New Zealand’s vehicle market is entirely dependent on imports. With no local vehicle assembly facilities, every new car on Aotearoa’s roads is imported, making regulatory changes in this area impactful for the entire automotive industry.
Recently, New Zealand introduced new import regulations for 14-seat vans, reclassifying them under a different vehicle category. This shift is already causing ripple effects across the market, influencing how these vehicles are imported, marketed, sold, and modified. In this article, we’re exploring what’s changed, how these changes affect importers, and the broader implications for the market.
What Has Changed?
Until now, 14-seat vans like the popular Toyota Hiace were typically classified based on their original Japanese deregistration certificates, which document the seating capacity. The New Zealand Transport Agency (NZTA) would use this certification to classify the vehicle under the appropriate category based on seating and weight:
• MD-1 Vehicles: 10-12 seats.
• MD-2 Vehicles: 13 or more seats.
While both MD-1 and MD-2 vehicles have a weight classification below 3.5 tonnes, the distinction has significant implications for importers and distributors. Many importers have been removing occasional or wheelchair-accessible seats from 14-seater vans to reclassify them as 12-seaters, which would allow them to be rated as MD-1 instead of MD-2. This re-rating practice has been standard for years.
However, under the new regulations, importers are no longer allowed to reclassify these vans by removing seats. Instead, they must first certify the vehicle as an MD-2 – based on the full 14-seat capacity – before considering any re-assessment. This change is causing considerable disruption in the industry.
What’s the Impact of This Change?
For vehicle importers, this change represents a significant increase in compliance costs. Where previously a van could be certified once after removing seats to meet MD-1 criteria, it now requires two rounds of compliance checks – first as an MD-2 and potentially again as an MD-1. At a minimum, this doubles the cost of certification, impacting both the price and availability of these vans on the market.
This added expense and complexity affect not just importers but also the end users of 14-seat vans, including:
• Commercial Crews: These vans are ideal for transporting large work crews along with tools and equipment.
• Schools: Schools frequently use 14-seaters for field trips and shuttle services, as these vans offer a flexible alternative to larger buses and don’t require specialised licences.
• Large Families: For big families needing reliable transport, 14-seater vans have long been a practical option.
With increased compliance costs and longer processing times, these vehicles are likely to become more expensive and harder to access. Major importers are currently working with compliance service providers and the Ministry of Transport to mitigate these effects, but a temporary shortage of 14-seat vans on the market is expected in the coming months.
What’s Next for the 14-Seat Van Market in NZ?
For New Zealand’s vehicle industry, this regulatory change is a relatively small adjustment, but for those who rely on 14-seat vans, the impacts are tangible. Construction companies, schools, and large families may all feel the pinch as prices rise and availability tightens.
As the industry adapts to these changes, importers and compliance providers are likely to push for further collaboration with regulatory bodies to find solutions that minimise costs and delays. In the meantime, those looking to purchase or replace a 14-seater van might want to plan ahead to account for potential shortages or price increases.
In summary, New Zealand’s updated import regulations for 14-seat vans are reshaping this segment of the vehicle market. While the effects may stabilise over time, the transition period is likely to be challenging for many Kiwis.