Archives: Dealer Bulletins

Western Australian (WA) dealers are advised on the 2 May 2025 the WA Government announced that applications for the WA Government’s Zero Emissions Vehicle (ZEV) Rebate Scheme will close at midnight, 10 May 2025.

About the ZLEV Rebate Scheme

The ZEV Rebate Scheme is a financial incentive to encourage the purchase of zero emission vehicles as part of the Government’s Clean Energy Car Fund. The ZEV scheme provided a $3,500 rebate for people who purchase and register an eligible vehicle and apply via the WA Department of Transport.

Data sourced from the WA government indicates that ZEV Rebate Scheme resulted in 11,868 ZEV rebate applications being successful, totalling $41,538,000.

When was notice first provided by the WA Government about the end date of the  ZEV Rebate Scheme ?

WA dealers and consumers were advised in the 2024-25 WA State Budget announcement that the ZEV Rebate Scheme would conclude on 10 May 2025.

You can read more about the WA Government announcement below.

WA GOVERNMENT WEBSITE

As part of the AADA’s ongoing advocacy efforts, we recently wrote to both major political parties ahead of the upcoming Federal Election, asking them to outline their positions on a range of policy areas of specific interest to franchised new car and truck dealers.

We received responses from both The Coalition and The Labor Party. Key takeaways from the correspondence include:

• While both parties acknowledged the need to address the power imbalance in franchising, Labor’s response was more specific in terms of actionable commitments.
• The two parties diverge significantly on key issues such as the New Vehicle Efficiency Standard (NVES), Fringe Benefits Tax (FBT) concessions for electric vehicles, and the Instant Asset Write-Off (IAWO). Notably, Labor has committed to retaining the NVES with a review scheduled for 2026, while the Coalition would remove fines associated with it.
• On FBT, Labor will maintain the current exemption for BEVs but maintain the exclusion of PHEVs, whereas the Coalition has subsequently confirmed since this letter through an updated statement that it will remove the current FBT exemption for electric vehicles.
• The Coalition offers a higher, permanent IAWO threshold of $30,000, compared to Labor’s $20,000 cap, which is subject to annual Budget approval.
• Neither party has made a meaningful commitment toward automotive tax reform, including the removal of remaining tariffs and the Luxury Car Tax (LCT).

To assist members in comparing the policy positions, we’ve summarised the parties’ positions in the table below.

 

VIEW FULL COALITION RESPONSE

VIEW FULL ALP RESPONSE

The March 2025 edition of the Automotive Insights Report (AIR), powered by data from AutoGrab, reveals a robust 14.8 per cent increase in used car sales, with 200,566 vehicles changing hands nationally. This comes even as total active listings declined by 4.7 per cent, reflecting tightening supply across most states.

This month’s results show the resilience of the used car market. Sales rose for the third consecutive month and there was a noticeable drop in listings this month, suggesting dealers and private sellers moved vehicles more quickly and efficiently.

March also marked a noticeable shift in buyer behaviour, with the average days to sell climbing to 51.3 days which is the highest figure since November 2023.

Most states recorded sales gains, with the ACT (24.6 per cent), NSW (19.3 per cent), and VIC (17.0 per cent) leading the charge.

As usual, utes and Japanese nameplates dominated. The Ford Ranger retained its place as Australia’s top-selling used car for the 19th month in a row, and Toyota held five of the top ten spots. The Suzuki Jimny continued its remarkable run in retained value, hitting an impressive 114 per cent.

Highlights from the AIR for March 2025:

• 200,566 used cars sold nationally – a 14.8 per cent increase from February.
• Total listings fell 4.7 per cent, with declines in six out of eight states and territories.
• EV sales rose 11.6 per cent, despite a 3.5 per cent drop in listings.
• Average days to sell increased to 51.3 days.
• The Suzuki Jimny led in retained value at 114 per cent.
• Ford Ranger and Toyota Hilux were again the top-selling models.

Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.

If you are a Dealer of a contributing brand and would like access to the monthly report please email Communications Manager Ashleigh Sykes on asykes@aada.asn.au.

