8 july 2010 the voice of the auto industry new car sales ......2010/07/08  · roro service inbound...

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New car sales highest in 21 months LATEST STATISTICS might show that used import vehicle sales in June were up 27 percent on the same month in 2009 but that’s probably more a reflection of how bad things were a year ago than an indication that the market is recovering. Many dealers say the market is flat and has been since towards the end of March. That position reflected by a graph of used import sales which shows them cresting 8000 in March, slumping in April, recovering a little in May and levelling off in June. Figures for June show 7402 used import sales which was 27 percent above the 5406 for June 2009, but a far cry from 2006 when numbers were pushing towards 12,000. Auckland dealer Rod Milner, a founding member of the IMVDA (now the IMVIA) and one of the highest profile used import retailers since the early years of FIELDAYS AND the associated advertising campaigns saw new car sales reach 5,876 units, the highest sales figure for almost two years. And with the focus on Fieldays, the new commercials market was also strong, with 23 per cent growth on May 2010. “We had expected the improvements that we’ve seen in the early part of the year to be maintained, but the surge in sales in June has probably surprised most people,” said the Motor Trade Association’s Marketing and Communications General Manager Ian Stronach. “In recent years June has regularly provided good sales results, particularly in the commercial sector, and this year is no exception. Fieldays inevitably provides a boost for sales, more so nowadays, with many distributors starting their promotional programmes early, and extending coverage to a wide range of vehicles. While it has a farm orientation, the stimulus it provides obviously affects all sectors of the market.” Likewise Perry Kerr, Chief Executive Officer of the Motor Industry Association is encouraged by the numbers. “At the beginning of the year we were forecasting around 10% growth on 2009 numbers. So far this year we are 17.4 % ahead. We have now had six continuous months of growth in new car sales so we are hopeful that we have well and truly turned the corner on 2009”. Toyota had a particularly good month, dominating the new car market with 23 per cent market share. Toyota General Manager of Sales and Operations Steve Prangnell was pleased with the result. “We were up nearly 48 per cent versus June last year, though a little bit of that is to do with seasonality of some of our fleet sales. We did 421 RAV4’s, of that about 270 were the beginning of the winter rental season, and we put 160 odd Prados in for the ski season as well. “SUVs are up about 60 per cent for the whole segment this year, and there’s a lot of new product activity from other manufacturers. We’re seeing customers moving into SUV away from the large car, we’re selling a lot more into The voice of the auto industry 8 July 2010 Quiet and patchy used car market continued on page 16 Autofile is now published twice per month and sent COMPLIMENTARY to over 1400 auto industry and associated businesses throughout New Zealand If this is your target market - WE REACH IT The voice of the auto industry continued on page 15 Falcon turns 50 p.19

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Page 1: 8 July 2010 The voice of the auto industry New car sales ......2010/07/08  · RORO service inbound and outbound from and to the world Tokyo P + 81 3 6436 3320 F + 81 3 6436 3328 Auckland

New car sales highest in 21 months

Latest statistics might show that used import vehicle sales in June were up 27 percent on the same month in 2009 but that’s probably more a reflection of how bad things were a year ago than an indication that the market is recovering.

Many dealers say the market

is flat and has been since towards the end of March.

That position reflected by a graph of used import sales which shows them cresting 8000 in March, slumping in April, recovering a little in May and levelling off in June.

Figures for June show 7402 used

import sales which was 27 percent above the 5406 for June 2009, but a far cry from 2006 when numbers were pushing towards 12,000.

Auckland dealer Rod Milner, a founding member of the IMVDA (now the IMVIA) and one of the highest profile used import retailers since the early years of

FieLdays and the associated advertising campaigns saw new car sales reach 5,876 units, the highest sales figure for almost two years. And with the focus on Fieldays, the new commercials market was also strong, with 23 per cent growth on May 2010.

“We had expected the improvements that we’ve seen in the early part of the year to be maintained, but the surge in sales in June has probably surprised most people,” said the Motor Trade Association’s Marketing and Communications General

Manager Ian Stronach.“In recent years June has

regularly provided good sales results, particularly in the commercial sector, and this year is no exception. Fieldays inevitably provides a boost for sales, more so nowadays, with many distributors starting their promotional programmes early, and extending coverage to a wide range of vehicles. While it has a farm orientation, the stimulus it provides obviously affects all sectors of the market.”

Likewise Perry Kerr, Chief

Executive Officer of the Motor Industry Association is encouraged by the numbers. “At the beginning of the year we were forecasting around 10% growth on 2009 numbers. So far this year we are 17.4 % ahead. We have now had six continuous months of growth in new car sales so we are hopeful that we have well and truly turned the corner on 2009”.

Toyota had a particularly good month, dominating the new car market with 23 per cent market share. Toyota General Manager of Sales and Operations Steve Prangnell

was pleased with the result.“We were up nearly 48 per cent

versus June last year, though a little bit of that is to do with seasonality of some of our fleet sales. We did 421 RAV4’s, of that about 270 were the beginning of the winter rental season, and we put 160 odd Prados in for the ski season as well.

“SUVs are up about 60 per cent for the whole segment this year, and there’s a lot of new product activity from other manufacturers. We’re seeing customers moving into SUV away from the large car, we’re selling a lot more into

The voice of the auto industry 8 July 2010

Quiet and patchy used car market

continued on page 16

Autofile is now published twice per month and sent COMPLIMENTARY to over 1400 auto industry and associated businesses throughout New Zealand

If this is your target market - we reach It

The voice of the auto industry

continued on page 15

Falconturns 50 p.19

Page 2: 8 July 2010 The voice of the auto industry New car sales ......2010/07/08  · RORO service inbound and outbound from and to the world Tokyo P + 81 3 6436 3320 F + 81 3 6436 3328 Auckland

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www.autofile.co.nz | 3

Oh to be a bureaucrat

the commerce Commission was helpful enough last week to send out an email “reminding businesses of their obligation under the Fair Trading Act not to mislead consumers about the reasons for price increases.”

It goes on to explain that while businesses are not required by law to explain to customers the reasons for rising prices, if a customer asks, it is against the law to give a reason that is untrue or misleading.

With GST rising, this could create a situation where businesses blame GST for price rises, believes Commerce Commission Enforcement Manager Greg Allan.

“Even if a business does not explicitly state that they have put prices up because of the rise in GST, they must take care not to create the misleading impression that GST is the sole reason for the price increase if the increase is more than the extra GST,” he said.

Perhaps the Commerce Commission is worried that businesses will use subliminal cues to make customers believe that increased costs are due to Government taxes, rather than the real cause, for example, rising steel costs, or workers’ wages.

From a consumer perspective,

no one really wants to know the thousand little real costs that go into a loaf of bread, or a car. In the current environment, people accept that price rises are a fact of life.

All costs are rising, whether fuel, Government taxes, rates, or the ETS. With fuel prices up, and rising again in October, it’s likely that the costs of transportation will rise, and food prices amongst others will follow.

People accept this inflation; at the same time, the recession has sharpened people’s instincts for what is a fair price. In this economy, people will shop around, work out the best deal, and compare figures online. Then once they’ve found the lowest price they’ll try get a lawnmower thrown into the deal for free.

It’s a brave business owner who decides to increase prices on a whim and chalk them up as GST. But I doubt that any businesses would be scared of the Commerce Commission’s threat to investigate breaches of the Fair Trading Act. More likely, it is the prospect of having no customers that will be keeping prices low.

Stian Overdahl Editor

editor’s note

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Copyright: Published twice monthly by: 4Media, PO Box 6222, Dunedin 9059 All statements made, although based on information believed to be accurate and reliable, cannot be guaranteed, and no liability can be accepted for any errors or omissions. Reproduction of autofile in whole or part, without written permission, whether by xerography or any other means, is strictly forbidden. All rights reserved.

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across the ditch dealers generally operate in an information void, and are aghast to learn we can get the owner of vehicle by querying the plate or VIN. But here in NZ, MVR information has always been available, and is a critical tool for the motor industry.

Later this year several changes come into effect that will affect the industry:

• Name and address information becomes restricted, with only those with “authorised access” able to obtain it

• Any vehicle owner may ‘opt out’ of having their name and address available- even to authorised parties

Thankfully the NZ motor industry has the likes of the IMVIA, MTA and MIA, who are proactive and forthright when it comes to representing the views and needs of the motor industry to the Government. We’d like to think we’ve done our bit too, lobbying strongly on behalf of our customers and presenting to the select committee on the changes to MVR information access.

As the main supplier of MVR information to the industry, we plan on being able to continue to supply this information, essential to running your businesses effectively.

the nZta have announced funding for New Zealand’s largest ever roading project, the $2 billion Waterview link.

The link is expected to reduce congestion, including for freight traffic passing through Auckland.

At its peak the project will create over 1,000 jobs in construction-related activities, says NZTA chief executive Geoff Dangerfield.

“This is an ideal time to tender as the current economic conditions enable us to get the best market prices. It confirms our commitment to deliver the project as quickly as possible and with the best value for money,” said Dangerfield.

The tender process is being conducted at the same time as the consent process, which could save up to a year on the construction timetable.

It is hoped that construction will start as early as October next year, with the project

finished by 2016. The 4.5 kilometre connection

will link the Southwestern motorway (SH20) with the Northwestern motorway (SH16). The connection will include 2.5 kilometres of tunnels, with three lanes travelling each way.

Work will also be done to improve the capacity of the Northwestern motorway between Westgate and St Lukes.

Ultimately the connection will complete the Western Ring Route, providing an alternative 48km connection between the Auckland Harbour Bridge and State Highway 1.

Completing the Western Ring Route is one of the Government’s seven Roads of National Significance Projects, which have been identified as being key road projects to support and enable economic growth for the country.

Road Transport Forum chief executive Ken Shirley said the

the VinZ AGM was held in Auckland on June 29th. Shareholder attendance was good, a reflection of the renewed interest in the company and its sound financial performance after the first year’s trading as an Investor owned entity, says General Manager Frank Willet.

Of note, Andre Blenkiron, a VINZ Director of six and a half years, retired by rotation and has been replaced by David Weir. Weir has an extensive background in the automotive and used vehicle import industry and is also currently on the IMVIA Executive.

Issues raised by shareholders mainly revolved around potential threats to the used

import industry (ESC, Emissions Rule, Chinese vehicles). VINZ management is well aware of these potential threats and will be working with the wider industry to mitigate the effects both on the industry and the company, says Willet.

VINZ holds Annual General Meeting

news

Road project to ease Auckland congestion

financial commitment to the road would be welcome news to trucking operators.

“It is a vital step in easing the

congestion that has increasingly plagued all Auckland road users and trucking operators for many years,” he said.

Frank Willett

MVR access information

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www.autofile.co.nz | 5

aussie manuFacturer, Holden, is signalling renewed confidence by announcing that a second shift will resume at its Elizabeth, South Australia, factory in November.

Holden went to a single shift in April 2009 to protect jobs as the global recession bit and export demand for Holdens fell by around 50,000 vehicles.

In the single shift, employees alternated work, ranging from one week on-one week off, to one week off in 12.

Holden manufacturing chief, Martyn Cray, says the last 18 months were “very tough for our industry, but bringing back a second shift and returning employees to full-time work is an important step in rebuilding our manufacturing business.”

Holden is installing equipment

to start making the mid-sized Cruze at Elizabeth, along with the Series II VE Commodore.

Cray says good support from employees, the unions, suppliers

and the Federal and South Australian governments “allowed us to rebuild the business and be sustainable for the long term.”Holden anticipates hiring extra

workers “to support the second shift in the short term with the potential to increase employment further when demand significantly increases,” says Cray.

the GoVernment has established the GST Advisory Panel, to help businesses implement the new 15 per cent GST rate.

Independent of both the Government and Inland Revenue, the panel is made up of a mix of industry and tax and legal experts, and is designed to provide businesses with a forum to voice any concerns and provide feedback about the implementation of the GST rate increase.

The panel will report to the Government on any particular problems arising out of the change over, or any industry-specific concerns.

The panel will also provide regular comment on key issues affecting businesses, including:

Contracts that the span the GST

introduction date of 1 October. An important issue is the “time of supply” of goods and services as the time of supply will determine if the appropriate GST rate is 12.5% or 15%. This is particularly important when goods or services are supplied during a period that includes the GST rate change date. This for example includes insurance contracts where the invoice for the insurance is issued prior to the date of the GST change, but payments are made monthly over a twelve month period.

Similar issues in respect of both operating and financing leases that are entered into prior to the GST change date, but which continue after 1 October 2010, for example motor vehicle leases.

Submissions can be made at www.gstadvisory.govt.nz

Holden adding second shift at factory

GST forum for businesses

Trans Future 7 Voyage 38Osaka 5 July, Nagoya 6 July, Kawasaki 10 July,

Auckland 28 July, lyttelton 30 July, wellington 31 July, Nelson 1 Aug.

Trans Future 5 Voyage 42Osaka 17 July, Nagoya 20 July, Kawasaki 24 July,

Auckland 12 Aug, lyttelton 14 Aug, wellington 15 Aug, Nelson 16 Aug.

Trans Future 6 Voyage 39Osaka 2 Aug, Nagoya 3 Aug, Kawasaki 7 Aug,

Auckland 25 Aug, lyttelton 27 Aug, wellington 28 Aug, Nelson 29 Aug.

news

Last month we reported on the Isuzu Utes D-Max launch at the Fieldays. The article incorrectly listed the number of dealers as 8; Isuzu Utes have 22 dealers nationwide.

