Wednesday, April 5, 2017

CMTA concerned over vehicle assembling scams

The Ceylon Motor Traders’ Association (CMTA) said it is concerned over the recent decision by the government to allow assembling of motor vehicles locally by using imported used spare parts.

This move, the Association representing manufacturers of global automobile brands in Sri Lanka says will jeopardise the safety of motorists and also contravenes an existing Customs regulation, which only permits the import of vehicles that has been used upto a maximum of three years, from the date of first registration.

The move also contradicts the Government’s policy,which encourages the re-export of motor vehicles that has been used for a period of maximum of five years in Sri Lanka to reduce environmental impact.

The danger of allowing this to go ahead is that the unsuspecting motor vehicle buyer will not know the year of manufacture of these so-called assembled vehicles and a car manufactured ten years ago can be issued with the latest registration number plates from the RMV.

A ten year old car will also not have the relevant spare parts necessary for repairs and maintenance of a vehicle as the guarantee of spare parts from the manufacturer is for only valid between 10 to 15 years from the date of manufacture.

In the event of a major accident, the Engine number and the Chassis number would not be able to be related to manufacturers’ records, thereby even causing security concerns. The status of registration will also be ambiguous and will cause further complications legally.

The Association also believes such a move would create environmental and safety issues and also contradicts the government’s long-term policy of standardising vehicles with brand-new vehicle imports.

Any decision taken in extending the life of obsolete vehicles assembled from used spare parts could be a strain on the country’s balance sheet. The CMTA requests the intervention of President Maithripala Sirisena and the Prime Minister to take appropriate action to rectify the issue.

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