealand’s economy is vehicles and subscribers can The Toyota RAV4 topped the ladder with requirements, says managing still operating amid the global adjust options, such as the 511 sales. Next up were two Mitsubishis, the director Karol Abrasowicz- coronavirus pandemic. exterior and interior colour and Outlander with 394 and ASX on 369. Madej. Toyota had a market share of 18.1 per cent Although Andrew Simms upgrades to audio systems. “Our business has evolved and was the best-selling marque with believes we may not have seen the Branches in Auckland, 1,452 registrations. It was followed by significantly over the years, so end of Covid-19 in this country, Wellington, Christchurch and Mitsubishi on 11.5 per cent and 927 we’re looking at how we can best he holds the view that “we are Queenstown welcomed their first sales, and Kia with 9.2 per cent adapt to provide an improved and and 735 units. enormously better off than our customers on December 1, and larger working environment.” colleagues in most other parts of there are plans to open extra sites the developed world”. in major cities and at airports. industry turning its focus to a GLOBAL MARKETS He told Autofile: “We’ve got a SIXT, which has a fleet of subscription service. Hyundai suffered a net loss for July domestic economy that’s largely 280,000 cars in about 110 Coming online earlier this to September after costs relating intact and we are forever grateful countries, has also set a target of year, Apex Subscribe provides to engine problems and recalls there’s still one to operate in, but it 25 per cent of its Kiwi rentals being 28-day rental for a monthly fee, wiped out predictions of a strong will get difficult if we keep shutting electric by 2025. which includes registration, quarterly profit. down Auckland. Sir Colin Giltrap, executive insurance, maintenance and The South Korean marque “One thing we’ve really seen chairman of the Giltrap Group, is breakdown recovery. reported a net loss of 336 billion since the first lockdown is people thrilled to partner with SIXT in New Lee Marshall, general manager, won, or about NZ$444 million, for spending their money locally that Zealand for the mobility service. says this model is a way to offer an the three-month period. they would have perhaps spent “This is a milestone for our economical, hassle-free temporary Hyundai says it booked overseas in previous years. company and it’s a revolution solution with easy cancellation and 2.1 trillion won to cover charges “That was a big driver of the in how people use personal return policies. related to engine faults that led business when we came out of the transport,” he says. “As someone The service allows customers to to an increased risk of stalling and original lockdown and will continue passionate about EVs, I’m most choose a vehicle to suit their needs fire. Analysts had been tipping the to be a significant driver of business excited about how SIXT’s flexible and models can be switched. marque to record a profit of 1.2tr while borders remain closed.” mobility solution will give more won for the quarter. Simms adds consumers are Kiwis the chance to drive them.” GEARING UP FOR MOVE The Daimler Group has lifted its increasingly turning to their own BMW Group NZ is set to quit its profit outlook for 2020 after seeing research and are conducting OVERSEAS TOURISTS long-standing headquarters in demand in China for its Mercedes- more of the sales process online As for the rental market, it has Mount Wellington, Auckland. Benz cars jump by 24 per cent in because “Covid-19 has pushed severely felt the impact of no The company has been at the third quarter of 2020. people at a much hastier pace in international visitors being allowed Pacific Rise Business Park for more The German company that direction”. into New Zealand for so long. than three decades. expects full-year earnings before “Online activity has been at Apex is among a number of The property, which is visible interest and taxes (EBIT) to match unprecedented levels. We can see companies in the automotive from SH1, comprises a 4,168sq m 2019’s levels of €10.3b – around more consumers are looking at our NZ$18.06b. It had previously and manufacturers’ websites.” forecast a drop in earnings. New Passenger Registrations - 2017-2020 Bosses tempered the outlook TIME TO SIGN UP 12,000 by warning a spike in Covid-19 The Giltrap Group has launched a 11,000 infections made forecasting subscription service after teaming 10,000 problematic. In the third quarter, up with a European rental company. 9,000 Daimler’s adjusted EBIT rose to It follows the introduction of 8,000 €3.48b from €3.14b a year earlier. similar programmes worldwide and 7,000 Tata Motors has forecast a will compete with, among others, 6,000 stronger second half for its 2021 Turners Subscription, which started fiscal year with Jaguar Land Rover 5,000 in October. registrations tipped to improve in 4,000 Giltrap’s service will run under key markets. 3,000 20 17 the SIXT brand and allow Kiwis 20 18 The Indian company posted 2,000 access to new vehicles with the 20 19 a consolidated net loss of 3.14 option of six, nine or 12-month 1,000 20 20 billion rupees, or about NZ$63m, 0 subscriptions. Jan Feb Mar Apr May Jun Jul Aug Sep Oc t Nov Dec for the second quarter to the end A range of models, from of September.

