Fuel-crisis advice for dealers
The Imported Motor Vehicle Industry Association (VIA) says dealers should talk to their customers if the type of petrol going into their cars changes in the future.
The coalition announced last month it will temporarily allow fuel that meets Australian specifications into New Zealand to help strengthen domestic “resilience” for up to 12 months.
VIA’s view on the government’s decision is that pragmatism is needed, but it wouldn’t want to see standards relaxed for an extended period. “Maybe three months or so would be okay,” says chief executive Greig Epps.
“If we need to accept higher sulphur fuel for an extended period, people should be taking vehicles in for regular maintenance inspections to ensure emissions systems are working properly.
“We wouldn’t expect excessive damage to engines from higher sulphur fuels, but it will advance wear and tear on emissions systems of many older models. Newer models have direct-injection engines and other systems that may be more affected by build-up and residue.”
Epps, pictured, adds dealers will need to talk to customers about the impact government decisions may have. “If a vehicle runs rough on higher sulphur fuel, it’s best to let the consumer know it’s not a problem with the car but the environment we’re in with standards that don’t completely meet vehicle settings.
“Once we get into relaxed sulphur limits, people need to understand what’s going on to minimise friction if they take a car back to a trader concerned about the way it’s running.
“The country still has 40-odd days of petrol available [at the end of March]. We’ve still got supply coming and the alignment with Australia’s relaxation of fuel standards is a last resort.
“New Zealand will be looking to secure the level of fuel we normally do. The government’s move means that if we must take a lower quality fuel for supply reasons, it has some wriggle room to keep supply going at different points.”
As for the risk that prices for used EVs from Japan will jump, Epps says it’s the market doing what it does and long-term benefits need to be considered.
“While it might be slightly more expensive to get an electric car now, customers need to calculate whether they want to continue to pay higher prices for petrol because we don’t know how long this conflict is going to last and how long price rises will stay on fuel.
“If you can finance the extra cost to get into an EV, you may well make up for it in reduced fuel costs over time.”
Check out the April issue of Autofile magazine for more of Epps’ views on how the conflict in the Middle East is affecting New Zealand.
As for the domestic automotive market, first-time registrations of used-imported battery EVs here climbed by 373.1 per cent in March when compared to the same month of 2025 and plug-in hybrids (PHEVs) rose by 86.4 per cent. Sales of fully electric new passenger EVs jumped by 284.9 per cent and those of new PHEVs increased by 274 per cent.
Overall, sales of used-imported passenger vehicles rose by 13.3 per cent and new cars by 19.7 per cent last month. New commercials were up by 39 per cent with used commercial vehicles climbing by 17.3 per cent.