In the lead up to Anzac Day next month, AADA has received correspondence from the Department of Veterans’ Affairs (DVA) in relation to the use of the word ‘Anzac’.

The correspondence requested that AADA make members aware of Protection of Word ‘Anzac’ Regulations 1921 (Cth) (the Regulations), which outline how, where and when the word ‘Anzac’ may be used. It is important to note that the use of the word ‘Anzac’ is not permitted in an official or corporate manner without permission from the Minister for Veterans’ Affairs. For example, this includes selling or producing goods, fundraising, exhibitions, games and sporting events.

Members are encouraged to familiarise themselves with the Regulations, associated guidelines, and the application form on the DVA website. There is no cost to apply for a permit.

VIEW DVA WEBSITE

AADA and MTAQ are delighted to host the Queensland Regional Dealer Roadshow – a key initiative under our recent partnership aimed at strengthening dealer representation at both the state and national levels. Read more about our collaboration here.

This roadshow is your opportunity to shape the policy agenda by highlighting the critical dealer-facing issues that matter most to Queensland’s regional dealerships.

Why attend?

The roadshow provides a unique platform for franchise dealers to engage directly with the industry bodies that advocate on their behalf both federally and in Queensland.

Who will be there?

The events will be facilitated by MTAQ CEO Rod Camm and AADA CEO James Voortman, who will provide key updates on pressing industry issues, including:

• State Motor Vehicle Duty and reforms sought for Queensland dealers
• Skills development and jobs programs
• Licensing of salespeople
• Queensland’s Industrial Relations landscape
• Dealer concerns under Australian Consumer Law
• New Vehicle Efficiency Standard, EV transition and what it means for regional Queensland
• Challenges with DMS and online classifieds providers
• Franchise Code update
• The 2025 Federal Election
• Re-invigoration of the AADA Queensland Committee.

Where and when

• Gold Coast – 7 April 2025, 8:15am to 10:30am at Mantra at Sharks & Events Centre
• Toowoomba – 7 April 2025, 1:45pm to 4pm at City Golf Club Toowoomba
• Sunshine Coast – 8 April 2025, 8:15am to 10:30am at Novotel Sunshine Coast Resort
• Brisbane – 8 April 2025, 1:45pm to 4pm at MTAQ House or Online
• Cairns – 9 April 2025, 8:15am to 10:30am at Pullman International
• Townsville – 9 April 2025, 4:30pm to 7pm at Grand Chancellor

Other locations

Other major Queensland regional centres such as Rockhampton, Gladstone, Mackay, Mt Isa and Kingaroy will have dates and venues announced at some stage in mid-May 2025.

Who should attend the AADA-MTAQ Regional Dealer Roadshow?

Ideally your dealership should be represented by the Dealer Principal/ General Manager, Service Manager, CFO or other senior dealership staff.

How to register?

Secure your spot by completing the registration form below.

REGISTER HERE

The 2025-26 Federal Budget is focused on ‘Turning a corner’ and ‘Building Australia’s future’.

There is a strong focus on delivering responsible cost of living relief, strengthening Medicare, and investing in education.

The global economy is facing considerable uncertainty and growth and is expected to remain subdued over the next three years. The recent escalation of trade tensions has magnified risks to the global outlook, as new trade barriers threaten to disrupt global trade, investment, economic activity and push up prices.

As such, economic growth is expected to remain subdued over the forecast period at 1.5 per cent for the current financial year, rising to 2.25 per cent in 2025-26 and then improving slightly over the forward estimates. The unemployment rate will remain low by historical standards and is forecast to reach a peak this year of 4.25 per cent.

Inflation has moderated substantially across both headline and underlying measures. Headline inflation is expected to be 2.5 per cent by the middle of this year, 0.5 percent lower than forecast at MYEFO.

This budget includes measures to extend protections from Unfair Trading Practices and Unfair Contract Terms to all automotive franchised new car and truck dealers, which were announced early last week. Also included is funding of $7.1 million over 2 years to strengthen the ACCC enforcement of the Franchising Code of Conduct.