www.autofile.co.nz 35 new commercials Lockdowns boost van demand

iwis’ preference for fleets wanting to upgrade and add safety features rather than used but “once we came back from that, home deliveries brought to their fleets. imports that don’t have them and we hit the ground running”. about by coronavirus “Add the ESC rule change earlier can’t be registered anymore, so Bayliss says: “We are getting an Klockdowns and electronic stability this year and people are moving that has played into our hands.” enormous amount of enquiry from control (ESC) having to be fitted towards buying new vehicles Auckland’s partial lockdown in our marketing and advertising. In on all vehicles imported into New because they know they have August slowed trading for a while, terms of people making enquiry to Zealand have combined to impact us, we hand those on to our dealers on the van market. New Commercial Sales - 2017-2020 who are having a high strike rate That’s the view of Andrew 6,000 converting them into sales. Bayliss, general manager of Great 5,500 “When it comes to private Lake Motor Distributors, which has 5,000 buyers, we’re getting a good strike 4,500 LDV and SsangYong. rate and some of that’s probably 4,000 “For us, the van market has 3,500 because people can’t have their been strong for a couple of 3,000 overseas holiday this year.” reasons,” he told Autofile. “Due 2,500 There were 3,852 new to the pandemic, mindsets have 2,000 20 17 commercial vehicles sold during 1,500 20 18 changed and businesses are doing 1,000 20 19 November. The total was down by more home deliveries. 500 20 20 8.5 per cent on the same month of “We are getting a lot more 0 last year when registrations came Jan Feb Mar Apr May Jun Jul Aug Sep Oc t Nov Dec enquiry from courier drivers and in at 4,210.

New Commercial Sales by Make - November 2020 New Commercial Sales by Model - November 2020

