Australian car owners are waiting six to eight weeks for repairs, refunds or loan vehicles under warranty from new overseas brands, according to a report commissioned by the Australian Automotive Dealer Association (AADA) and reported by ABC News.

More than one in three cars sold in Australia were hybrid or electric in June, and available models have grown to more than 150 across more than 40 brands. Many of those brands are new to Australia and, according to the AADA, unfamiliar with local consumer protection obligations.

The report, authored by University of New South Wales emeritus professor Jenny Buchan, found that Australian Consumer Law places legal responsibility for defect remedies on dealers while practical control over repairs sits with manufacturers. That gap has real consequences. One de-identified case involved a customer with two disabled children left without a vehicle for more than six months due to engine trouble. The manufacturer, described as “new to Australia”, stopped responding to emails entirely until the dealer threatened to terminate its dealership agreement, at which point the company provided a brand-new $55,000 loan car and resumed communication.

For tradies who depend on a vehicle to get to site, that kind of delay isn’t an inconvenience. It’s lost income. EV batteries are a particular problem: they can’t be airfreighted, so sea freight is the only option. Some dealers are stockpiling spare batteries at their own cost just to avoid months-long waits. The report also found some manufacturers require prior approval for every warranty claim, with issues over $5,000 at one brand needing an eight-week sign-off from headquarters in China. Failure to get pre-approval, even for a minor repair, results in automatic denial of reimbursement for the dealer. Language barriers add further delays.

AADA chief executive James Voortman told ABC News the current framework isn’t working. “Dealers feel like the meat in the sandwich,” he said, because they’re legally required to fix problems but often can’t get reimbursed by manufacturers for doing so. He’s calling on the federal government to update Australian Consumer Law to reflect a market with more brands, more software complexity, and more offshore decision-making. Without changes, the report warns some dealers may stop offering loan cars or refuse to service certain vehicles altogether, leaving owners with fewer options.

For anyone buying an EV or a tech-heavy ute as a work vehicle, check whether the manufacturer has local parts stock and an Australian-based support team before signing. If you’re also thinking about home charging, EV charger installation costs vary significantly by state and setup. The ACCC has information on consumer guarantee rights under Australian Consumer Law, including what you’re entitled to when a vehicle has a major failure.

Frequently asked questions

What are my rights if my EV is under warranty and repairs are delayed?

Under Australian Consumer Law, the dealer is legally responsible for providing a remedy, repair, refund or replacement, when a vehicle has a major failure. The ACCC has information on consumer guarantee rights, including what you’re entitled to when a vehicle has a major failure.

Why are EV battery repairs taking so long in Australia?

EV batteries can’t be airfreighted, so sea freight is the only option. Some dealers are stockpiling spare batteries at their own cost to avoid months-long waits while parts ship from overseas.

Can a dealer refuse to service my EV?

The AADA report warns that without changes to Australian Consumer Law, some dealers may stop offering loan cars or refuse to service certain vehicles altogether, leaving owners with fewer options.

Sourced from ABC News, AADA, University of New South Wales. Original article.