While the funding commitment to extend these protections is very welcome, it is disappointing that a key business measure, the instant asset write-off, has been scrapped for the 2025-26 FY.

We have prepared the attached 2025-26 Budget Briefing paper for members which provides a summary and brief explanation of the measures that are relevant.

AADA is also hosting a member webinar this Friday, to break down what the extended protections could mean for dealers and will provide a federal budget briefing covering critical industry developments.

Name: Understanding the Latest Industry Reforms
Date: Friday 28 March 2025
Time: 12:30pm – 1:30pm AEDT
Location: Microsoft Teams
Register: https://bit.ly/4hA6wbK

Further details about the 2025-26 Federal Budget are also available on the Government’s Budget Website.

DOWNLOAD 2025-26 FEDERAL BUDGET BRIEFING

Following our recent member update on the Federal Government’s commitment to banning unfair trading practices and the use of unfair contract terms, we invite all members to join an exclusive AADA webinar to gain further insights.

Date: Friday 28 March 2025
Time: 12:30pm – 1:30pm AEDT
Location: Microsoft Teams
Register: https://bit.ly/4hA6wbK 

This session will feature the AADA team, who will break down the key details of the announcement, what it means for Dealers, and provide a federal budget briefing covering critical industry developments.

We will also discuss the Government’s commitment to shifting the NVES point of compliance to the point of sale and what this means moving forward. Members will have the opportunity to ask questions throughout the session.

All AADA Franchisee Dealer members in the Essendon Fields (EF Auto) precinct are invited to the very first of a nationwide series of AADA Member Briefings. The purpose of the briefings is for AADA CEO James Voortman, and Deputy CEO Brian Savage, to discuss the current state of the retail new and used car market with Australian Dealers.

Where: Basq – 305 Wirraway Road, Essendon Fields VIC 3041
When: Wednesday 2 April 2025
Time: 8:15am for 8:30am start (scheduled to finish by 10:15am)

What issues impacting Dealers will be discussed?
AADA will be updating members on how your national body is dealing with issues impacting your dealership such as the New Vehicle Efficiency Standard, the EV transition, 2025 Federal Election, Dealer Management System provider issues, manufacturer indemnity issues, on-line classified provider concerns as well as the new franchising laws.

AADA Director of Industry Affairs Mick McKenna will give a brief update on local state issues.

Who should attend from your dealership?
It would be of benefit for your dealership’s Dealer Principal or General Manager, CFO, CIO, or Service Manager to attend.

How to register?
You should register your intention to attend by filling the form below. Due to the venue having capacity issues, there will be a cap of two representatives per individual EF Auto dealership (not per group) for this event.

If you wish to have more than two representatives from your dealership to attend the briefing, you are encouraged to contact AADA.

REGISTRATION FORM

In a major win for the industry, today the Government committed to banning unfair trading practices and the use of unfair contract terms in agreements between Australian new car and truck Dealers and OEMs, as part of significant reforms to the franchising code of conduct.

The Government also committed to prioritising work to move the point of compliance under the New Vehicle Efficiency Standard (NVES) to the point of sale, rather than when a vehicle is imported to Australia.

This is an acknowledgement of the power imbalance that Dealers as franchisees face in their relationships with OEMs and seeks to improve the fairness of relationships between franchisees and franchisors.

For many years, the AADA has advocated the need for expanded protections for Dealers against unfair contract terms and unfair trading practices, and today’s announcement is a very welcome step in the right direction towards a more level playing field.

As seen recently in the industry, the high bar required to demonstrate unconscionable conduct has at times benefitted manufacturers in disputes with their Dealer networks, and many challenges faced by Dealers are a consequence of the misuse of power by car manufacturers.

 

Unfair Trading Practices

While the details of the reforms are yet to be finalised, we expect the introduction of these significant reforms will ensure Dealers are protected from a whole host of unfair practices that would not currently reach the high bar of unconscionable conduct.