The Isuzu D-Max and Swazi brand partnership also featured in the article. D-Max and Swazi are brand partners and will continue to work together long-term.

correction

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6 | www.autofile.co.nz

VehicLe runninG costs have increased, with the Emissions Trading Scheme and new ACC levy applying from July 1. And petrol prices will rise again on October 1, when 15 percent GST and a new petrol excise tax come into force.

The ETS on liquid fuels and electricity came into effect July 1, resulting in a increased tax on petrol and diesel.

AA’s Petrolwatch Spokesperson Mark Stockdale, says the increase was in line with their expectations.

“Petrol and diesel have both gone up three cents a litre, and this appears to be pretty consistent around the country.

This is what we had calculated, so the oil companies have only passed on what is expected.”

However Stockdale believes that the relatively small increase won’t have much affect on motorists. “The thing about the ETS is that it is a three cent increase, and that’s about the normal fluctuation we’re used to seeing on fuel prices from week to week. They might go up or they might go down. Our concern is that the three cent increase attributable to the ETS doesn’t send any kind

of meaningful price signal to motorists, because they’re used to variable prices.”

“What actually motivates motorists to reduce their consumption or to modify their driving behaviour is the net price of fuel. The net price of fuel is currently high enough, but you have to ask whether three cents on its own will make any difference. Our concern is that we have other tax increases coming later this year in October, we’ve got a GST rise and an excise increase on petrol, that’s going to add seven cents a litre on October 1, and those taxes will have more of an increase than the ETS will.”

Vehicle registration costs have also risen, with the ACC levy portion increased from July 1, a consequence of the costs ACC faces for claims on road accidents. The increases are most noticeable for motorbikes and diesel vehicles, with owners of petrol cars paying an extra $30 a year.

The ACC portion of registration for motorbikes of 601cc and over increased from $252 to $426. The increases came as a result of the high accident rate among motorcyclists, says

ACC. In 2008/09 ACC paid more than $62 million for motorcycle riders, but collected only $12.3 million in levies from them. Motorcycle riders are 16 times more likely to be involved in a road crash than any other road users and are far more likely to be seriously injured, says ACC.

The categories for mopeds and motorcycles was changed, by grouping mopeds and motorcycles together and introducing three sub-classes for 0-125 cc, 126-600 cc and 601+ cc cycles.

The Bikers Rights Organisation of New Zealand (BRONZ) recently held a rally on Queen’s Wharf in Auckland

to protest the move, and is planning further actions. Spokesperson Les Mason says that bikers are being unfairly targeted by the ACC levy. “If you fall off your horse, off a jet ski, or off a ladder, that’s just taken as ‘accidents happen’. Motorcyclists are the only group singled out for such specific attention.”

Mason doesn’t give much weight to ACC’s claim that motorcyclists have more accidents. “Lots of people indulge in activities that have

a potential for hurting them, rugby is an obvious example, and skiing is another one. Rugby players have a lot of accidents, but I don’t see a lot of attention given to levying them.”

ACC claims that in 60 per cent of accidents involving a motorcycle, the motorcyclist bore all or some of the fault. This draws Mason’s ire. “You have to determine what ‘at fault’ means. 60 per cent of accidents involving motorcyclists have some degree of fault by the motorcyclist, which means there may also be some fault by the other person involved. And ‘at fault’ has included things like not wearing a high-visibility jacket, because they say that a jacket had been worn then maybe the accident wouldn’t have happened. So ‘at fault’ is a very nebulous claim. But the whole point is that ACC is a no fault system, so why on a no-fault system are ACC basing their increases on claims of fault?”

Mason believes that the increased costs will factor into purchasing decisions.

“The keen enthusiast will live with it, but it will deter the ride-to-work motorcyclist, since often that is an economic decision, where the cost of a motorcycle is weighed against his car. Less motorcycles means more congestion on the roads, so a very socially irresponsible attitude by ACC we think.”

Diesel vehicles also saw significant increases, with ACC levies on trucks rising from $302 to $467. The larger increases on diesel vehicles is a reflection that they are more likely to be used for business purposes, and since petrol has an ACC levy paid at the pump, says ACC spokesperson Fiona Robinson.

ACC and Climate Change Minister Nick Smith has down-played the increased costs, saying the ETS on electricity and petrol would add about $3 per week for a family, and ACC $1.

ACC portion of Registration fee

Vehicle Type Old cOsT ($)New cOsT

As OF July 1sT ($)iNcReAse

Petrol car 168.46 198.46 18%

Petrol Vintage/veteran vehicles and tractors 58.97 69.46 18%

Petrol Moped 58.97 129.24 119%

Petrol motorcycles up to 600cc 252.69 327.7 30%

Petrol motorcycles 601cc and over 252.69 426.92 69%

Petrol goods service vehicles 168.46 238.15 41%

Non-petrol car 279.09 311.38 12%

Non-Petrol Vintage/veteran vehicles & tractors 97.68 108.98 12%

Non-Petrol Moped 97.68 163.12 67%

Non-Petrol motorcycles up to 600cc 392.09 361.58 -8%

Non-Petrol motorcycles 601cc and over 392.09 460.08 17%

Non-petrol goods service vehicles (trucks) 302.32 467.08 54%

Increased costs for motorists

news

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ETS Proposal: SGG exemption for importing up to 110 cars

austraLian new-car dealers have had their best June ever, says the Federal Chamber of Automotive Industries (FCAI).

Dealers sold 108,722 passenger cars, SUVs and commercial vehicles in June, up 5.7 percent (5875 vehicles) on the same month in 2009.

The result eclipses the previous June monthly record, set in 2008, by 2181 to become the highest selling month in Australian automotive history.

FCAI boss, Andrew McKellar, says it is “a clear demonstration of renewed confidence in the marketplace. It’s encouraging to see that private buyers have returned to the market in greater numbers and have taken over the momentum previously attributed to business sales.”

Year-to-date, Aussie dealers have sold 531,168 new vehicles, a 16.7 percent increase over the first

six months of 2009.“Given the stronger than

expected state of the market over the past six months, the industry has upgraded its annual sales forecast to in excess of 980,000 units – up from our original forecast of 940,000 sales,” McKellar says.

“This is a positive yet cautious outlook for the second half of the year, as we assess the impact of factors on the market such as previous interest rate increases.”

SUVs have been the strongest performers during the first six months of 2010 with an increase of 30.8 percent, followed by passenger cars (up 15.8 percent), heavy commercials (up 8.8 percent) and light commercials (a 5.8 percent increase).

Toyotas sold best, taking 20.2 percent of the market, followed by Holden (12.9 percent) and Ford (9.3 percent).

Aussie car market hits new record

the ministry for the Environment is currently consulting with the industry on the synthetic gas component of the Emissions Trading Scheme.

The consultation period ends on July 23, and submissions on the proposed regulations can be made on their website www.climatechange.govt.nz

At issue are the Hydrofluorocarbons (HFC’s) found in vehicle air-conditioning units. While newer vehicles have less of the gas, for the purpose of the MfE’s draft proposal the average car is considered to have an amount of HFC equivalent to slightly less than a tonne of carbon.

The MfE has noted that in an average year, there are around 500 or 600 separate importers of vehicles. This number of importers would create onerous compliance

and bureaucratic costs for the Ministry, and to this end they are proposing an exemption up to an equivalent 100 tonnes of carbon, equivalent to approximately 110 cars imported per year.

The MfE believes that if exemption were set at 100 tonnes carbon (110 cars), this would mean that approximately 200 importers would come under the scheme, who are responsible for 85% of the cars brought into the country. Thus while the majority of vehicle importers would be exempted, the majority of vehicles imported would still fall under the ETS.

For any importer importing below the threshold, there would be no requirement to report on their activity. For those importing above the threshold, reporting and surrendering of carbon credits

would be mandatory. At the time of printing it

seemed that the MTA, MIA and IMVIA would make a joint submission on behalf of the motor industry.

The motor industry will be required to report its emissions by 1 January 2012 and will have a liability from 1 January 2013, when the SGG components of the ETS comes into effect.

news

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Phil Wills 021 877 [email protected]

Honda, Mercedes Benz, & Mitsubishi. We purchase NZ new cars & commercials. All makes & models. Anywhere in NZ.

Volvo deal – doneIt’s been on-again, off-again, and this time it looks as if the Ford-Geely deal for the buy-out of Volvo is sign, sealed and delivered. Geely has bought the Swedish brand for $US1.8 billion ($NZ2.5b), China’s biggest overseas auto purchase. Ford will continue to supply powertrains, stamping and other parts to Volvo after the sale.

Chrysler reopens yardsChrysler Group, reversing an earlier stance, says it will offer to reinstate 50 closed US dealerships within the next few days. Letters of intent will be sent to 50 of the estimated 400 rejected dealerships that have applied to get their franchises back through arbitration, Chrysler says in a statement. They “are in locations that offer customer service bene� ts and will have limited adverse impact on the dealers within our current network,” says Chrysler. The National Automobile Dealers Association says “it is a move in the right direction”.

Toyota supplies MazdaMazda Motor Corp will introduce a midsize hybrid vehicle by 2013 based on core components supplied by Toyota Motor Corp, the Nikkei Business Daily reports. The two automakers reached an agreement under which Toyota will supply the Toyota Hybrid System II (THS II), currently used in the third-generation Prius. The deal will enable Mazda to tap the growing demand for hybrids sooner than otherwise possible. For Toyota, the arrangement will help lower related production costs through economies of scale.

Fiat wants moreFiat CEO Sergio Marchionne says the Italian automaker will increase its stake in Chrysler to 35% within two years. The � rst 5% increment could come as early as this year after Chrysler begins making engines for the Fiat 500 in Dundee, west of Monroe. The subsequent two purchases will depend on increasing Chrysler’s distribution outside the US and assembling a new fuel-ef� cient car in the US, he says.

Driver magazine soldFairfax Magazines has purchased Driver magazine and will merge it with New Zealand Autocar from the May issue. John Baker, of former Driver publisher Tangible Media, says: “The publishing landscape has changed and it became clear to us that the market in New Zealand was no longer able to support two magazines devoted to new cars.”

news

| www.auto� le.co.nz8

news

Lexus recall to affects 185 New Zealand ownersToyota have announced a worldwide recall that will affect 270,000 vehicles, including seven luxury Lexus models and the Toyota Crown.

Routine long-term reliability testing at the factory in Japan discovered a manufacturing flaw in some springs, which could cause abnormal engine noise or unstable idling, Lexus said.

The fault is not known to have caused any accidents.Debbie Pattullo, National Manager for Lexus New Zealand, says the

springs will be replaced over the next few months, purely to remove the possibility of future problems.

She said customers will be notified of the recall early next week, but can still use their cars as normal.

“While no problems have been reported, and the chances of an incident are remote, Lexus wants to replace the springs so it can be confident no future problems will occur.”

Toyota New Zealand sells five models of the Lexus vehicle being recalled.

Motorists rank efficiency, not environmentA survey of Australian motorists has found that the importance of fuel costs far outweigh environmental concerns.

The Colmar Brunton poll was designed to gauge buyers’ attitudes towards hybrid cars.

The survey, involving people planning on buying a new car in the next four years, asked them to choose between good fuel economy and an environmentally-friendly car. 81 per cent of respondents said that good fuel economy was important, while just 11 per cent nominated the environment, the remainder undecided.

However when asked whether they would consider buying a hybrid, just 19 per cent said no, while 43 per cent said yes and 38 per cent were undecided.

When asked if they would seriously consider buying a hybrid car if costs were similar to an ordinary petrol car, 47 per cent said yes, 37 per cent were undecided and 16 per cent would still not.

General Motors sales in China top the U.S.For the first time in its 102 year history GM has sold more vehicles in a single market outside of the US. GM sold 1.21 million vehicles in China in the six months ending June 30, against 1.08 million in the U.S.

The strength of China’s domestic market is proving a boon to carmakers worldwide. Government stimulus measures helped vehicle sales in China last year increase 46 per cent to 13.6 million. For the same year auto sales in the U.S. fell 21 per cent to 10.4 million, the lowest since 1982.

Black box for carsComputer chip maker Intel are developing a black box system for cars, which would record crash data including speed, breaking and steering, as well as video footage of inside and outside the vehicle.

In the event of a crash the data would help insurance companies determine liability, and police would be able to monitor dangerous driving.

Intel would also like to develop the technology to enable driver assist, including using cameras to recognise road signs, and other features such as scanning for potholes and alerting road authorities of road surface conditions.

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renauLt makes hardly a blip on the New Zealand car sales radar, but the French giant produces some impressive performance hatchbacks and begins selling a funky droptop minicar, the Wind, in Europe this month.

Based on the Clio 2 RS chassis, the new 3830mm two-seater coupe-roadster fits between the Twingo and Clio in the Renault range.

It’s offered in two versions, both with five-speed manual gearboxes and front-wheel drive.

The TCe 100 has a turbocharged 1150cc engine developing 74kW and the 1.6 16V has a naturally-aspirated 98kW 1598cc four-cylinder.

Renault quotes 0-100km/h times of 10.5 and 9.2 seconds and top speeds of 190km/h and 201km/h for the two models.

Buyers can choose between two tyre/wheel packages, 195/45s on 16-inch wheels and 205/40s on 17-inchers.

The hardtop roof is lowered

electrically, pivoting at the rear and folding into the top of the boot without impinging on luggage space, which at 270 litres is ballpark with the Clio hatch’s.

Renault says the Wind is intended as an affordable coupe/roadster. It’s building it in right- and left-hand versions, though no word yet on whether we’ll see it here.

new ZeaLand gets its first look at Land Rover’s first-ever two-wheel drive model, the Evoque, late next year.

