South Africa’s Automotive Sector Demands Vehicle History Transparency
The South African automotive industry is intensifying its push for a comprehensive vehicle history system, aiming for a fully transparent, cradle-to-grave record. Experts believe the absence of such a system is hindering efforts to improve safety, build consumer trust, and ensure accountability across the automotive value chain, with many considering the used-car market a “disaster” in South Africa.
For years, the South African Motor Body Repairers’ Association (SAMBRA), an affiliate of the Retail Motor Industry Organisation (RMI), has been at the forefront of advocating for a comprehensive and accessible Vehicle Salvage Database (VSD). SAMBRA emphasizes that this essential information should be readily accessible to consumers, dealerships, financial institutions, and repair shops, not just the insurance sector.
According to Juan Hanekom, national director of SAMBRA, “Addressing this issue necessitates a comprehensive approach. Legislation that defines vehicle code statuses and integrates them into the existing eNaTIS system is crucial for establishing a transparent vehicle history database accessible to all involved.”
While the current system, which relies on the South African Insurance Industry Association Vin Look-up Tool, has shown some progress, it only addresses a fraction of the overall problem.
“Numerous vehicles categorized as Code 2 (Used) in eNaTIS records may have been involved in serious accidents or deemed beyond economical repair by insurers. These vehicles are still being sold through online platforms, deceiving consumers and creating safety hazards,” Hanekom explains. He further states that the current vehicle testing regime is not rigorous enough.
Julian Pillay, National Director of the Vehicle Testing Association (VTA), shares this sentiment, highlighting that even a roadworthy check is not a foolproof safeguard. “We can only check for visible signs of damage, but if substandard repairs are well-hidden, it’s challenging to detect accident damage within the constraints of a roadworthy inspection. The 174 printouts used to correlate vehicle information (engine and chassis numbers) from NaTIS also do not include the vehicle’s status code, so we are limited to looking for signs like jig marks, gaps in body panel alignment, and evidence of welding or heating repairs,” Pillay says.
SAMBRA has previously recommended a revised vehicle coding system based on the severity of the damage. This includes:
- Code A: Irreparable; must be scrapped.
- Code B: Non-repairable body but with salvageable parts.
- Code N: Non-structural damage; can be repaired to a roadworthy condition.
“The infrastructure for such a system already exists in South Africa. We simply need to legislate the codes,” Hanekom says. This approach would ensure crucial vehicle information is available at every stage of the value chain, preventing poorly repaired or written-off vehicles from being resold or refinanced without proper disclosure.
Over the coming months, SAMBRA plans to engage with stakeholders to bring this vision to fruition. The year 2025 is seen as a critical period for South Africa to implement a system that safeguards consumers and fortifies the automotive sector.