NOV '20 2020 YEAR 2020 NOV '20 2020 YEAR 2020 MKT MAKE NOV '20 NOV ’19 +/- % MAKE MODEL NOV '20 NOV ’19 +/- % MKT SHARE TO DATE MKT SHARE MKT SHARE TO DATE SHARE Ford 1,093 994 10.0 28.4% 8,405 23.4% Ford Ranger 1,005 907 10.8 26.1% 7,324 20.4% Toyota 859 939 -8.5 22.3% 7,398 20.6% Toyota Hilux 636 648 -1.9 16.5% 5,365 14.9% Mitsubishi 337 394 -14.5 8.7% 3,591 10.0% Mitsubishi Triton 300 392 -23.5 7.8% 3,477 9.7% Nissan 267 213 25.4 6.9% 2,134 5.9% Nissan Navara 267 213 25.4 6.9% 2,134 5.9% Isuzu 260 262 -0.8 6.7% 1,987 5.5% Toyota Hiace 197 269 -26.8 5.1% 1,743 4.8% Mazda 145 184 -21.2 3.8% 1,719 4.8% Isuzu D-Max 182 146 24.7 4.7% 1,075 3.0% LDV 114 65 75.4 3.0% 950 2.6% Mazda BT-50 145 184 -21.2 3.8% 1,718 4.8% Fiat 106 98 8.2 2.8% 689 1.9% Fiat Ducato 106 98 8.2 2.8% 686 1.9% Mercedes-Benz 81 180 -55.0 2.1% 965 2.7% Ford Transit 88 87 1.1 2.3% 1,081 3.0% Volkswagen 74 102 -27.5 1.9% 853 2.4% Mercedes-Benz Sprinter 62 132 -53.0 1.6% 379 1.1% Hino 61 70 -12.9 1.6% 516 1.4% SsangYong Rhino 54 32 68.8 1.4% 402 1.1% Fuso 60 55 9.1 1.6% 569 1.6% Hyundai iLoad 50 45 11.1 1.3% 510 1.4% Hyundai 56 46 21.7 1.5% 544 1.5% LDV T60 46 23 100.0 1.2% 310 0.9% SsangYong 54 33 63.6 1.4% 404 1.1% Mitsubishi Express 36 0 3,600.0 0.9% 109 0.3% Great Wall 51 50 2.0 1.3% 403 1.1% Isuzu F Series 36 54 -33.3 0.9% 408 1.1% Iveco 33 33 0.0 0.9% 303 0.8% Great Wall Steed 34 50 -32.0 0.9% 386 1.1% Holden 28 315 -91.1 0.7% 2,531 7.0% Hino 500 30 37 -18.9 0.8% 262 0.7% Ram 20 16 25.0 0.5% 205 0.6% LDV G10 30 14 114.3 0.8% 285 0.8% Renault 19 15 26.7 0.5% 226 0.6% Isuzu N Series 30 45 -33.3 0.8% 381 1.1% Scania 18 27 -33.3 0.5% 310 0.9% Volkswagen Amarok 28 54 -48.1 0.7% 404 1.1% Others 116 119 -2.5 3.0% 1,247 3.5% Others 490 780 -37.2 12.7% 7,510 20.9% Total 3,852 4,210 -8.5 100.0% 35,949 100.0% Total 3,852 4,210 -8.5 100.0% 35,949 100.0%

Know what’s going on in YOURYOUR industry Keep up to date with the latest automotive news Subscribe now at www.autofile.co.nz/subscribeINSIGHT 36 www.autofile.co.nz used commercials ‘Pleasantly surprised’ by trading espite two lockdowns Julian had many enquiries if there was more capacity on boats never had done before and in Auckland due to during October, for example, but coming out of Japan,” he says. customers don’t want to miss out. Covid-19, sales over the has been “hampered somewhat” “It’s a major issue. We are “It is hard to get New Zealand- Dpast few months have not been as because it has been taking a long taking deposits from buyers for new stock and we are paying a down as Bill Julian anticipated. time to get stock out of Japan. our vehicles sitting on wharves premium for it, so it may be even In fact, the managing director of “We would have had more sales in Japan. That is something we’ve harder to get good stock next year. NZ Light Commercials in Takanini “The trades are all busy, although has been pleasantly surprised by Used Commercial Sales - 2017-2020 I am hearing there’s a slowdown how the year has panned out. 1,250 in commercial construction from “After the first lockdown, tradespeople such as gasfitters. no-one knew what was going to 1,000 “I would like to think 2021 will happen,” he told Autofile. start strong, but after March I’m “We came back after the first 750 unsure how the rest of the year will lockdown and customers, who pan out. The government needs to had changed their minds about 500 get ‘shovel ready’ projects going.” purchasing a vehicle as we went 20 17 There were 691 used-imported into it, wanted to buy those vehicles. 250 20 18 commercials registered for the 20 19 “Most of the deals that got 20 20 first time last month for drop of 0 cancelled came back when business Jan Feb Mar Apr May Jun Jul Aug Sep Oc t Nov Dec 30.8 per cent compared to 999 in opened up again.” November 2019.