The Evoque, marketed in two- and four-wheel drive versions, joins the Range Rover line-up, and is the smallest, lightest and most fuel-efficient Range Rover ever. It’s

based on the LRX concept vehicle.Land Rover boss, Phil Popham, says

the compact SUV won’t skimp on luxury. “Customers can be confident it will be premium, luxurious and just as special as the other Range Rovers.”

He expects its styling, compact size, fuel

For the first time, Subaru’s Impreza WRX STi will be available with an automatic gearbox when the 2011 model goes on sale here in September.

The five-speed auto version joins the 221kW manual six-speed in the STI line-up which will also include a four-door sedan for the first time since the current model

was launched.Subaru NZ boss, Graeme

Woodlands, says the auto gearbox – which has a paddle-shift manual override – will widen the STi’s appeal, especially for drivers who use their cars in commuter traffic.

The 2011 STI gets stiffer wide-track suspension, new design alloy wheels and dramatic wide-body

Automatic joins STi range

Funky Renault two-seat droptop

Mini Range Rover revealed

new cars

styling. There’s no horsepower change but expect lower torque output on the auto model to reduce strain on the transmission

The less-powerful WRX picks up

the wide-body look for 2011 but is availed only as a six-speed manual.

Subaru NZ hasn’t announced full specs and prices for the new high-performance Imprezas.

economy and low emissions to appeal to “a new group of customers who may not have considered a Range Rover product before.”

Popham says the Evoque is “a true global car” that will be sold in more than 160 countries.

Land Rover will build the Evoque in its factory at Halewood, near Liverpool, creating 1000 new jobs.

It revealed the Evoque at a function in London last week celebrating the Range Rover brand’s 40th birthday. It launches the Evoque at the Paris motor show in September.

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   law    .  bd

   

   law    .  Problem solver bd

Bruce Dell Law – “problem solver”

autofi le are delighted to have Bruce as part of the Autofi le team advising our readers on the lessons to be learned from past Motor Vehicle Disputes Tribunal casesIf you require legal advice give Bruce a call on 09 570 5036

Bruce Dell Law – “problem solver”Bruce Dell has been closely associated with the auto industry for 37 years, during this time he has handled many complex legal issues on behalf of dealers both in Auckland and Palmerston North

autofi le are delighted to have Bruce as part of the Autofi le team advising our readers on past Motor Vehicle Disputes Tribunal cases. If you require legal advice give Bruce a call on 09 570 5036

Navara engine failure a fault of poor servicingBackgroundOn 12th April 2006 the purchaser in the course of starting a business providing general rural services to NZ lifestyle block owners purchased a 2002 Nissan Navara 3.0 4WD diesel truck from the trader for $29,995. 38 months later the vehicle suffered a major engine failure.

The purchaser says that the trader, through its salesman, assured him the vehicle would be suitable for towing and would be reliable and sound. The purchaser says the trader also misled him first by failing to tell him when it knew he intended to use the vehicle for heavy towing that the vehicle should be serviced every 5,000 kilometres, and secondly, to replace the diesel injectors at 100,000 kms.

The trader denied that it misrepresented the vehicle to the purchaser, saying that the vehicle’s engine failed because it was not serviced frequently enough and because of poor combustion caused by the worn condition of the injectors.

The evidenceThe purchaser says he told the trader’s salesman that his primary criteria in selecting a vehicle was towing capability. He and the salesman took the vehicle for a test drive during which he says he stressed his plans for his new business and the need for the vehicle to be reliable and a good towing workhorse for some years. The salesman assured him that his requirements regarding engine reliability power and longevity would be met by the vehicle.

The purchaser says that neither the salesman nor the Service Manager drew his attention to the need to

change the engine oil and filter every 5,000kms or that he should have the injectors serviced at 100,000kms or that towing was classified in the service handbook as “severe driving conditions” necessitating oil change every 5,000kms.

The purchaser agreed to buy the vehicle for $29,995, acknowledging that he purchased the vehicle for business, and that the Consumer Guarantees Act would not apply. The vehicle had travelled 57,912kms at the date of sale.

The purchaser had the vehicle serviced once by the trader on 29th May 2006 when its odometer was 60,046kms, but had not had the vehicle serviced by a Nissan dealer since that date. The vehicle was serviced at 72,390kms (a 12,344km interval), at 96,800 (a 24,410km interval) and at 117,000km (a 20,200km interval).

The purchaser claims the vehicle performed well during the three years he used it during which he travelled approximately 66,000kms. A turbo hose blew out at approximately 70,000kms and the vehicle required a new clutch at 97,500kms.

On 27th July 2009 at 124,773kms the engine failed. The vehicle had travelled 66,861kms in the 38 months since it had been sold to the purchaser. The purchaser had the vehicle towed to the trader’s premises, who found there was no compression in # 4 cylinder. Upon removing the cylinder head on 3rd August 2009 it was found that # 4 piston was cracked and the bore was scoured.

Although the vehicle was out of manufacturer’s warranty (it expired on 29th December 2005 three years after sale) the purchaser requested

as a matter of goodwill that the trader or the company ‘E Ltd’ repair the engine at no cost to the purchaser. The trader referred the request to ‘E Ltd’ whose technical staff became involved in the matter. On the 24th August the purchaser met the trader’s management at which time the trader pointed out the service requirement in the handbook and told him the injectors should have been serviced or replaced at 100,000kms.

On 3rd September 2009 ‘E Ltd’ sent the trader and the purchaser a letter offering assistance of 50% of the costs of genuine replacement engine parts which it considered to be more than reasonable because as its letter states “it is apparent that neither a manufacturing nor assembly fault has contributed to the failure”.

The Tribunal’s decisionThe Tribunal did not consider that there was any misrepresentation in failing to draw the purchaser’s attention to the requirement to have the vehicle serviced every 5,000kms, since, firstly, the purchaser was buying the vehicle for use in supporting his tractor based agricultural contracting business and thus ought, as a matter of common sense, to have been aware of the need to regularly service a diesel vehicle and also of the need to read the service handbook and follow its service recommendations. And secondly, because the Tribunal considered that there was no reasonable expectation of disclosure which is the legal test as to when silence amounts to misleading conduct.

The Tribunal therefore

concluded that the trader’s conduct was not capable of being misleading and the purchaser’s claim was dismissed.

Bruce Dell’s CommentThe first case this week involved the sale of a Nissan Nivara and as to its suitability for the purpose of heavy tractor towing. Supposedly, there were assurances given that it would be suitable for towing and be reliable and sound.  There were also arguments that the dealer should have advised concerning servicing the vehicle and replacing diesel injectors. The dealer denied any misrepresentation and suggested that the purchaser did not use the vehicle properly nor service it adequately.

The Tribunal considered whether the dealer’s conduct was misleading or deceptive and breached the provisions of the Fair Trading Act. If so, what would be the remedy. Pleasingly the Tribunal did not find the actions of the dealer misleading.

The weight of the evidence seems to have been based on expert evidence which went to the heart of how the vehicle was used and serviced.

Another case where dealers should take diary notes as to what happens with vehicles and the advice they give and the bases upon which they effect sales.

disputes

Why:The purchaser tried to claim that he was misled to the towing capabilities of his Nissan Navara after its engine failed after 38 months

Ruling:The tribunal ruled that because the Navara was for business use, the owner should have been more careful in consulting the service manual

Where: Motor Vehicle Disputes Tribunal, Rotorua.

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disputes

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Trader blames faulty radiator on purchaser negligenceBackgroundOn 6th April 2010 the purchaser bought a 1991 Toyota Hilux Surf for $3,330 from the trader. The purchaser wished to reject the vehicle because its engine failed. The purchaser also says that the trader misrepresented the vehicle’s condition to him in its advertisement.

The trader argued that the vehicle was supplied to the purchaser by auction so the provisions of the Consumer Guarantees Act 1993 do not apply. And that secondly, the purchaser was careless in failing to check to see there was water in the engine and in continuing to drive the vehicle without removing the radiator cap to satisfy himself there was water in the radiator.

The evidenceThe purchaser says that he read the trader’s online advertisement for the vehicle. What attracted his attention was the statement in the advertisement that the trader’s workshop had fitted a new head gasket, new head bolts, new crank and cam seal, new cam belt, new waterpump, new tensioner, new idler, new oil and filter, new coolant and had the radiator flushed and that the vehicle “goes very good”.

The vehicle was advertised for sale with a reserve of $3,350. The purchaser made a bid for the vehicle of $3,333, but the auction closed without the reserve having been met. After the auction closed the purchaser made a telephone call to the trader and orally offered to pay the sum of $3,333 for the vehicle which the trader agreed to accept. The purchaser told

the trader that he would be travelling from his home to pay for and collect the vehicle on Tuesday 6th April following the Easter holiday period.

The purchaser say he drove the vehicle without incident home in the later afternoon of 6th April. He says the vehicle’s gauges did not show the vehicle was overheating. On 7th April while driving the vehicle the purchaser and his sister in law heard a popping sound. The purchaser says that he stopped immediately and when he lifted the bonnet he found the cap from the radiator overflow tank had blown off. He says he topped the radiator overflow tank with water he had in the vehicle and continued for about another 2-3km before the vehicle slowed and stopped. On lifting the bonnet he found the engine was very hot but the radiator was not.

The trader refused to repair the vehicle or refund the purchaser his purchase price because he argued that the vehicle was supplied by auction, and said in addition that the purchaser was told before he took the vehicle away to check the water level, and that the purchaser should not have relied on simply sighting the level of water in the plastic radiator overflow tank but should have looked in to the header tank at the top of the radiator to ensure there was sufficient water in the vehicle.

The Tribunal’s DecisionThe Tribunal considered that the purchaser’s oral offer to the trader to buy the was made after the auction closed, and that hence the vehicle was not supplied by the trader “by auction” in spite of the

fact that the purchaser first learnt of the vehicle by reading the trader’s advertisement on an online action website.

Though the vehicle was a 19 year old Toyota Hilux which had travelled 284,806 kilometres the Tribunal had no hesitation in finding as a fact that a reasonable consumer purchasing a vehicle would still expect its engine to last for more than 500 kilometres and not fail within a day of supply.

The Tribunal also did not accept the trader’s opinion that the purchaser should have removed the radiator cap to check there was water in the radiator rather than simply look at the overflow tank to check that there was coolant in it.

The purchaser claims that the trader misrepresented the vehicle to him by describing it in the online advertisement with the words “has a good 2.4l turbo engine” and describing its performance as “goes really well” “it goes sweet”. The Tribunal did not consider that any of the three statements made by the trader amount to anything more than “puffery”, that is praise with exaggerated empty words such as is often associated with advertising. The purchaser’s claim of misrepresentation was therefore dismissed.

The purchaser’s rejection of the vehicle under the Consumer Guarantees Act 1993 was upheld, with the trader ordered to refund the purchaser with his full purchase price of $3,330.

Bruce Dell’s Comment The purchaser rejected the vehicle because the engine failed and

the vehicle was supposedly not of acceptable quality at time of sale, and that there were misrepresentations concerning the condition and the advertisement.

The trader argued that the vehicle was applied by auction and the provisions of the Consumers Guarantee Act did not apply and the purchaser was careless in failing to check the water in the engine and driving without a radiator cap.

 The tribunal considered jurisdictional issues as to whether the vehicle was sold by auction (not whether the provisions of the CG Act applied) and then whether the vehicle was of substantial character as defined, and basically whether the vehicle could be rejected.

I felt surprisingly that the purchaser’s rejection of the vehicle was upheld and the dealer was required to refund the whole of the purchase price. 

It would seem they held that there was not a sale by auction.  I think the reason this case went against the trader was that the Tribunal felt that the vehicle had a failure of substantial character.  However, they did not seem to find a misrepresentation but at the same time, ordered a refund of the purchase price, but did not grant a costs award.

Why:The engine overheated shortly after purchase.

Ruling:The Trader had to refund the purchase cost.

Where: Motor Vehicle Disputes Tribunal, Tauranga.

