Assembling and importing new vehicles: highlights from technical specifications

new cars Algeria


The new technical conditions governing the conditions for import, assembly and production of new vehicles have been published in the latest issue of the official journal.

Points to remember in the new specifications mainly apply to cars that are allowed to be imported, Article 29 stipulates that future dealers can no longer import cars with diesel engines:

“Only new vehicles in the category of passenger cars equipped with gasoline, electric, hydrogen, hybrid engines are allowed to be imported by dealers: gasoline/electric, gasoline/hydrogen or LPG/CNG, or tending thereto, and gas emissions comply with applicable legislation and compliant”

Article 4 prohibits multi-brand concessionaires for the conditions of entry into the concessionaire activity. “The implementation of the activity of a dealer of new motor vehicles must be concluded with a concession agreement that binds the dealer to the sole concessionaire manufacturer”, the text states.

“The applicant must obtain a prior permission to complete the steps for the realization of the investor’s investment”, Article 5, and Article 6 defines the content of the case for obtaining this preliminary permission.

Among the documents required for the pre-authorization request is “submission of an exclusive concession agreement or memorandum of agreement concluded between the concessionaire manufacturer and the applicant to operate as a new vehicle concessionaire. the minimum term is five (5) years. »

The effective implementation of the activity of a dealer of new motor vehicles is conditioned by the approval given by the Ministry of Industry regarding the submission of the document. Approval issued by the Minister responsible for industry valid for a period of five (5) years.

Regarding the conditions and procedures for the operation of new vehicle dealers, according to the order, the authorized dealer “must have the appropriate infrastructure for exhibition, after-sales service and storage in accordance with the legislation and applicable regulations.” .

An authorized dealer, according to the same text, must have “personnel with the required qualifications and/or professional experience in the fields of marketing and trade related to the vehicle, supported by relevant documents. »

It is also required to “provide ongoing training on time and
development of employees and distribution network. The concession agreement must specify the training plan provided by the concessionaire manufacturer. »

As part of a distributor network, an approved dealer is required to “have its own infrastructure and/or use approved agents to ensure proximity to and fulfill its commitments to its customers. »

Thus, by the end of the first year of receiving the approval, the authorized dealer must be established “at least at the level of twenty-eight (28) provinces spread over the national territory. »

It must have “a sufficient stock of original spare parts and accessories approved by the contracting manufacturer to cover the warranty and after-sales service provisions of the vehicles. »

As for equipment, new imported vehicles must be equipped with at least anti-lock braking system (ABS), speed limiter or cruise control device, two (2) front airbags for vehicles with a cylinder capacity of more than 1200 cm3. driver and passenger), headrests for the front and rear seats, defrosters and demisters for the front and rear windows, as well as a child seat protection system (ISOFIX).

The text of the warranty states that the authorized dealer “undertakes the handling of vehicles with construction defects, visible and/or hidden defects, as well as the replacement of defective spare parts and accessories. “If the defect is proven to be ‘irreparable’, it ‘proceeds to replace the vehicle or refund its price.’

According to the decree, the authorized dealer “must guarantee the delivered vehicles on the condition that the customer undertakes to carry out all periodic technical inspections at the level of the authorized dealer network in this context. the licensing manufacturer’s instructions. »

When the immobilization of a passenger, light commercial vehicle or motorcycle for repairs is covered by the warranty, an authorized dealer is required to “provide a replacement vehicle to the customer” for more than 48 hours. » For industrial vehicles, it requires the customer to pay the equivalent of the loss of earnings caused by this inaction, supported by documentary evidence. »

The text also states that the authorized dealer “undertakes to ensure the availability of all references of original spare parts and accessories or quality approved by the concession manufacturer at the level of his shop. »

In the event of termination or breach of contract, the authorized dealer is required to “ensure the availability through the distribution network of original spare parts and accessories or of quality approved by the manufacturer-licensor for a minimum of five periods”. (5) years. »

The decree states that the sixty (60) month warranty for industrial vehicles, except for trailers, semi-trailers and special purpose vehicles, covers a distance equal to eighty thousand kilometers (80,000 km) or more.