Used Commercial Sales by Make - November 2020 Used Commercial Sales by Model - November 2020

NOV '20 2020 YEAR 2020 NOV '20 2020 YEAR 2020 MKT MAKE NOV '20 NOV ’19 +/- % MAKE MODEL NOV '20 NOV ’19 +/- % MKT SHARE TO DATE MKT SHARE MKT SHARE TO DATE SHARE Toyota 275 448 -38.6 39.8% 3,765 44.6% Toyota Hiace 202 356 -43.3 29.2% 2,765 32.7% Nissan 134 212 -36.8 19.4% 1,957 23.2% Nissan NV350 47 35 34.3 6.8% 492 5.8% Isuzu 43 47 -8.5 6.2% 438 5.2% Nissan Caravan 33 49 -32.7 4.8% 480 5.7% Hino 33 34 -2.9 4.8% 311 3.7% Toyota Dyna 29 35 -17.1 4.2% 353 4.2% Ford 30 44 -31.8 4.3% 326 3.9% Isuzu Elf 25 34 -26.5 3.6% 274 3.2% Mitsubishi 27 33 -18.2 3.9% 260 3.1% Hino Dutro 23 23 0.0 3.3% 226 2.7% Mazda 24 46 -47.8 3.5% 355 4.2% Fuso Canter 21 17 23.5 3.0% 145 1.7% Chevrolet 20 9 122.2 2.9% 125 1.5% Toyota Toyoace 19 11 72.7 2.7% 184 2.2% Holden 18 14 28.6 2.6% 153 1.8% Nissan Atlas 18 30 -40.0 2.6% 136 1.6% Mercedes-Benz 11 5 120.0 1.6% 42 0.5% Nissan E-NV200 11 3 266.7 1.6% 52 0.6% Volkswagen 9 10 -10.0 1.3% 84 1.0% Nissan NV200 11 47 -76.6 1.6% 469 5.6% Renault 8 3 166.7 1.2% 32 0.4% Ford Ranger 11 10 10.0 1.6% 141 1.7% Suzuki 8 3 166.7 1.2% 53 0.6% Mazda BT-50 10 3 233.3 1.4% 44 0.5% DAF 6 0 600.0 0.9% 22 0.3% Chevrolet Colorado 10 12 -16.7 1.4% 92 1.1% Fiat 6 50 -88.0 0.9% 130 1.5% Isuzu Forward 10 6 66.7 1.4% 94 1.1% Daihatsu 5 4 25.0 0.7% 45 0.5% Toyota Regius 10 29 -65.5 1.4% 291 3.4% Dodge 5 2 150.0 0.7% 38 0.5% Mazda Bongo 9 37 -75.7 1.3% 239 2.8% LDV 4 0 400.0 0.6% 16 0.2% Suzuki Carry 8 3 166.7 1.2% 52 0.6% Kenworth 3 1 200.0 0.4% 17 0.2% Toyota Hilux 8 8 0.0 1.2% 97 1.1% Volvo 3 3 0.0 0.4% 34 0.4% Nissan Navara 7 12 -41.7 1.0% 83 1.0% Others 19 31 -38.7 2.7% 241 2.9% Others 169 239 -29.3 24.5% 1,735 20.5% Total 691 999 -30.8 100.0% 8,444 100.0% Total 691 999 -30.8 100.0% 8,444 100.0%