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industry statistics

Around the countryCar sales - June 2010

New PlymouthNEW: 92 2009: 61 50.8%

UsEd: 117 2009: 105 11.4%

AucklandNEW: 2691 2009: 1952 37.9%

UsEd: 3560 2009: 2604 36.7%

HamiltonNEW: 332 2009: 272 22.1%

UsEd: 475 2009: 393 20.9%

WanganuiNEW: 30 2009: 53 43.4%

UsEd: 65 2009: 48 35.4%

WhangareiNEW: 68 2009: 87 21.8%

UsEd: 140 2009: 112 25.0%ThamesNEW: 54 2009: 31 74.2%UsEd: 45 2009: 30 50.0%

TaurangaNEW: 191 2009: 192 0.50%UsEd: 245 2009: 227 7.9%

RotoruaNEW: 64 2009: 37 73.0%UsEd: 91 2009: 50 82.0%

Palmerston NorthNEW: 156 2009: 179 12.8%

UsEd: 182 2009: 124 46.8%

DunedinNEW: 132 2009: 98 34.7%UsEd: 240 2009: 136 76.5%

InvercargillNEW: 83 2009: 60 38.3%UsEd: 74 2009: 65 13.8%

WellingtonNEW: 624 2009: 437 42.8%UsEd: 654 2009: 461 41.9%

OamaruNEW: 12 2009: 5 140.0%UsEd: 19 2009: 13 46.2%

GisborneNEW: 35 2009: 27 29.6%UsEd: 41 2009: 29 41.4%

MastertonNEW: 43 2009: 24 79.2%UsEd: 39 2009: 42 7.1%

TimaruNEW: 43 2009: 42 2.4%UsEd: 84 2009: 52 61.5%

NapierNEW: 132 2009: 91 45.1%UsEd: 152 2009: 100 52.0%

ChristchurchNEW: 887 2009: 558 59.0%UsEd: 961 2009: 692 38.9%

BlenheimNEW: 41 2009: 29 41.4%UsEd: 31 2009: 17 82.4%

NelsonNEW: 59 2009: 54 9.3%

UsEd: 148 2009: 81 82.7%

WestportNEW: 8 2009: 5 60.0%

UsEd: 9 2009: 6 50.0%

GreymouthNEW: 9 2009: 12 25.0%

UsEd: 30 2009: 19 57.9%

Total New Cars5786 2009: 4306 34.4%

Total Used Cars7402 2009: 5406 36.9%

12 | www.autofile.co.nz

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isolde V2LoadinG Osaka 2 Jul, Nagoya 2 Jul, Yokohama 3 Jul

arriVinG Brisbane 22 Jul, Auckland 26 Jul, Wellington 28 Jul, Lyttelton 30 Jul

magic wind V23LoadinG Osaka 15 Jun, Nagoya 16 Jul, Yokohama 17 Jul

arriVinG Brisbane 29 Jul, Auckland 3 Aug, Wellington 5 Aug, Lyttelton 6 Aug

madame Butterfl y V2LoadinG Osaka 29 Jul, Nagoya 30 Jul, Yokohama 31 Jul

arriVinG Brisbane 20 Aug, Auckland 24 Aug, Wellington 26 Aug, Lyttelton 27 Aug

tBnLoadinG Osaka 15 Aug, Nagoya 16 Aug, Yokohama 17 Aug

arriVinG Brisbane 30 Aug, Auckland 4 Sept, Wellington 6 Sept, Lyttelton 7 Sept

isolde V3LoadinG Osaka 29 Aug, Nagoya 30 Aug, Yokohama 31 Aug

arriVinG Brisbane 19 Sept, Auckland 24 Sept, Wellington 26 Sept, Lyttelton 28 Sept

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industry statistics

New Passenger Vehicle Sales by Model - Top 25 June 2010

MAKe MOdel JuN 2010 % diFF MAKe MOdel JuN 2009

Toyota RAV4 421 39.4 Toyota COROLLA 255

Toyota COROLLA 219 3.7 Suzuki SWIFT 211

Toyota PRADO 219 23.3 Holden COMMODORE 168

Suzuki SWIFT 212 24.1 Ford FALCON 161

Holden COMMODORE 211 38.9 Hyundai TUCSON 129

Ford FALCON 205 39.5 VW GOLF 124

Toyota HIGHLANDER 181 32.0 Toyota YARIS 123

Hyundai I30 161 26.7 Mazda MAZDA3 118

Holden CRUZE 160 28.8 Hyundai I30 114

Mazda MAZDA6 133 17.3 Toyota CAMRY 110

Mazda MAZDA3 131 17.6 Mazda MAZDA6 108

Subaru FORESTER 129 28.7 Mazda MAZDA2 92

Mitsubishi OUTLANDER 123 28.5 Ford MONDEO 88

Hyundai SANTA FE 116 25.0 Toyota RAV4 87

Ford MONDEO 112 31.3 Kia RIO 77

Hyundai GETZ 99 22.2 Toyota PRADO 77

Toyota YARIS 95 28.4 Hyundai SANTA FE 68

Ford FOCUS 88 25.0 Mitsubishi LANCER 66

Hyundai IX35 88 28.4 Nissan X-TRAIL 63

Holden CAPTIVA 87 31.0 Honda JAZZ 60

Subaru OUTBACK 87

Toyota CAMRY 86

VW GOLF 76

Ford FIESTA 71

Honda JAZZ 70

New Passenger Vehicle Sales by Make June 2010

MAKe JuN 2010 % diFF MAKe JuN 2009

TOYOTA 1337 41.6 TOYOTA 781

HYUNDAI 579 31.1 FORD 399

HOLDEN 542 26.9 HYUNDAI 396

FORD 537 38.7 MAZDA 329

MAZDA 383 14.9 SUZUKI 326

SUZUKI 374 23.5 HOLDEN 286

SUBARU 279 6.5 NISSAN 261

NISSAN 277 25.3 KIA 207

MITSUBISHI 223 9.4 VOLKSWAGEN 202

KIA 203 6.9 HONDA 189

HONDA 174 MITSUBISHI 181

VOLKSWAGEN 164 BMW 103

AUDI 132 SUBARU 102

BMW 127 AUDI 96

PEUGEOT 69 MERCEDES-BENZ 62

MERCEDES-BENZ 66 CADILLAC 51

LEXUS 33 PEUGEOT 46

DODGE 32 LEXUS 35

JEEP 32 FIAT 33

LAND ROVER 27 SKODA 27

MINI 27 CITROEN 22

SKODA 27 DAIHATSU 22

DAIHATSU 25 ALFA ROMEO 20

CITROEN 16 JEEP 20

VOLVO 15 VOLVO 20

JAGUAR 14 PORSCHE 16

SSANGYONG 13 MINI 15

PORSCHE 11 DODGE 12

ALFA ROMEO 10 LAND ROVER 10

FIAT 7 JAGUAR 9

GREAT WALL 7 RENAULT 7

CADILLAC 6 CHRYSLER 6

FACTORY BUILT 5 SSANGYONG 4

ASTON MARTIN 3 ASTON MARTIN 2

MASERATI 3 FACTORY BUILT 2

CHRYSLER 2 HUMMER 2

CHEVROLET 1 PROTON 2

FERRARI 1 SMART 2

GEELY 1 MASERATI 1

HUMMER 1

RENAULT 1

TOTAl 5786 TOTAl 4306

Phone: 0800 77 66 00 email: [email protected] web: www.auto-it.co.nz

The technological leader in dealer management systems

3000

4000

5000

6000

7000

8000

9000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

New Passenger Registrations2006 2007 2008 2009 2010

Graph supplied by MTA

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industry statistics

> We understand dealerships

> Proven systems

> Back up when you need it

> Intuitive and user friendly

Helping your dealership run smoothly

New Commercial Vehicle Sales by Model - Top 15 June 2010

MAKe MOdel JuN 2010 % diFF MAKe MOdel JuN 2009

Toyota HILUX 539 14.1 Toyota HILUX 463

Ford RANGER 250 5.2 Ford RANGER 237

Toyota HIACE 195 19.5 Nissan NAVARA 157

Nissan NAVARA 184 18.0 Toyota HIACE 151

Holden COLORADO 175 32.6 Holden COLORADO 118

Mitsubishi TRITON 166 42.8 Mazda BT-50 95

Mazda BT-50 108 40.7 Ford TRANSIT 64

Nissan NAVARA 72 41.7 Hyundai H1 42

Ford TRANSIT 59 54.2 Mitsubishi Fuso CANTER 27

Toyota LANDCRUISER 37 32.4 Nissan URVAN 25

Mitsubishi L300 36 36.1 Volvo FM 23

Hyundai H1 28

Ford TRANSIT 25

Hino 300 25

Mitsubishi Fuso CANTER 23

New Commercial Vehicle Sales by Make June 2010

MAKe JuN 2010 % diFF MAKe JuN 2009

TOYOTA 771 17.6 TOYOTA 635

FORD 351 9.1 FORD 319

NISSAN DIESEL 270 29.3 NISSAN 191

MITSUBISHI FUSO 249 43.4 HOLDEN 141

HOLDEN 192 33.3 MITSUBISHI 128

MAZDA 132 17.4 MAZDA 109

HINO 46 8.7 HYUNDAI 42

ISUZU 46 28.3 ISUZU 33

HYUNDAI 29 10.3 MERCEDES-BENZ 26

MERCEDES-BENZ 20 -25.0 VOLVO 25

SUZUKI 20 -20.0 FIAT 24

SCANIA 15 -20.0 HINO 18

VOLKSWAGEN 12 MAN 17

FIAT 9 FACTORY BUILT 14

GREAT WALL 7 SCANIA 14

KIA 7 VOLKSWAGEN 13

IVECO 6 SUZUKI 11

MAN 6 KENWORTH 10

VOLVO 6 FREIGHTLINER 8

KENWORTH 4 IVECO 8

LAND ROVER 4 DESIGNLINE 6

MACK 4 KIA 6

DAF 3 STERLING 4

FREIGHTLINER 3 LAND ROVER 3

INTERNATIONAL 2 DAF 2

FACTORY BUILT 1 DAIHATSU 1

GMC 1 INTERNATIONAL 1

PEUGEOT 1 PEUGEOT 1

STERLING 1 PROTON 1

WESTERN STAR 1

TOTAl 2218 TOTAl 1812

user-chooser fleet type purchases. As soon as fuel prices start to move it has an even larger detrimental effect on the new car segment.”

“Another reason we had a good month was that we ran a very successful Fieldays promotion for May and June, ‘get tooled up’, where we had some added value with a King Tony Tool Box and a fridge that we gave away with our commercials, on the Hilux, Hiace and Landcruiser 70. When you combine those three we had our best commercial month since about June 2008 when the recession first started to bite.”

Alistair Hazeldine, Dealer Principal at Cockram Nissan in Christchurch, was similarly pleased with new car sales for June. “We enjoyed a very good month for new car sales, exceeding our new car sales target by 25 per cent. That’s quite a rare thing, and gave us not only the monthly target but also the quarterly target.

“Fieldays were a major part of that, but also some new product from Nissan, particularly the Navara 450 has been delivered and that’s been very good for us as well.”

Looking ahead, Hazeldine believes that sales will also pick up prior to

the rise in GST. “I think a rise in sales before GST comes in is definitely likely to occur. Firstly the public will see at as an opportunity to secure a used car at a slightly lower price, and also because of the fact that retailers and manufacturers alike will try to use the rise in GST as a selling pitch, ‘buy now before the price rise’. It will probably occur across a wide-range of retailed items, and cars will be no different.”

However Hazeldine believes that buyers are still being more cautious. “It is fair to say that buyers are quite canny, buyers are definitely doing a lot more research on the internet. They don’t necessarily buy over the internet, but they use it as a form of reference, so that they can compare your price, your specifications, with someone else’s. As such, people are often ready to buy when they come in, because they’ve done all their homework, they’ve more or less made their decision.”

While sales of new cars went well in June, used cars are a different story, says Hazeldine. “The new car activity has generated a lot of used car for us, so at a time where used car sales are slow, we’re overstocked - hardly unusual.”

