Concern about imported cars

Press, 28 December 1985, Page 16

Concern about imported cars

PA Auckland South African-built BMW and Mercedes Benz cars — due in New Zealand soon — are each expected to sell for up to $20,000 less than Ger-man-made models.

The cars, a shipment of about 400, had been bought cheaply because of the weakening value of the South African rand on foreign exchange markets, reported the “Auckland Star” newspaper. . They would be shipped here by four companies which were not official BMW and Mercedes importers.

Although the cars have the same or similar model demarcations as German ones, the newspaper said

they differed considerably. BMW and Mercedes dealers said they were worried that stocks of parts they carry would not fit the imports. Four companies, with the Palmerston North confectionery millionaire, Mr Philip Crawshaw, as their spokesman, were believed to be behind the move to import $8 million worth of the luxury cars. Mr Crawshaw would not comment on the proposal. He has only indicated that the companies plan to import a large number of new cars of a type already distributed through an official franchise-holder. He said there were no plans to set up parts or service back-up as the pre-

sent importers of the cars would be able to cope better with that aspect. The companies reported to be involved in the importation are Spencer McDonald, Ltd, Sterling Motors, Ltd, Cuba Street Properties,' Ltd, and Highland Farms, Ltd.

BMW New Zealand planned to place newspaper advertisements in January, warning prospective customers against buying the South African-built cars.

Mr Tony Mollison, the New Zealand general manager of BMW, predicted big problems with parts and service back-up : for the South African-built cars.

“Parts back-up will be a real problem,” he said. “We

have already struck a couple of -i . privately imported .South. African cars and very few German parts fit. We have to get everything in from South Africa individually. “The transfer of any warranty to us on a new car is highly questionable. People may buy the cars in good faith and expect Al service which our dealers may not be able to provide.” About 400 cars were expected to arrive in Napier in February and would sell for about $20,000 less than the German-built cars. The main differences in the cars arise from the high local content regulations imposed by the South African Government to protect its motor industry.

Main specification differences were one result. According to Cable Price’s marketing manager, South African-built Mercedes Benz cars would not be assembled to the same high quality of the German cars. Among the models expected to be imported is a BMW 332 which has a 3200 cc engine inserted in a 3-series bodyshell. The largest German-built 3-series BMW sold in New Zealand is the 323 which has a 2300 cc engine.

Most South African-built 5-series BMWs still had the old El2 bodyshell last produced in Germany in 1982:

All German 5-series cars coming to New Zealand had the E2B bodyshell.