Know what’s going on in YOURYOUR industry Keep up to date with the latest automotive news Subscribe now at www.autofile.co.nz/subscribeINSIGHT www.autofile.co.nz 37 ‘Good volumes’ coming in new-vehicle distributor is Bayliss told Autofile that could have been because people relieved it has been able demand has been such the foresaw the result was going to Stock at-hand edges up to secure stock from its company has been able to replace be more of the same in that there Importations of new cars during November came in at 7,483. Amarque’s production lines. any ageing stock, not that it has a wasn’t going to be any drastic This was a decrease of 20.5 per Andrew Bayliss, general massive problem with it, with fresh changes,” opines Bayliss. cent when compared to the same manager of Great Lake Motor vehicles and it has good volumes “Also, people are confined to month of last year and a drop of Distributors, which represents arriving each month. New Zealand so there’s no point 16.8 per cent on October 2020’s SsangYong and LDV, notes there “We do have waiting lists, like sweating what you can’t change. total of 8,998 units. has been “an element of good luck everyone else, for certain colours or “When the first lockdown Registrations of new passenger involved” when it comes to product specific models. We plan for these happened, people were shell- vehicles totalled 8,029 last month arrival in New Zealand. things, but sometimes there will shocked and nervous about the for a decrease of 16.7 per cent from November 2019’s figures. “Just before the outbreak of the be demand for a specific colour or future, but I have to say that post- November 2020’s total also pandemic, we placed a couple of model that we can’t fulfil right now. lockdown we haven’t looked back. represented a fall of 3.2 per cent big orders obviously not knowing “However, this it isn’t a major “I sent a bulletin out to our from 8,296 in October. Covid-19 was coming,” he explains. issue because we have production dealers on the first day of the These numbers have resulted “We landed a lot of fresh stock orders arriving with solid numbers lockdown outlining we had in the stock of new cars still to be just after we came out of the first each month. From now until the good supply and good stock registered dropping by 546 units lockdown. As a result, we have a end of the year, we should see because, at that point, there was to 75,064. Daily sales, as averaged over good range to sell now buyers are more good results.” speculation factories overseas the previous 12 months, stand out there wanting to buy. During election years, he adds, were going to close. A lot of at 229 units per day – the lowest “We have been fortunate to get business normally slows down the European brands have been tally since January 2014. product out of both factories, LDV coming up to polling day, but that experiencing that and aren’t getting November’s results mean that and SsangYong. They are able to fill didn’t happen this time around. good supply, so maybe that’s playing stock at-hand has increased to our orders.” “I’m not a political analyst but it into our hands as well.” 328 days, or 10.8 months.

Dealer stock of new cars in New Zealand DAYS STOCK IN NZ - NEW CARS

CAR SALES DAILY SALES DAYS VARIANCE STOCK - 12-MONTH STOCK 320 IMPORTED REGISTERED AVERAGE AT HAND

Nov ‘19 9,408 9,641 -233 81,733 284 287 300 Nov 2019 — Nov 2020 Dec ‘19 8,191 8,159 32 81,765 286 286 Jan ‘20 6,750 9,099 -2,349 79,416 283 280 280 Feb ‘20 6,058 7,911 -1,853 77,563 284 273 Nov 2018 — Nov 2019 Mar ‘20 8,531 5,415 3,116 80,679 276 292 260 Apr ‘20 5,537 707 4,830 85,509 259 330 240 May ‘20 2,765 5,400 -2,635 82,874 253 327 Jun ‘20 4,322 7,413 -3,091 79,783 250 320 220 Jun ‘20 4,321 8,200 -3,879 75,904 250 303 Aug ‘20 5,371 7,072 -1,701 74,203 246 301

Days of stock Days 200 Sep ‘20 8,440 7,735 705 74,908 239 313

Oct ‘20 8,998 8,296 702 75,610 233 324 180 Nov ‘20 7,483 8,029 -546 75,064 229 328

Year to date 68,576 75,277 (6,701) 160 Change on last month -16.8% -3.2% -0.7% 0 Change on Nov 2019 -20.5% -16.7% -8.2% OCT SEP JUL JAN FEB NOV APR DEC AUG JUN NOV MAY LESS IMPORTED LESS SOLD LESS STOCK MAR