continued from page 1

New car sales highest in 21 months

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industry statistics

Used Passenger Vehicle Sales by Make June 2010

MAKe JuN 2010 % diFF MAKe JuN 2009

TOYOTA 1989 25.9 TOYOTA 1473

NISSAN 1087 19.9 NISSAN 871

MAZDA 952 29.9 HONDA 667

HONDA 903 30.1 MAZDA 631

SUBARU 687 34.6 SUBARU 449

MITSUBISHI 442 30.3 MITSUBISHI 308

BMW 295 47.8 SUZUKI 154

SUZUKI 197 22.8 VOLKSWAGEN 152

FORD 179 17.9 BMW 147

VOLKSWAGEN 166 27.1 FORD 121

AUDI 92 44.6 MERCEDES-BENZ 51

MERCEDES-BENZ 51 AUDI 44

HYUNDAI 48 PEUGEOT 43

CHEVROLET 44 HYUNDAI 33

PEUGEOT 35 VOLVO 30

CHRYSLER 32 CHEVROLET 26

VOLVO 27 JAGUAR 26

JAGUAR 20 CADILLAC 21

OPEL 17 ISUZU 20

ALFA ROMEO 14 CHRYSLER 19

MINI 12 DAIHATSU 15

ISUZU 11 OPEL 15

DAIHATSU 10 HOLDEN 11

JEEP 10 LAND ROVER 10

SAAB 10 SAAB 9

HOLDEN 9 ALFA ROMEO 8

RENAULT 9 LEXUS 6

LAND ROVER 6 RENAULT 6

LEXUS 5 DODGE 3

CADILLAC 4 FIAT 3

PROTON 4 MERCURY 3

CITROEN 3 MINI 3

DODGE 3 PORSCHE 3

SMART 3 BUICK 2

BUICK 2 CITROEN 2

FIAT 2 FERRARI 2

KIA 2 JEEP 2

MERCURY 2 KIA 2

MORRIS 2 PONTIAC 2

OLDSMOBILE 2 ROVER 2

PLYMOUTH 2 SMART 2

PONTIAC 2 ALVIS 1

AUBURN 1 ASTON MARTIN 1

FACTORY BUILT 1 DAEWOO 1

LAMBORGHINI 1 LINCOLN 1

LOTUS 1 LOTUS 1

MASERATI 1 MG 1

MG 1 MORRIS 1

PORSCHE 1 OLDSMOBILE 1

RANGE ROVER 1 WILLYS 1

ROVER 1

TVR 1

TOTAl 7402 TOTAl 5406

Used Passenger Vehicle Sales by Model June 2010

MAKe MOdelJuN

2010%

diFFMAKe MOdel

JuN 2009

Subaru LEGACY 428 41.6 Subaru LEGACY 250

Toyota COROLLA 351 36.5 Toyota COROLLA 223

Mazda ATENZA 252 11.5 Toyota VITZ 223

Toyota ESTIMA 243 20.2 Honda ODYSSEY 194

Toyota VITZ 238 26.5 Mazda DEMIO 175

Mazda DEMIO 217 29.5 Nissan PRIMERA 153

Nissan PRIMERA 208 32.7 Mazda ATENZA 140

Honda STREAM 201 32.8 Subaru IMPREZA 135

Subaru IMPREZA 167 21.6 Toyota ESTIMA 131

Honda ODYSSEY 166 29.5 Nissan MARCH 117

Honda ACCORD 165 31.5 Nissan BLUEBIRD 113

Honda CIVIC 153 28.8 Mitsubishi LANCER 109

Toyota ALTEZZA 132 19.7 Nissan WINGROAD 106

Mazda AXELA 130 25.4 Suzuki SWIFT 97

Mitsubishi LANCER 128 25.0 Toyota ALTEZZA 96

Nissan BLUEBIRD 124 23.4 Honda FIT 95

Suzuki SWIFT 121 22.3 Honda ACCORD 94

Toyota IST 100 7.0 Honda CIVIC 93

Mazda MPV 97 8.2 Toyota PLATZ 89

Nissan WINGROAD 97 19.6 Mazda AXELA 78

Nissan TIIDA 96 26.0 Toyota IST 71

Toyota ALLEX 86 23.3 Toyota FUNCARGO 66

Honda FIT 84 23.8 Honda STREAM 64

Mazda TRIBUTE 82 22.0 Mazda FAMILIA 64

Nissan SKYLINE 82 22.0 Mazda MPV 64

Mitsubishi COLT 79 20.3 Volkswagen GOLF 63

Toyota CALDINA 79 22.8 Toyota CALDINA 61

Toyota FUNCARGO 75 30.7 Toyota IPSUM 52

Toyota RAV4 75 33.3 Subaru FORESTER 50

Toyota PLATZ 74 33.8 Nissan SUNNY 49

Volkswagen GOLF 74 41.9 Mazda PREMACY 43

Used Commercial Vehicle Sales by Make June 2010

MAKe JuN 2010 MAKe JuN 2009

NISSAN 83 TOYOTA 474

TOYOTA 57 NISSAN 434

ISUZU 19 ISUZU 128

MAZDA 12 MAZDA 51

MITSUBISHI 9 MITSUBISHI 47

CHEVROLET 6 CHEVROLET 42

GMC 4 FORD 40

FORD 4 DODGE 23

HOLDEN 3 HINO 16

HINO 3 HOLDEN 10

RENAULT 2 VOLKSWAGEN 9

DAIHATSU 2 FACTORY BUILT 8

OSHKOSH 1 GMC 6

LAND ROVER 1 MERCEDES-BENZ 4

DENNIS 1 SCANIA 3

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industry statistics

0

2000

4000

6000

8000

10000

12000

14000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Used Import Passenger Registrations2006 2007 2008 2009 2010

Used Commercial Vehicle Sales by Make June 2010

MAKe MOdel JuN 2010 MAKe MOdel JuN 2009

Nissan VANETTE 37 Toyota HIACE 313

Nissan CARAVAN 34 Nissan CARAVAN 212

Toyota HIACE 31 Nissan VANETTE 136

Isuzu ELF 16 Isuzu ELF 89

Mazda BONGO 11 Nissan ATLAS 51

Toyota DYNA 9 Mazda BONGO 44

Nissan ATLAS 8 Toyota DYNA 32

Toyota LITEACE 4 Toyota REGIUS 28

Toyota REGIUS 4 Isuzu FORWARD 27

Toyota TOWNACE 4 Toyota TOYOACE 24

the trade, says he can sum up the state of the market in two words: “very slow.”

“For some reason it’s gone very very quiet at the moment. Whether it’s a pre-bubble-burst before GST rises, who knows.”

Milner says the quietness has been accentuated by the atrocious weather that has lashed New Zealand in recent weeks, but he views the dollar/Yen exchange rate as the

biggest problem facing the used import market. “It’s showing signs of wanting to go below 60” which would be disastrous.

“There’s no urgency in the market at the moment. People have time to drift and think. If you don’t do the deal on the day, the odds-on

chance is you won’t get it.“April and May have been a struggle and

we’re hoping that in July and August (buyers) will come out again. The weather is definitely one of the main factors.”

Chris Nichols who manages long-established family firm, Metro Auto Court, in Christchurch says he’s finding the market quiet too.

“It generally is once you get the first cold snap of winter, but the last couple of months have been quite quiet too. Volume is down and general inquiry is down quite a bit too.

“I don’t know whether people are waiting for something, but it can only get better that’s for sure.”

Nichols says that what sales are being made are “definitely price-driven, Vehicles you really want to sell you have to bring the price down to the point where it becomes attractive (to a buyer).

“It’s unfortunate because you can undersell cars that should be worth more, but that’s what happens. People are pressured for money so prices come down which makes it harder to replace stock and the public get the idea that things will get cheaper and cheaper which they can’t.”

Nichols says other dealers he’s been talking to also say the market is quiet.

“You hear of a few people who say it’s going in leaps and bounds but I don’t know. It definitely could be busier.”

John Lahman of Independent European in Hamilton believes the market is quite slow and fragile. However he notes that some buyers who have put of making a purchase for a while are starting to come out of the woodwork. Buyers are also more cautious. “There’s no urgency, people aren’t buying on the day. They’re taking their time and you’ve got to have the right product and the whole facilitating process dead right, because there’s no rush.”

“We’re finding that if we have presentation and every vehicle ready for sale, right down to a full tank of gas, just having everything dead right, helps too.”

Lahman feels that while there aren’t the sales of the boom years, the slightly slower pace suits him. “I feel reasonably buoyed up by this year. It could be five years but I don’t think it will ever boom again. I think it will just be a slow increase with lots of ‘w’s, meaning we’ll be at the bottom of some ‘w’s on the way through.

Dunedin dealer Lloyd Wilson (Lloyd Wilson Motors) acknowledged that the market is currently strange and is “up and down” but sounded a more optimistic note.

“It has its good days and bad days and is patchy, but we’re seeing a little bit more foot traffic through the yard and we’re pleasantly surprised at how the month has been going so far.

“We haven’t had a bad start, and we’re waiting for it to stop, but at this stage things could be worse. You just have to try to do the best you can with what you have.”

Wilson says most of the activity is in the $5000-$7000 range and the $10,000-$14,000. “That’s about where it’s at.”

continued from page 1

Quiet and patchy used car market

Graph supplied by MTA

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industry statistics

0

200

400

600

800

1000

1200

1400

1600

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

New Motorcycles (>60cc, & <60cc)2004 2005 2006 2007 2008 2009 2010

New Bike Sales by Make June 2010

MAKe JuN 2010 MAKe JuN 2009

MOPED 73 SUZUKI 115

SUZUKI 66 MOPED 106

TRIUMPH 42 HARLEY DAVIDSON 57

YAMAHA 39 HONDA 48

HARLEY DAVIDSON 31 YAMAHA 48

HONDA 30 KAWASAKI 36

HYOSUNG 15 TRIUMPH 33

FACTORY BUILT 13 HYOSUNG 20

KEEWAY 10 KEEWAY 20

BMW 8 FACTORY BUILT 17

KAWASAKI 8 PIAGGIO 13

KYMCO 8 KTM 10

PIAGGIO 7 BMW 8

KTM 6 MOTORCYCLE 6

APRILIA 5 DUCATI 5

DAELIM 5 PGO 4

VESPA 4 VESPA 3

PGO 3 SYM 2

DUCATI 2 LIFAN 2

MOTORCYCLE 2 HUSABERG 2

ROYAL ENFIELD 2 DAELIM 2

SYM 2 PIONEER 2

SACHS 2 APRILIA 1

BENELLI 2 BUELL 1

HUSABERG 1 MOTO GUZZI 1

ITALJET 1 ZONGSHEN 1

MOTO GUZZI 1 PEUGEOT 1

MOTO MORINI 1 GILERA 1

LIFAN 1 CAGIVA 1

TOTAl 390 TOTAl 566

Used Bike Sales by Make June 2010

MAKe JuN 2010 MAKe JuN 2009

MOPED 94 HONDA 40

HONDA 46 YAMAHA 24

HARLEY DAVIDSON 31 SUZUKI 19

HONDA 31 HARLEY DAVIDSON 14

SUZUKI 21 TRIUMPH 10

YAMAHA 17 DUCATI 9

FACTORY BUILT 16 BMW 9

YAMAHA 13 KAWASAKI 6

SUZUKI 11 MOPED 5

TRIUMPH 8 APRILIA 4

DUCATI 7 VESPA 3

SYM 7 VICTORY 2

PIAGGIO 5 MOTO GUZZI 2

KEEWAY 5 LAVERDA 2

VESPA 4 KTM 2

HYOSUNG 3 BUELL 2

APRILIA 2 BSA 2

BMW 2 VINCENT 1

KAWASAKI 2 VILLIERS 1

KTM 2 ITALJET 1

LIFAN 2 HYOSUNG 1

APRILIA 2 GEELY 1

PGO 2 ENFIELD 1

MOTORCYCLE 2 CAGIVA 1

AMERICAN 1

BMW 1

CAGIVA 1

DUCATI 1

LAMBRETTA 1

LAVERDA 1

MOTO GUZZI 1

NORTON 1

SUZUKI 1

VICTORY 1

BSA 1

MOBYLETTE 1

JIALING 1

MOTORCYCLE 1

PUCH 1

TOTAl 350 TOTAl 162

Graph supplied by MTA

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FiFty years – half a century – is a milestone in anyone’s language, and Ford’s making plenty of fuss about the Australian Falcon’s 50th birthday which fell on June 28.

Not that the current FG Falcon has much, other than its name, in common with the XK that started the ball rolling on June 28, 1960. There are similarities – inline six-cylinder motor, rear-wheel drive, space for five adults, the sort of things car company marketing staff call a model’s DNA.

But the two Falcons are chalk and cheese, as you’d expect after 50 years; the XK was unashamedly American, the FG has added European styling cues and on-road behaviour into its make-up.

The XK’s 2.4-litre overhead valve, single-barrel carburettor engine’s 67kW output is puny by today’s standards; peak torque was a useful 187Nm but pales against its descendant’s.

The XK had three-speed manual or two-speed automatic gearboxes; the FG has a standard six-speed auto.

Ford says the current Falcon is “significantly more fuel efficient despite a 50 percent increase in total vehicle mass” though the green lobby would find little comfort in the big Ford’s fuel consumption.

The XK looks unprepossessing from a 2010 perspective – plain looking, pretty basic – but its significance is that it was the starting point, the patriarch of an enduring family line.

Along the way the Falcon has survived fuel crises, occasional slip-ups when Ford designers seemingly got it wrong, paranoia that Ford was going to abandon the Aussie icon in favour of the front-wheel drive American Taurus, and the incessant bagging of the doomsayers who have been predicting the “dinosaur’s” death for 30 years.

But Ford Australia has never lost its faith in the rear-drive, full-sized sedan and wagon, even when the fuel shocks of the 1970s caused Holden to replace its US-style

Kingswood line with a smaller Opel-derived Commodore.

Between the XK and the FG there have been almost 3.5 million Falcons in more than 25 models.

They’ve become progressively more sophisticated and from the BA onwards, more European influenced. There have been highs and lows.

Among the highs the two-door coupe versions of the first generation car with their sharply-raked rear windscreen and immense boot deck.

The second generation began with the XY, another very American-looking car that picked up some Mustang styling cues (the Mustang was based on the US Falcon) and was to spawn the high-performance V8-powered GTs of which the summit was the GTHO with 5.7-litre motor and ferocious performance.

The GTHO starred in one of the greatest-ever road car photographs, taken during a Wheels magazine road test. The camera is focused on the speedometer which is registering 145mph.

Falcons got swoopier when the XA debuted, with lines influenced by big American Fords like the Torino. The styling became increasingly refined (some might say blander) by the time the XC arrived, and then went angular with the XD.

The final X model was the leaner-looking XF which was also probably the last of the snap-oversteering Falcons, with a chassis that could catch out the unwary with un-telegraphed rear wheel breakaway,

especially on wet roads.The car that followed should

have been a revolution but turned out, initially at least, to be a lemon. The EA had clean, elegant yet purposeful styling but was plagued by mechanical problems and poor build quality.

Australian taxi drivers – an important market for Ford – shunned the car because of its reliability woes and hung on to their XFs, prefiguring what happened with another perceived Falcon lemon, the AU.

Ford strove to get the Falcon right and the EB, though using a mildly reworked EA body, was a quantum leap. The facelifted EB II reintroduced a V8 to the Falcon and started the XR high-performance sub-model.

The E-Series evolved through the sublime EF, which handled nicely but was panned in Australia for being to prone to oversteer, to the EL the last of the line with chassis re-tuned to be less tail-happy.

The great Taurus scare broke out in 1996 when the Aussie motoring media decided collectively that the Yanks were going to foist the Taurus on to Australia, and the media paranoia increased when Ford launched the next generation Falcon, the AU, with oval styling that echoed the Taurus’s – one wag described it as a Taurus that someone had stepped on.

Buyers stayed away, especially in Australia (XR versions of the AU were big sellers here), and the car

was plagued by mechanical and electrical problems that seemed magnified by its odd styling.

But fundamentally the AU had the makings of a good car that were realised in the more conservative, more neatly styled BA which took the AU’s inherently good handling to a new pitch of accomplishment.

The BA also introduced the turbocharged six-cylinder motor which would become the heart of what is probably the best Falcon yet produced, the Typhoon F6 with more performance and nimbler handling than the V8-engined XR8.

Bodywork remained similar in the BL model which benefitted again from chassis fine-tuning before getting a major makeover for the current FG with redesigned sheetmetal and new rear doorway shape for easier access.

Which brings us to 2010 and a raft of 50th Anniversary six-cylinder Falcons in the XR high-performance and G6E luxury performance model lines with special badging, interiors, styling accents, exclusive-design wheels and colours and sound systems.

Ford started building the XR 50th Anniversary models in June and the G Series this month.