Some examples of these practices could include:

• Making unilateral significant changes to the business model with little to no negotiation with Dealers.
• Terminating Dealer agreements and pressuring Dealers to accept inadequate compensation within very tight deadlines.
• Offering short term Dealer Agreements with no prospect of recovering investment.
• Linking major investment to the renewal of a franchise agreement.
• Pressuring Dealers to take on additional stock and register vehicles as sold to improve market share of the manufacturer.
• Refusing to indemnify Dealers (a legal obligation) for work done to honour an OEM’s warranty and Australian Consumer Law obligations.
• Conducting random warranty audits, clawing back large sums of money by extrapolating the results from a small sample over an extended period of time.
• Setting unrealistic sales and performance targets and using failure to achieve targets to penalise Dealers financially.

The AADA will be heavily involved in the consultation process to develop the unfair trading practices prohibition, and ensure that the practices above are covered sufficiently under any regime design that is developed.

 

Unfair Contract Terms

While the Unfair Contract Term regime has been in place for a number of years, this expansion of protections against unfair contract terms will ensure all Dealers are protected from unfair terms in standard-form contracts regardless of turnover or employee count.

Some examples of these terms could include:

• Terms that give the franchisor an unconstrained ability to vary key aspects of the franchise agreement (including the terms under which the franchisee operates).
• Terms which place no constraints or limits on when, how or why the franchisor may unilaterally vary the operations manual.
• Terms that give the franchisor excessive authority to terminate a franchise agreement.

These vital reforms will provide Dealers with greater certainty, ensuring they can operate and invest with confidence in an evolving economic landscape, however, they will only apply to contracts entered into following the implementation date of the reforms.

 

NVES Point of Compliance

Today’s announcement means that the Government will prioritise this work to move the NVES point of compliance ahead of the planned 2026 review.

The AADA has continued to advocate a need for this change as part of the NVES and welcomes this announcement as a signal of the Government’s determination to ensure Australian automotive businesses are not adversely impacted by the business practices of international car companies.

 

AADA Members Webinar

To ensure all members are aware of this recent announcement and what this means for them, the AADA will be hosting a webinar where members can hear from the AADA and experts on these reforms and ask any questions they have.

Date: Friday 28 March 2025
Time: 11:30am – 12:30pm AEDT

Further details on this webinar and a link to register will be circulated later this week, and in the meantime, the AADA will be seeking further details on this announcement to provide to members.

The February 2025 edition of the Automotive Insights Report (AIR) shows a modest rebound in used car sales. Using data supplied by AutoGrab, February’s AIR saw sales rise 2.2 per cent to 174,762 units, however this came as total listings declined slightly indicating a tightening in some areas.

The increase in sales marks a positive shift from January, though the broader market continues to adjust. With supply contracting and demand still below historical levels, conditions remain competitive for sellers.

Meanwhile, the average time to sell a used vehicle remained steady at 48.5 days, indicating that vehicles are still moving at a consistent pace, despite some regional variations.

The Suzuki Jimny continued its dominance in retained value rankings, holding the highest resale value among passenger cars and SUVs in both age brackets. With an impressive 108 per cent retained value, the Jimny has consistently outperformed larger and more expensive competitors, reflecting its strong demand in the market.

Ford Ranger retained its position as Australia’s best-selling used car, with a 2.5 per cent increase in sales. Toyota models continued to dominate the top-sellers list, with five of the top ten positions.

Highlights from the AIR for February 2025:

• 174,762 used cars were sold, an increase of 2.2 per cent from January.
• Used vehicle supply fell by 1.8 per cent, with most states experiencing a drop in listings.
• Sales increased in major markets, with VIC (7.0 per cent) and NSW (3.8 per cent) leading the gains.
• Electric vehicle sales rebounded, up 11.4 per cent, though retained values remain under pressure.
• Average days to sell a used car held steady at 48.5 days.
• Japanese brands dominated, taking 8 of the top 10 best-selling models, with Toyota accounting for 5.

Dealers seeking more granular and local data can contact AutoGrab directly for a tailored solution.

If you are a Dealer of a contributing brand and would like access to the monthly report please email Communications Manager Ashleigh Sykes on asykes@aada.asn.au.