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38 www.autofile.co.nz Auction prices up across Tasman dealer in South Auckland adds: “There is enough stock to but realise that you have to spend reports it has been difficult get by. We are only a small yard money to make money. Daily sales sliding for the industry to access with 25 to 30 vehicles and four “We were busy during the There were 9,553 used cars imported stockA from overseas. staff members, so we don’t need second lockdown. We sell a lot in November for a decrease of 1,848 While business has been to have the site fully stocked all of stock outside of the city so units, or by 16.2 per cent, on the same month of last year. steady since New Zealand went the time.” nothing changed for our buyers. The monthly total was an into lockdown earlier this year, He notes it’s taking longer to get Sales were only down slightly over increase of 5.4 per cent from 9,064 there’s not a lot of fresh used vehicles shipped from Japan and it’s a two-week period.” imports in October. stock being sold. also taking more time to get stock At this stage, Karrasch believes There were 9,523 units sold in “At the moment, not a lot is reconditioned in New Zealand. 2020’s sales will be about the same November. This was down 18.4 per being auctioned in Australia and “The contractors we use are as 2019. cent from 11,674 during the same prices have gone up, so it’s not that busy and it’s taking longer to get Lyndon Lambert, owner of month of 2019 and represented a drop of 2.5 per cent from 9,763 viable to bring stock in from over work done – that has been one of Allkars in Whangarei, has an registrations in October. there,” says Gareth Karrasch, of 317 the big changes this year. optimistic outlook because With 30 more used cars Ute and Van Sales in Takanini. “It just proves the country is he doesn’t think the Covid-19 imported than sold last month, “That said, it is still worth strong enough by itself. The big recession will be tougher than the this brought stock on dealers’ keeping an eye on their auctions industry we have lost is overseas global financial crisis, but there has yards, or in compliance shops, to and you can always get stock out tourism, but that industry is now been a shortage of “good vehicles”. 23,081 units. This was 22.6 per of Japan. I’m getting some locally, a being supported by local tourists. “My freight bill has tripled so that cent, or 6,724 cars, lower than at the end of November 2019. few vehicles out of Japan and some “I think business confidence tells me people will buy good cars With current average daily out of Australia.” is there. It took a month or two and transport them to other parts of sales slipping to 316 per day – the Karrasch, who has imported after Auckland’s first lockdown for the country, even the South Island. lowest level since June 2014 when used vehicles from across the people to decide that things were I have sold about five cars to buyers the average daily was 311 – there Tasman over the past five years, okay. They are still being cautious there so far this year.” are 73 days’ stock remaining.

DAYS STOCK IN NZ - USED CARS Dealer stock of used cars in New Zealand

CAR SALES DAILY SALES DAYS 180 VARIANCE STOCK - 12-MONTH STOCK IMPORTED REGISTERED AVERAGE AT HAND

160 Nov ‘19 11,401 11,674 -273 29,805 384 78 Dec ‘19 12,121 11,628 493 30,298 385 79 140 Jan ‘20 10,101 11,693 -1,592 28,706 385 74 Feb ‘20 11,789 10,747 1,042 29,748 384 77 120 Mar ‘20 13,145 8,565 4,580 34,328 375 91 Apr ‘20 6,136 622 5,514 39,842 347 115 100 Nov 2019 — Nov 2020 May ‘20 4,048 9,565 -5,517 34,325 340 101 Jun ‘20 5,021 11,962 -6,941 27,384 342 80 80 Jun ‘20 9,212 11,975 -2,763 24,621 340 72 Aug ‘20 10,098 9,054 1,044 25,665 331 78 60 Nov 2018 — Nov 2019 Days of stock Days Sep ‘20 8,424 10,339 -1,915 23,750 327 73

40 Oct ‘20 9,064 9,763 -699 23,051 322 72 Nov ‘20 9,553 9,523 30 23,081 316 73

20 Year to date 96,591 103,808 (7,217) Change on last month 5.39% -2.5% 0.1%

Change on Nov 2019 -16.2% -18.4% -22.6% OCT SEP JUL JAN FEB NOV APR DEC AUG JUN NOV MAY MAR LESS IMPORTED LESS SOLD LESS STOCK

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