Will the Falcon rack up a century? Who knows? But right now the car that critics have labelled an anachronistic dinosaur whose death is imminent has never been more alive. At 50, the Ford Falcon is in its prime and better than ever.

Falcon – vigorous and healthy at 50

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Paddon scores runaway Whangarei win

reiGninG new Zealand rally champion, Hayden Paddon, annihilated opposition that included two former world championship works team drivers to win last weekend’s Rally of Whangarei.

Neither his local rivals nor international drivers contesting the event, a round of the Asia-Pacific Championship, could match his pace and the 23-year-old from Geraldine in South Canterbury won both days.

Driving his Team Green Mitsubishi Lancer Evo 9, he was on the pace from the get-go on Saturday; on his way to victory, Paddon won 13 of the rally’s 16 special stages and set five new stage records. He took the Asia-Pacific round victory and also won the NZ Rally Championship section.

But it had almost gone wrong

on the day’s opening special stage southwest of Whangarei. “We had a bit of a moment about halfway through and pretty much had all four wheels down a bank,” said Paddon

He recovered to end the day one minute 10 seconds ahead of Indian Gaurav Gill’s Team MRF Lancer Evo X.

Paddon said he had been keeping to the same pace all day. “It (sounds) a bit boring, but it’s been exciting in the car.”

Hamilton-based Emma Gilmour finished day one third in her ex-Cody Crocker Subaru Impreza WRX STi, ahead of former Mitsubishi and Hyundai factory driver Alister McRae in the Malaysian works Proton Super 2000.

In the second factory Proton, former works Subaru fastman,

Chris Atkinson, was hit by mechanical problems on both days and didn’t finish.

Paddon emphasised his class on day two, opening an unassailable margin of three minutes 55 seconds over second-placed Gilmour by the end of the day to take the overall rally win.

Australian Brendon Reeves (Impreza STi) finished third overall, 27.8 seconds behind Gilmour.

McRae was breathing down his neck, finishing 0.5 seconds behind.

NZ Rally Championship points leader Dean Sumner (Evo 9) was fifth, followed by fellow Kiwi Patrick Malley (Lancer), who is proving to be one of the finds of the NZ series.

Former NZ champion and Rally Whangarei winner Chris West had been running fifth overall until the event’s last stage where two

punctures sidelined his Evo 9.Paddon said the win was the

best of his three in the Whangarei event (he also won in 2007 and 2009). “This one we did on our own from stage one. On some stages today I’ve pushed harder than I ever have before, and it all felt really comfortable and easy.”

Gilmour said Paddon had been “a real class act. All that experience he’s gaining (in) the WRC really shows. My approach was not to worry too much about what he was doing, and to keep a clear focus on securing (a New Zealand rally) championship placing that would give us the best possible haul of points.”

She succeeded and goes to the penultimate round in Nelson next month only two points behind Sumner. Paddon is third though

motorsport

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motorsport

McConville replaces Gaunt in CommodorePaddon scores runaway Whangarei win austraLian cameron McConville will replace Kiwi Daniel Gaunt in the Gulf Western Oils/Autopro Holden Commodore at this weekend’s V8 Supercar round at Townsville, North Queensland.

Twenty-year-old Lucas Dumbrell, who runs the Commodore team, says he’s replacing Gaunt with McConville because the Australian has much more Supercar experience.

His team is in its first season in the V8 Supercar main game, as is Gaunt whose impressive racing credentials were gained mainly in open-wheeler cars in New Zealand and the USA.

He won the 2003 Australian Drivers’ Championship in a Formula Holden and finished fifth in the 2009 Fujitsu V8 Supercar development series despite missing the final round.

“This year has been hectic, an incredible experience for me and

my young team,” says Dumbrell.“We’ve finished every race

which is pleasing, but I’m constantly learning what a race team needs – and that for us at this point in time is drivers with experience.

“I would like to thank Daniel for his efforts and we wish him all the best with his future endeavours.”

This season Gaunt has qualified and raced towards the back of the field in the two-year-old, ex-Garth Tander VE Commodore run by the Dumbrell team but in some races has worked his way into the top 20.

He’s a double NZ Grand Prix winner (2007 and 2009) in a Toyota Racing Series Tatuus-Celica, won the TRS twice and has also raced Porsche GT3s.

McConville (36) retired from fulltime V8 Supercar driving at the end of last year. He says he has no illusions about the difficulty of stepping back into a V8 Supercar this weekend. “(In) the short time

I’ve been out of V8 Supercars it has again risen to another level.”

He says he’ll decide whether to seek more V8 Supercar drives after he assesses his performance this weekend.

He has already signed to drive for the Toll Holden Racing Team in the endurance races, including Bathurst. Mark Noske and Nathan Pretty will drive the Lucas Dumbrell Racing Commodre in the enduros.

Daniel Gaunt with the NZ Grand Prix Trophy in 2009. Photo by Lance Hastie.

he won’t be doing any more rounds, concentrating instead on his Production Car World Championship campaign and his Pirelli Star Driver programme.

Asia-Pacific series leader, Katsu Taguchi had a miserable time, his Lancer X plagued by serious engine woes on day one – the team changed the cylinder head and turbo for day two – and came home sixth in the Asia-Pacific section, one place had of teammate Gill who was slowed on day two by problems that required a complete gearbox and diff change.

In the NZ championship section, the first two placings mirrored the Asia-Pacific result – Paddon from Gilmour – with Sumner coming home third ahead of Malley.

“After yesterday I didn’t think it would be possible for us to finish in the top 10,” Sumner said. “It’s good, we’ve managed to reel back in a bit of time today.”

He had finished heat one on Saturday sixth in the NZ series section after striking mechanical problems.

West and M alley had dead-heated for third on Saturday, ahead

of Glenn Inkster (Evo 9). On Sunday and Inkster was sidelined by broken steering.

Richard Mason (Impreza STi) took fifth on Sunday, bouncing back from a miserable Saturday which saw him finish an uncustomary ninth, and Kingsley Thompson (Evo 9) was sixth in the NZ section on Sunday.

As rain and gale force winds lashed Northland on Sunday afternoon, Paddon said he “backed off a notch to concentrate on getting to the end. 

“To stand on the top of the

podium at the end with the New Zealand National Anthem in the background is a very special feeling and now the target is to carry this confidence and development into the WRC with the remaining Pirelli rounds. I’m also being realistic that it’s a completely different kettle of fish overseas but that’s now the target.”

His performance last weekend against strong local and international competition showed that he’s learning fast from his experience in the WRC, and he certainly looks on target to make an impact.

Emma Gilmour Dean Sumner

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rod miLner believes that the industry has changed enormously since the deregulation. “In the old days you had to have a premises, enough money in the bank, and you had to get a licence, and go down to Wellington get the licence issued before a tribunal or a court.”

“With the new Motor Vehicle Dealers Act anyone could become a dealer. Before that we had to advertise our salesmen in the paper to make sure there was nothing objectionable about them or anything, but it’s total open slather now.

Any person can start dealing. You pay $583 to get a license,

looking back

and you can operate from your backyard.”

“I think what has changed the industry a lot is the internet. Now someone can operate out of their backyard, sell three or four cars, and make enough off of that to make a living for the month.

“I don’t think it’s good for the industry, I think it’s taken away the personal aspect. The industry has become very impersonal, and it’s totally price driven, rather than quality. It’s become ‘who’s got the cheapest price sells the car’.”

People’s focus has changed, says Milner. “Gone are the days where people are really worrying about quality as much, they’re chasing that price because there are so many other

constraints on their income. They say to themselves ‘well it’s Japanese, it’s reliable, it will go forever, as long as it lasts me two or three years and then I’ll change it again after that. So cars have become very much a commodity like a Bic pen. I call cars today Bic pens –use them and throw them away. That’s really what it’s about.”

“The status of a car has gone a lot. Whereas in the past there was a pecking order for the company car, and if you had the latest it really meant something. I think that’s gone, because cars are getting very much alike now. You might get a Mercedes or BMW or a Holden, but in the main companies have rationalised, and they’ve gone for bare basic cars. And a lot of companies now are

employing people and giving them a car allowance, so they’ll get something that will suit their allowance, and perhaps be able to make a bit out of the allowance as well.”

“Today there is more discretional spending. People want the latest TVs, the best washing machine and vacuum cleaners, so there’s more to spend on than motor cars. Motor cars today are replaced by need not by want. If the car has an accident or finally craps out, then they’ll replace it.”

“Often people will get to retirement age and buy a car, and they’ll say ‘this will see me out’, at 65, and odds are it will, if they buy a nice car that will last 20 years. We often get people saying it, and that’s a bit of a worry. Formerly we’d get them back every three years, since firstly the cars weren’t as reliable, but as well there wasn’t the depreciation factor that you have today.”

“Another major change is Sunday trading. 25 years ago you weren’t allowed to open after 1 o’clock on a Saturday, whereas today you can stay open Saturday, Sunday – all night if you want to. There are no rules and regulations, the only days you get off are the religious holidays, and that’s changing as well, it will come soon where you won’t even close for those.”

“I think the quality of life for the retailer in general, not just motor dealers but across the board has deteriorated. Good for the consumer, but for the people working in the industry it’s not much of a life.”

If you’d like to comment on a particular issue and its consequences for the industry, email us at [email protected]

Each month we’re taking a look at a past issue of Autofile, the story of the day, and the changes this has meant for the industry.

Page 23: 8 July 2010 The voice of the auto industry New car sales ......2010/07/08  · RORO service inbound and outbound from and to the world Tokyo P + 81 3 6436 3320 F + 81 3 6436 3328 Auckland

www.autofile.co.nz | 23

Robert Mellor, Fagan Motors Ltd, Masterton, is the winner of the Supreme Regional Apprentice Award. Award sponsor: Fuchs Oil.

Matt Coyle, Rutherford and Bond Toyota Kapiti, Paraparaumu, wins first equal Franchise Dealer Award for Horowhenua. Award sponsor: Motorweb.

Bill Hintz (r) of Hintz Motor Vehicle Traders Ltd, Masterton, (pictured with Gary McKelvie of Tom Lancaster Ltd, left) is the Wairarapa winner of the Used Dealer Award. Award sponsor: Oxford Finance.

Bruce Stewart, of Coventry Cars, Mt Cook, wins the Used Dealer Award for Wellington. Award sponsor: Protecta Insurance.

Hamish Jacob, of Capital City Motors, Te Aro, wins the Franchise Dealer

Award for Wellington. Award sponsor: Motorweb.

Kelly McKay and Ian McKay, HMC Kapiti Ltd, Paraparaumu - first equal

Franchise Dealer Award for Horowhenua. Award sponsor: Motorweb.

it’s Awards Night!on saturday 26 June, over 450 MTA Members and their partners attended the Oxford Finance 2010 Regional MTA Awards held at Te Papa, Wellington. The biannual event recognises outstanding MTA Members and celebrates their achievements in the motor industry from the Wellington region including the Horowhenua and Wairarapa

The judging panel were looking for MTA Members who demonstrated professionalism and commitment to the motor industry through ethical business and work practices, pride in business and appearance, innovation, dedication to customer service, employees and their local community, adherence to compliance, quality of staff, commitment to promoting the MTA brand and the use of the membership services and training

Around 30 awards were presented to MTA Members including nine supreme awards which were presented by special guest, V8 supercar driver, Greg Murphy.

Hawkes Bay covers band Sir Duke provided entertainment for evening.

Page 24: 8 July 2010 The voice of the auto industry New car sales ......2010/07/08  · RORO service inbound and outbound from and to the world Tokyo P + 81 3 6436 3320 F + 81 3 6436 3328 Auckland

autofi le is the voice of the auto industry. Sold on subscription to motor vehicle dealers, shipping companies,

customs agents, fi nance and insurance companies, and any supplier, association or government agency with an interest in the auto industry.

Editorial Profi le

Having served the industry for over 24 years, autofi le has a proud history as the voice of the auto industry; published weekly it highlights issues of concern to the motor industry as well as items of general interest relating to the new and used vehicle import trade. The publication aims to provide the information that automotive trade companies and related organizations want and need to know.

A major feature of autofi le is the analysis of sales statistics – of new vehicles, used imports, secondhand vehicles and motorcycles and trucks.

The magazine is required reading for anyone who needs to plan and operate in the motor trade.

Reader Profi leThe majority of autofi le readers are vehicle sales professionals. Whether it is a salesman, fi nance and insurance manager or the dealer principal, the reader wants to be kept informed about all aspects of the motor trade. The readership is not confi ned to those directly in the trade. Importers, fi nance companies and insurers, motor vehical associations and government departments also make up a signifi cant portion of the readership in that industry.

Advertisingautofi le and its supplements are read by the decision makers in the auto industry so is the perfect environment for you to get your message across to the people who really matter. It is a highly respected publication that carries real weight in the trade. The opportunity to backup advertising with editorial exists and this has proved to be a very successful way for advertisers to nail home their message.

Booking deadline: 12 noon Monday prior to issue date

Artwork deadline: 12 noon Tuesday prior to issue date

ContactBrian McCutcheon

p. 0508 288 863 m. 021455775 e. brian@autofi le.co.nz

the voice of the auto industry; published

used vehicle import trade. The publication

automotive trade companies and related

fi le is the analysis

www.autofi le.co.nz | 1

GST sting for dealersCAR DEALERS around the

country will be out of pocket if

the Government announces a GST

rise in next week’s Budget.

When Prime Minister John Key

released details of a tax package in

February, he announced that the

Government is considering a 2.5%

GST increase.

Having campaigned on a

platform which did not include

a GST increase, National copped

flack over the news. But the early

announcement means there will

be no surprise come May 20.

