Tspeed-1249610_960_720he ACCC is conducting a market study of the new car retailing industry.

The market study will review industry practices in the sector to assist in identifying risks to consumers and the competitive process. The key issues to be covered by the study include:

  • compliance with consumer guarantees obligations and the ability of consumers to enforce their rights;
  • interaction between consumer guarantees, manufacturer’s warranties and dealer’s extended warranties;
  • the effect on competition and on consumers of post-sale service arrangements (such as servicing and repair);
  • availability and access to repair and service information and data for new cars; and
  • false, misleading and deceptive practices in fuel consumption, carbon dioxide (CO2) emissions, noxious emissions and car performance.

The study is also exploring buying behaviours and expectations of consumers purchasing new cars, in addition to the structure and operations of the new car retailing industry.

It will explore the broad structure and operation of the new car retailing industry, assessing whether market characteristics, including new car buyer behaviours and expectations, are conducive to competition.

The ACCC has released an issues paper, and is seeking comment by 14 November 2016.

The paper and related information can be found: http://www.accc.gov.au/about-us/market-studies/new-car-retailing-industry-market-study