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By Pritesh Ruthun 
12h ago
Johannesburg – It’s official – dealerships can open their businesses across the country starting Wednesday, according to the latest regulations released by the government. This is a revelation to automotive-related business owners across the country, behind the worst vehicle sales month in recent history, where fewer than 600 new units were sold in April.
The government gazette dated May 12 (No. 11111, Vol. 659) states that the following commercial activities regarding automobiles are permitted during the closure of Covid-19 Alert Level 4:
New and used car trade
Wholesale of new and used cars by OEMs and importers
Export and import of all categories of automobiles through national ports of entry (under strict guidelines)
Exchange purchases, car rental scheme returns, and used car wholesale.
It is also noted that in order to facilitate the sale of vehicles under Alert 4 blocking level and the smooth functioning of the supply chain, companies related to the sector, such as road test and evaluation points, will be opened for business. .
A calculated approach
It is important to note that vehicle sales will be allowed under the following gradual approach as described in the bulletin:
Phase one: May 13 – 23
All used car dealers and outlets will be able to operate with up to 30% employment subject to a maximum of one employee or customer for every nine square meters of space: as long as small businesses can operate with a minimum of five employees.
Most car sales will be done remotely via the Internet, e-commerce, or phone.
Personal contact must be kept to a minimum and only by appointment in very strict conditions of hygiene and social distancing, and in accordance with the Regulations.
Test drives will be done by appointment only.
To facilitate the sales process and maintain social distancing, when possible, electronic or virtual signatures will be used for financial and insurance documentation.
Auto auctions for all categories will be conducted online in accordance with the CPA Regulations.
Phase two: May 25 – June 6
During Phase Two, all used car dealers and outlets will be able to operate with up to 60% of the staff.
A limited number of customers will be allowed to enter the dealership under strict hygiene and social distancing conditions, and remote vehicle sales will continue for those potential customers with access to online services.
The gazette also states that test drives can be organized on-site by appointment only and under very strict hygiene conditions, including fully sanitized cars for customers to experience.
Pick-ups and deliveries of fully disinfected cars on-site will be allowed under strict hygiene conditions with the option of home delivery of fully disinfected cars, if possible.
Auto auctions for all categories will be held online in accordance with CPA Regulations and limited physical contact will be allowed for viewing prior to the auction under very strict hygiene conditions, including fully disinfected cars.
Phase three: June 8, 2020 until alert level 4 is raised
All used car dealers and outlets will operate at up to 100% employment and on-site customer contact will be allowed, but will be kept to a minimum, while promoting remote vehicle sales.
Test drives can be organized on site by appointment only and under very strict hygiene conditions, including the provision of fully disinfected cars for customers.
On-site pick-ups and deliveries of fully disinfected cars will be permitted under strict hygiene conditions, with the option of home delivery of fully disinfected cars if possible.
Auto auctions for all categories will be conducted online in accordance with CPA Regulations and limited physical contact will be allowed to view them prior to the auction under very strict hygiene conditions, including fully sanitized cars and number limits of people at auctions to Maintain a distance of at least 1.5m between people at all times, including when entering or leaving an auction.
Dealer rules
The gazette states that all used car dealers and outlets must ensure that limited teams of employees and contractors access dealerships to prepare for commissioning in accordance with Covid-19 risk mitigation measures.
A cleaning schedule must be maintained and all surface areas and keys and high traffic areas of dealers and automotive related businesses must be disinfected regularly. It is important to ensure that all staff and clients wear a cloth face mask or homemade item that covers the nose and mouth. Those without a face mask of some kind should be denied access.
In the event that a dealership employee hires Covid-19, that employee will not be able to return to work until they have recovered, while a mandatory evaluation will be conducted of all employees when they arrive to work daily to keep customers safe. .
It is also important to note that a record of dealership visitors will be kept and that children are not allowed to visit dealerships during Level 4 alert closure. You cannot refuse to sign the registration if you visit an auto dealer.
What about service and maintenance?
According to the government gazette released Tuesday, you can reserve an essential service or repair and have your vehicle inspected at your dealership under very strict guidelines. For example, if your vehicle requires a warranty repair, it can be addressed if you make a reservation and follow the dealer’s guidelines.
Only mechanical repairs and maintenance will be performed, and cosmetic repairs will not be addressed unless they affect safety or are critical to the operation of your vehicle.
The full official gazette outlining the exact stipulations for Alert Level 4 Auto Sales and Maintenance can be viewed at www.gpwonline.co.za.
TO VISIT www.drive360.co.za buy a new or used car today. You can contact distributors directly through our platform to see if they are open and set up a test drive.
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