According to BNZ economist

Gary Steel, the GST increase will

come into effect from October

1, since the start of the next tax

year, April 1, lies in an election

year. Any sooner would not give

businesses sufficient time to

prepare for the change-over.

With input credits being paid

at the time a vehicle is delivered,

stock purchased at the current

rate, but sold after the rise, will

incur a larger than usual GST cost

for traders.

An overnight change will

result in a one-off loss for

dealers, based on the percentage

difference between the input and

output credit, a loss which will

either have to be absorbed, or

offset by raising prices.

A car purchased for $10,000

results in an input credit of $1111.

If that car was sold for $13,000 the

GST portion is $1444, leaving the

trader with $333 of GST to be paid.

A car purchased for $10,000

at the current GST rate but sold

after the rise to 15% for the same

amount, will contain GST of

$1696. This will leave the dealer

with a $585 GST bill.

By comparison, a car

purchased for $10,000 after the

rise will contain an input credit of

$1304, and when sold will leave a

GST bill of $385, a $42 difference,

CAR DEALERS are continuing to

experience steady growth, with

new car sales in April 30% above

April 2009 sales.

While April is traditionally a slow

month for new dealers, Perry Kerr,

of the Motor Industry Association,

believes that the normal

circumstances may not apply.

“Historically April is a slow

month because it follows the year

end,” says Kerr.

“In the past this was more

significant because businesses

received six months depreciation,

now you only get a month.

Businesses also traditionally

tended to use up money allotted

for vehicle purchases before the

year end.

“However I think that is not as

relevant, certainly over the last 12

to 18 months with the downturn

we’ve had, as companies have

taken out money they’ve set

aside for the purchase of cars

because of the crisis.”

While the Easter break and

school holidays still have an

impact, the number of sales

presents a signi� cant improvement

over last year. The year-to-date

comparison with 2009 shows that

new car sales are ahead by 2383

units, or 14%.

Kerr believes that there is

some demand from businesses

that extended leasing

agreements during the downturn.

“People that were on a three-

year cycle pushed them out,” he

says. “There’s going to be some

Subscribe to Autofi le now and pay only $150 plus GST for 12 months.

That’s 48 issues of auto industry news, statistics, exclusive feature articles and much, much more.

See inside back cover for further details

The voice of the auto industry

The voice of the auto industry

13 May 2010

Strong sales fi gures for Aprilcontinued on page 4

continued on page 7

Ford win nail-biting Rally NZ p22

AF_13May.indd 1

5/17/10 5:29:03 PM

www.autofi le.co.nz | 1

GST sting for dealers around the

country will be out of pocket if

the Government announces a GST

rise in next week’s Budget.

When Prime Minister John Key

released details of a tax package in

February, he announced that the

Government is considering a 2.5%

Having campaigned on a

platform which did not include

a GST increase, National copped

flack over the news. But the early

announcement means there will

be no surprise come May 20.

According to BNZ economist

Gary Steel, the GST increase will

come into effect from October

1, since the start of the next tax

year, April 1, lies in an election

year. Any sooner would not give

businesses sufficient time to

prepare for the change-over.

With input credits being paid

at the time a vehicle is delivered,

stock purchased at the current

rate, but sold after the rise, will

incur a larger than usual GST cost

for traders.

An overnight change will

result in a one-off loss for

dealers, based on the percentage

difference between the input and

output credit, a loss which will

either have to be absorbed, or

offset by raising prices.

A car purchased for $10,000

results in an input credit of $1111.

If that car was sold for $13,000 the

GST portion is $1444, leaving the

trader with $333 of GST to be paid.

A car purchased for $10,000

at the current GST rate but sold

after the rise to 15% for the same

amount, will contain GST of

$1696. This will leave the dealer

with a $585 GST bill.

By comparison, a car

purchased for $10,000 after the

rise will contain an input credit of

$1304, and when sold will leave a

GST bill of $385, a $42 difference,

CAR DEALERS are continuing to

experience steady growth, with

new car sales in April 30% above

April 2009 sales.

While April is traditionally a slow

month for new dealers, Perry Kerr,

of the Motor Industry Association,

believes that the normal

circumstances may not apply.

“Historically April is a slow

month because it follows the year

end,” says Kerr.

“In the past this was more

significant because businesses

received six months depreciation,

now you only get a month.

Businesses also traditionally

tended to use up money allotted

for vehicle purchases before the

year end.

“However I think that is not as

relevant, certainly over the last 12

to 18 months with the downturn

we’ve had, as companies have

taken out money they’ve set

aside for the purchase of cars

because of the crisis.”

While the Easter break and

school holidays still have an

impact, the number of sales

presents a signi� cant improvement

over last year. The year-to-date

comparison with 2009 shows that

new car sales are ahead by 2383

units, or 14%.

Kerr believes that there is

some demand from businesses

that extended leasing

agreements during the downturn.

“People that were on a three-

year cycle pushed them out,” he

says. “There’s going to be some

Subscribe to Autofi le now and pay only $150 plus GST for 12 months.

That’s 48 issues of auto industry news, statistics, exclusive feature articles and much, much more.

See inside back cover for further details

The voice of the auto industry

13 May 201013 May 2010

Strong sales fi gures for Aprilcontinued on page 4

continued on page 7

Ford win nail-biting Rally NZ p22

Emissions Trading Scheme to cripple Importersthe eMIssIons Trading Scheme (ETS) is due to come into law on July 1, and among its many targets for taxation will be the refrigerant gasses contained inside vehicle air-conditioning systems.

These gasses are construed by the ETS to be emitted at the time of importation, and therefore are considered to contribute to total global warming emissions.Industry leaders are calling the impost onerous, with their

anger directed not only against the impost, but also the manner in which it is collected. In 2011 reporting will be voluntary, the rationale being that businesses will have time to put reporting systems in place. Reporting will be mandatory in 2012, and in 2013 businesses will have to surrender carbon credits based on their previous year’s reporting.

One issue, as yet unresolved, will be the way in which gas

amounts will be calculated. A system may be set in place with a database of all vehicles, similar to that used for vehicle effi ciency ratings, or it may be calculated based on the vehicle’s age, with average values worked out for each year from manufacturing data. The three motor trade associations, the Motor Industry Association (MIA), the Imported Motor Vehicles Industry

Association (IMVIA), and the Motor Trade Association (MTA)

did not lobby against the impost at the time of submissions, since they were unaware of the implications of the fine print of the legislation. According to IMVIA chief executive David Vinsen, they first became aware of the

issue after being summoned to Wellington for a technical advisory group. “We didn’t see this coming. When the ETS was first promulgated, and going through the consultation phase,

DeALers WILL have to continue to wait for clarifi cation over the two new Acts regulating the sale of fi nancial and insurance products, the Financial Advisers Act and the Financial Services Providers (Registration and Dispute Resolutions) Act.

Passed in 2008, the Financial Adviser’s Act is designed to promote the sound and effi cient delivery of fi nancial advice, and to encourage public confi dence in the professionalism and integrity of fi nancial advisers.

The Financial Service Providers

Act will create an electronic register of Financial Service Providers, increasing the transparency of public information related to such advisers. Part of the registration process will require fi nancial providers to join a dispute resolution scheme.

The voice of the auto industry

20 May 201020 May 2010

Emissions Trading Scheme The voice of the auto industry The voice of the auto industry

Uncertainties Remain over New Finance Legislation

continued on page 4

GT2 RSMost powerful production Porsche ever

continued on page 4

p9

AF_20May.indd 1

5/19/10 7:57:25 AM

the motor trade.

