May 26, 2023
Earlier this month, the Advocate General at the European Court of Justice (ECJ) ruled that motor vehicle manufacturers must disclose VINs and all their associated data to independent operators. This decision is a significant win for independent aftermarket businesses, leading to cost, time and administrative savings.
Independent repair shops have been facing challenges accessing the data associated with VINs for many years. Vehicle manufacturers prefer to withhold access to repair and diagnostic information, software updates, and other technical data to monopolise the repair and maintenance of vehicles they produce.
Independent repair shops often have to buy expensive diagnostic tools or pay a subscription of anywhere between £1,200 to £3,000 per year per manufacturer to access the proprietary data needed to service and repair different makes of vehicles. Not all manufacturers even make this data available to independent repair shops via a subscription, creating barriers to entry for small repair shops and disadvantaging independents in the industry.
Vehicle manufacturers were previously required to share the technical information, training and data their authorised dealerships had access to with independent repair shops and other aftermarket operators. Mandated by the EU in Block Exemption Regulation (BER) regulation, 2002, this enabled independent operators to service and repair vehicles to the same standards as authorised dealerships at a lower cost.
However, in 2010, the European Commission revised the BER regulation in light of changes in the automotive industry and technology. The updated regulation, the Motor Vehicle Block Exemption Regulation (MVBER), allowed vehicle manufacturers to provide independent repairers with much less technical information and training data than their authorised dealership counterparts.
This backward regulatory move reduced competition, and marketplace choice, resulting in higher consumer prices. Independent repairers and parts suppliers have found it more challenging to compete with authorised dealerships under this newer regulation. Ongoing debates have ensued between vehicle manufacturers, independent repairers, and regulators on sharing information. Independents have been lobbying against this move to protect their ability to supply parts and service vehicles.
On May 4, 2023, the Advocate General at the European Court of Justice published its opinion in the Gesamtverband Autoteile-Handel e.V. v Scania CV AB case, ruling once again that motor vehicle manufacturers have a legal obligation to disclose VINs and all their associated data to independent operators. Vehicle manufacturers can no longer refuse to provide access to VINs for data protection reasons. This decision will significantly benefit independent repair shops.
The recent judgement by the Advocate General at the ECJ on open access to VIN data from vehicles is an essential step towards making it easier and more affordable for independent repair shops to service and repair vehicles and ensuring a level playing field between manufacturer dealership groups and independent repair shops.
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