One hundred thousand kilometers (100,000 km) within sixty (60) months for passenger cars and light commercial vehicles, and eight thousand kilometers (8,000 km) within thirty-six (36) months for motorcycles.

In the case of trailers, semi-trailers and special purpose vehicles, the warranty is applied by the licensing manufacturer.

“Conditions for the implementation of the guarantee must be clearly reflected in the guarantee certificate, which is defined in accordance with the legislation and the applicable rules and is mandatory for the customer when the vehicle is handed over. The warranty is paid by the authorized dealer without additional payment to the customer,” the decree states.

For assembly and production of new cars

The text states that “carrying out the activity of building passenger cars and light commercial vehicles is open to manufacturers who own vehicle brands, acting alone or jointly by forming a company under Algerian law. »

The implementation of the vehicle construction activity “from the date of approval (…) is subject to the obligation to achieve a minimum degree of integration which develops as follows: at the end of the 2nd year: 10%; at the end of the 3rd year: 20%; at the end of the 5th year : 30%”, Article 5 states that “the methods of calculating integration rates are determined by the inter-ministerial decree of the ministers responsible for industry, finance and trade. »

The technical conditions contain a chapter on the preferential regime applied to the construction of vehicles and the terms and conditions of its granting. Thus, Article 17 states that “the vehicle manufacturer benefits from the preferential tax regime applied to raw materials, components, assemblies, semi-assemblies and accessories used in the construction of vehicles, imported or locally obtained. »

In the technical conditions regulating the construction of motor vehicles, it is envisaged that the vehicles to be produced “meet the safety and environmental protection standards stipulated by the current legislation and normative legal acts”, “to be equipped with devices that meet the technical conditions in accordance with the technical conditions”. safety prescribed by applicable laws and regulations. »

“Original equipment parts must be warranted by the brand-owning manufacturer or its authorized suppliers. In case of manufacturing defect or locally procured assemblies, sub-assemblies and accessories not meeting the specifications required in the matter mentioned, their replacement shall be done at the expense of the brand owner manufacturer or approved suppliers. The new text states that “imported assemblies, sub-assemblies and accessories intended for original equipment may not be resold as-is under any circumstances. »

Export vehicles at the end of year 5

According to the decree, the manufacturer of passenger cars and light commercial vehicles “must carry out export operations of vehicles at the end of the 5th year after receiving approval (…)”.

“The manufacturer undertakes to ensure the availability of spare parts and accessories at the level of its distribution network. In the event of discontinuation, the manufacturer is required to provide through its distributor network for a period of at least five (5) years the brand owner’s original spare parts and accessories approved by the manufacturer or of equivalent quality.” , shows the same decree.

And it should be added: “The manufacturer, at his own expense, for the benefit of the customer, shall ensure the warranty of the delivered vehicle in accordance with the regulations in force”, “delivered vehicles against construction defects and visible defects and / or hidden” and “in the model of vehicles and or to initiate recall campaigns when design and safety defects are discovered in a batch.

That text states that “the manufacturer is required to have a special research, development and innovation unit, especially for the improvement of production processes, know-how and technology transfer. »

Cars with diesel engines will not be produced

The manufacturer of passenger cars and light commercial vehicles “must install a stamping, welding and painting line at the end of the third year from the date of approval or, if necessary, use a local subcontractor for these operations.”

It also requires “the production of vehicles from local production bodies at the end of the third year from the date of approval” and “at least the inclusion of a light commercial vehicle model in the range of locally produced vehicles”.

The manufacturer is required to “not produce passenger cars equipped with diesel engines” and to “include at least one electric vehicle model in its range” from the 5th year from the date of obtaining the license. “confirmation”.

It should also “mobilize its subcontractors and foreign equipment manufacturers to locate in Algeria to realize investments in the production of assemblies, sub-assemblies and car accessories. »

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