20 | www.autofile.co.nz

www.autofile.co.nz | 21

MAKE Apr ‘10 YTD ‘10 MThlY % YTD % MAKE Apr ‘09 YTD ‘09

ISUZU 32 115 39.1 -45.2 ISUZU 23 210

MITSUBISHI 20 79 11.1 -21.0 MITSUBISHI 18 100

FORD 16 68 128.6 74.4 HINO13 88

MERCEDES-BENZ 15 48 275.0 -41.5 SCANIA 12 68

HINO 15 78 15.4 -11.4 FIAT10 40

NISSAN 6 28 0.0 -36.4 VOLVO 10 19

IVECO6 33 -25.0 26.9 IVECO

8 26

FIAT6 27 -40.0 -32.5 FORD

7 39

DAF6 14 100.0 40.0 FREIGHTLINER 7 46

VOLKSWAGEN 3 10100.0 KENWORTH 7 30

MAN3 8

NISSAN 6 44

KENWORTH 3 22WESTERN STAR 5 24

VOLVO 2 9MERCEDES-BENZ 4 82

STERLING 2 8DAF

3 10

SCANIA 2 21INTERNATIONAL 2 12

MACK 2 5MAN

2 7

FREIGHTLINER 2 10MACK

1 11

WESTERN STAR 1 7RENAULT 1 2

INTERNATIONAL 1 8STERLING 1 2

CHEVROLET 1 2VOLKSWAGEN

5

FACTORY BUILT2

KATO3

MAZDA1

FACTORY BUILT0

TADANO1

CHEVROLET2

GROVE2

TEREX1

ToTAl 144 603 2.9 -31.1 ToTAl 140 875

MAKEApr’10 ‘10 YTD MonThlY % YTD % MAKE

Apr‘09 ‘09 YTD

ISUZU17 26 -10.5 -71.1 ISUZU

19 90

MITSUBISHI6 8 +100 -11.1 MITSUBISHI

3 9

TOYOTA4 19 +33.3 +35.7 TOYOTA

3 14

NISSAN3 6 +50 -76 NISSAN

2 25

HINO3 4 +200 -69.2 DODGE

1 6

FACTORY BUILT3 3 +200 -25 FACTORY BUILT

1 4

FORD2 4 +200 +33.3 FIAT

1 2

MAZDA0 62 0 +6100 HINO

1 13

IVECO0 26 0 0 SCANIA

1 3

MERCEDES-BENZ 0 10 0 +900 FORD0 3

TEREX0 5 0 0 CHEVROLET

0 2

FREIGHTLINER0 5 0 0 GROVE

0 1

MAN0 2 0 0 MERCEDES-BENZ 0 1

CHEVROLET0 2 0 0 MACK

0 1

FIAT0 1 -100 -100 MAZDA

0 1

DODGE0 1 -100 -600 DAF

0 1

SPARTAN0 1

ToTAl38 184 18.75 +4.0

32 177

Used Truck Sales By Make

New Truck Sales By Make New Bike Sales By Make Used Bike Sales By Make

industry statistics

industry statistics

MAKE Apr ’10

YTD ’10

MThlY % MAKE Apr ‘09 YTD ‘09

MOPED 99 516 -29.8 SUZUKI 194 789

SUZUKI 91 538 -53.1 MOPED 141 745

HARLEY DAVIDSON 61 262 -6.2 HONDA 76 300

TRIUMPH 49 183 172.2 HARLEY DAVIDSON 65 319

YAMAHA 46 181 -17.9 YAMAHA 56 263

HONDA 46 275 -39.5 KAWASAKI 42 223

HYOSUNG 27 82 125.0 FACTORY BUILT 33 154

KAWASAKI 26 116 -38.1 PIAGGIO 21 98

FACTORY BUILT 18 98 -45.5 TRIUMPH 18 146

PIAGGIO 14 65 -33.3 KEEWAY 16 66

BMW 14 60 BMW 14 53

KYMCO 13 23 DUCATI 14 36

VMOTO 11 32 HYOSUNG 12 68

KEEWAY 11 52 MOTORCYCLE 12 47

MOTO GUZZI 9 11 KTM 8 48

KTM 8 45 SYM 7 49

APRILIA 6 28 VESPA 7 40

VESPA 4 29 APRILIA 5 20

SYM 4 22 PGO 4 23

MOTORCYCLE 4 27 BUELL 3 19

ROYAL ENFIELD 3 7 DAELIM 2 4

LIFAN 3 13 LIFAN 2 15

DUCATI 3 21 MOTO GUZZI 2 18

SACHS 2 2 VICTORY 2 5

MOTO MORINI 2 4 DAYTONA 1 1

DAELIM 2 10 FALCON 1 1

URAL 1 1 LVVTA 1 2

PGO 1 12 PEUGEOT 1 3

ITALJET 1 2 CMG 1

HUSABERG 1 2 GARELLI 1

BENELLI 1 8 GAS GAS 1

PEUGEOT 2 GILERA 3

PANTHER 1 HUSABERG 5

MV AGUSTA 1 HUSQVARNA 6

MINI 1 ITALJET 1

KINETIC 1 KINETIC 1

HUSQVARNA 3 MINI 1

GILERA 4 MOTO MORINI 3

BUELL 15 MV AGUSTA 6

MZ 1

PIONEER 1

ROYAL ENFIELD 5

SACHS 3

SILVER 1

ZONGSHEN 3

ToTAl 581 2755 -23.6 760 3598

MAKE Apr ’10

YTD ’10

MThlY % MAKE Apr ‘09

YTD ‘09

HONDA 30 141 -28.6 HONDA 42 187

HARLEY 26 155 23.8 YAMAHA 33 155

SUZUKI 21 78 16.7 HARLEY 21 137

BMW 14 55 180.0 DUCATI 20 79

YAMAHA 12 78 -63.6 SUZUKI 18 92

DUCATI 11 60 -45.0 KAWASAKI 13 50

TRIUMPH 6 46 -50.0 TRIUMPH 12 45

MOPED 6 33 -25.0 MOPED 8 26

KAWASAKI 4 34 -69.2 PANTHER 8

MOTORCYCLE 3 11 50.0 APRILIA 5 20

LVVTA 3 5 BMW 5 59

FACTORY 3 13 VESPA 4 22

VESPA 2 16 FACTORY 2 11

MOTO GUZZI 2 12 MOTORCYCLE 2 4

KYMCO 2 2 BOLWELL 1 2

APRILIA 2 19 BOMBARDIER 1 1

VICTORY 1 6 BROUGH 1 1

PIAGGIO 1 4 BSA 1 3

PGO 1 3 CAGIVA 1 4

NORTON 1 4 CUSTOMBUILT 1

MITSUBISHI 1 1 ENFIELD 1 2

LAMBRETTA 1 1 GILERA 1

KTM 1 8 LAVERDA 1 3

BUELL 1 9 MOTO GUZZI 1 9

BSA 1 1 NORTON 1 2

VELOCETTE 1 PIAGGIO 1 6

RUDGE 1 TITAN 1 1

ROYAL 3 VICTORY 1 4

RHINO 1 BUELL 10

MINI 1 VINCENT 4

MATCHLESS 1 KTM 4

MAGNI 2 INDIAN 4

LAVERDA 1 LAMBRETTA 3

LAMBRETTA 1 LVVTA 2

HYOSUNG 1 AMERICAN 2

BSA 60 HYOSUNG 1

BIMOTA 1 URAL 1

AJS 1

MAGNI 1

MV AGUSTA 1

MZ 1

SUNBEAM 1

VELOCETTE 1

ToTAl 156 869 -24.6 207 962

AF_13May.indd 20-21

5/17/10 5:31:00 PM

Contact

6 27

6 14 100.0 40.0 FREIGHTLINER 7 46

3 10100.0 KENWORTH 7 30

3 8NISSAN 6 44

3 22

5 24

2

4 82

3 10

2 12

2 7

1 11

1 2

1 2

5

3

0

1

2

2

1

140 875

Apr‘09 ‘09 YTD

19 90

3 9

3 14

2 25

1 6

1 4

1 2

1 13

1 3

0 3

0 2

0 1

0 1

0 1

0 1

0 1

0 1

32 177

industry statistics

Around the country

Used car sales - April 2010

Hamilton

4582009: 375

22.1%

Wanganui

562009: 42

33.3%

Nelson

922009: 80

15.0%

Westport

72009: 4

75.0%

Greymouth

162009: 19

15.8%

Masterton

672009: 29

131.0%

Whangarei

1172009: 100

17.0%

Wellington

6302009: 397

58.7%

Thames

362009: 28

28.6%

Blenheim

382009: 18

111.1%

Tauranga

2662009: 177

50.3%

Christchurch

8912009: 626

42.3%Timaru

702009: 32

118.8%

Rotorua

642009: 46

39.1%

Oamaru

152009: 12

25.0%Dunedin

2532009: 137

84.7%Invercargil

732009: 60

21.7%

Gisborne

282009: 40

30.0%

Napier

1862009: 96

93.8%

Palmerston North

2162009: 118

83.1%

Auckland

33382009: 2248

48.5%

New

Plymouth

1362009: 75

81.3%

Total

70532009: 4759

48.2%

12 | www.autofi le.co.nz

AF_20May.indd 12

5/19/10 7:57:39 AM

MAKE

ISUZU

MITSUBISHI

FORD

MERCEDES-BENZ

HINO

NISSAN

IVECO

New Truck Sales By Make

FIAT

DAF

VOLKSWAGEN

MAN

KENWORTH

VOLVO

industry statistics

Around the countryAround the country

Used car sales - April 2010Used car sales - April 2010

Nelson

922009:

15.0%

Westport

72009: 4

75.0%

Greymouth

162009: 19

15.8%

Plymouth

Total

70532009: 4759

48.2%

www.autofile.co.nz | 7

pent-up buying demand, because

if you have a traveller doing

100,000 or 120,000km, you can

defer replacing that vehicle for

only so long.

“And if you’ve pushed that

vehicle out to 140,000km you’re

going to need to replace it sooner

rather than later. And for those

that have a salary package or for

the managing directors, they’re

going to want to be seen to have

the new car; it gets back to the

status issue.”

Kerr is happy to see the market

coming out of last year’s low.

“Growth-wise we aren’t

predicting huge numbers,

probably only 10% on last year.

Certainly the 30% for April was

much higher than I anticipated.

Overall we’re still only at about

12%, so we’re not seeing any large

increases, but we’re seeing a slow

build-up in the market again.”

However as a consequence of

the slowdown, some dealers are

experiencing shortage of stock,

says Kerr.

“Stock levels of car companies

are at their lowest levels we’ve

seen in 30 years of monitoring.

Certainly the car companies here

have cut back on their stock,

and that I understand is causing

problems for some people who

want a particular vehicle in a

particular colour.

“If dealers are confident that

the market has got back to some

stability, we’ll see stock levels

picking up. Car companies have

been saying that this year will

be a slow climb out of the hole.

Certainly we think 2011 will be

better than 2010, because it’s

election year, you’ve got the

Rugby World Cup, and a lot of

other things happening that will

stimulate the market.”

The NZTA figures show that

the used vehicle market began

its recovery earlier than the new,

with sales beginning to grow

late last year. April registrations

of used imports were 48%

above 2009, and year-to-date

registrations are up 43% on 2009.

Kerr believes that the used car

numbers signal market stability.

“Looking at their numbers,

they’re doing relatively well.

Used cars are primarily private

purchases, so that gives the

indication that people are happy

about where things are heading

if they’re out buying a second-

hand car. It’s peoples’ perception,

rather than money in the back

pocket that leads to spending.”

However house prices and

house stability are an important

factor in influencing peoples’

purchasing decisions, says Kerr.

Housing prices remain flat, with

uncertainty about tax changes

which will we be announced in

next week’s budget.

“There are still a lot of

uncertainties in that area, and the

numbers show that the housing

market isn’t picking up to the

extent that the new car market has

in the last two months,” adds Kerr.

Overall, the signs indicate

that our economy is headed in

the right direction. Consumer

confidence remains strong, and

business confidence is at its

highest level in over 10 years.

Figures recently released by

Statistics New Zealand show

that unemployment dropped

in the March quarter from 7.1

to 6%, the first drop since the

December 2007 quarter. This is a

particularly strong result, as this

fall in unemployment occurred

across the period where seasonal

labour jobs and the Christmas

rush comes to an end.

With interest rates expected to

be raised in the next few months,

it looks as if the economy and car

sales will continue to strengthen.

See our stats pages for individual

sales figures. Autofile will provide

sector-specific coverage in the weeks

in which no new stats are released.

news

Strong sales figures for Aprilcontinued from page 1

3000

4000

5000

6000

7000

8000

9000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

New Passenger Registrations

2006 2007 2008 2009 2010

0

2000

4000

6000

8000

10000

12000

14000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Used Import Passenger Registrations

2006 2007 2008 2009 2010

0

200

400

600

800

1000

1200

1400

1600

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

New Motorcycles (>60cc, & <60cc)

2004 2005 2006 2007 2008 2009 2010

AF_13May.indd 7

5/17/10 5:29:30 PM

www.autofile.co.nz | 21

KYMCO

VMOTO 11 32 HYOSUNG 12 68

KEEWAY 11 52 MOTORCYCLE 12 47

MOTO GUZZI 9 11 KTM 8 48

KTM 8 45 SYM 7 49

APRILIA 6 28 VESPA 7 40

VESPA 4 29 APRILIA 5 20

SYM 4 22 PGO 4 23

MOTORCYCLE 4 27 BUELL 3 19

ROYAL ENFIELD 3 7 DAELIM 2 4

LIFAN 3 13 LIFAN 2 15

DUCATI 3 21 MOTO GUZZI 2 18

SACHS 2 2 VICTORY 2 5

MOTO MORINI 2 4 DAYTONA 1 1

DAELIM 2 10 FALCON 1 1

URAL 1 1 LVVTA 1 2

PGO 1 12 PEUGEOT 1 3

ITALJET 1 2 CMG 1

HUSABERG 1 2 GARELLI 1

BENELLI 1 8 GAS GAS 1

PEUGEOT 2 GILERA 3

PANTHER 1 HUSABERG 5

MV AGUSTA 1 HUSQVARNA 6

MINI 1 ITALJET 1

KINETIC 1 KINETIC 1

HUSQVARNA 3 MINI 1

GILERA 4 MOTO MORINI 3

BUELL 15 MV AGUSTA 6

MZ 1

PIONEER 1

ROYAL ENFIELD 5

SACHS 3

SILVER 1

ZONGSHEN 3

ToTAl 581 2755 -23.6 760 3598

VESPA 2 16 FACTORY 2 11

MOTO GUZZI 2 12 MOTORCYCLE 2 4

KYMCO 2 2 BOLWELL 1 2

APRILIA 2 19 BOMBARDIER 1 1

VICTORY 1 6 BROUGH 1 1

PIAGGIO 1 4 BSA 1 3

PGO 1 3 CAGIVA 1 4

NORTON 1 4 CUSTOMBUILT 1

MITSUBISHI 1 1 ENFIELD 1 2

LAMBRETTA 1 1 GILERA 1

KTM 1 8 LAVERDA 1 3

BUELL 1 9 MOTO GUZZI 1 9

BSA 1 1 NORTON 1 2

VELOCETTE 1 PIAGGIO 1 6

RUDGE 1 TITAN 1 1

ROYAL 3 VICTORY 1 4

RHINO 1 BUELL 10

MINI 1 VINCENT 4

MATCHLESS 1 KTM 4

MAGNI 2 INDIAN 4

LAVERDA 1 LAMBRETTA 3

LAMBRETTA 1 LVVTA 2

HYOSUNG 1 AMERICAN 2

BSA 60 HYOSUNG 1

BIMOTA 1 URAL 1

AJS 1

MAGNI 1

MV AGUSTA 1

MZ 1

SUNBEAM 1

VELOCETTE 1

ToTAl 156 869 -24.6 207 962

www.autofi le.co.nz | 9

Super M3 – a 300km/h screamer

new cars

BMW Is pushing the M3 towards

the 320km/h club with an uprated

version designed to double as a

road or track car.

BMW quotes 0-100km/h in 4.4

seconds and a 304km/h top speed

for the M3 GTS whose highly-

adjustable chassis allows it to be

transformed from a useable road

car into a potent circuit racer.

Increased piston stroke lifts

the V8 motor’s displacement from

3999cc to 4361cc; power rises

to 336kW at 8300rpm, and peak

torque is 40Nm greater, at 440Nm.

The gearbox is a clutchless DSG

seven-speed.

A rigidly-bolted, height-

adjustable rear subframe which

allows the rear to be lowered by

12mm for track work. The front end

can be lowered 16mm, and damper

rates and front and rear camber are

adjustable.Brake disc size rises by 18mm

at the front (six-pot callipers) and

30mm at the rear (four-pot) and the

car runs on Y-spoke 19-inch matt

black M alloy wheels.

Downforce can be adjusted

using the rear wing – based on

BMW’s 320si World Touring Car

Championship racer’s – and the

front apron’s air defl ectors.

Lightweight componentry

shaves 70kg from the kerb weight

which is now 1530kg. The roof is

Carbon-Fibre Reinforced Plastic

and side and rear windows are

polycarbonate.

Deleting the rear seats and

reducing sound insulation saves

more weight, and the thin-walled

lightweight racing exhaust system

has titanium silencers.

Driver and passenger sit in race

car seats and are restrained by

six-point seatbelts. A rollbar behind

the B-pillars is standard, with a full

rollcage optional.

BMW starts building right-hand

drive versions in January 2011, and

the car will be available in only one

colour, orange.

eVen eXtreMe performance

is going green – well, greener,

anyway.Take Porsche’s newly-

announced 911 GT2 RS, for

example. The German sports

carmaker says that though it’s the

fastest and most powerful road-

going Porsche ever, with a 462kW

(620hp) motor and a 328km/h top

speed, the GT2 RS delivers fi ve

percent lower fuel consumption

and exhaust emissions than the

standard GT2.

Porsche says it can return fuel

economy of 11.9 litres/100km

(23.7 mpg) and CO2 emissions

of 284 grams/km, despite being

67kW more powerful. Not bad

fi gures for a vehicle with race car

performance.

Its twin turbo six-cylinder

boxer motor drives the rear wheels

through a six-speed manual

gearbox and delivers 0-100km/h

in 3.5 seconds, 0-200km/h in 9.8,

and 0-300km/h in 28.9. Porche has

increased the RS’s turbo boost to

1.6 bar from the standard GT2’s 1.4.

The RS uses lighter aluminium

transverse arms and diagonal struts

in the rear suspension, carbon

fi bre reinforced bonnet and rear

spoiler, polycarbonate rear and side

windows, lightweight engine cover,

lightweight door panels, lighter

single-mass fl ywheel, and a lighter

lithium-ion battery.

Ceramic brake discs are standard,

along with upratecd springs,

Porsche Adaptive Suspension

Management (PASM) and PSM

Porsche Stability Management. Its

325/30 ZR19 tyres were developed

specially for the GT2.

Wider light-alloy front

wheels are shrouded by fl ared

wheelarches, the front and rear

spoilers are carbon-fi nished

CFR as are the bucket seats and

lightweight interior door panels.

The basic interior colour is black,

with red alcantara centre sections

in the seats.Matt black carbon-fi bre-

reinforced (CFR) components are

used extensively in the bodywork

Porsche is building only 500

GT2s and a handful will come

here. No New Zealand price has

been announced but in Britain,

the GT2 will sell for the equivalent

of $332,800.

GT2 RS ups the performance ante

AF_20May.indd 9

5/19/10 7:57:34 AM

Autofile Voice ad_June10.indd 1 8/06/10 9:18 PM