Australians could be able to import new cars from overseas under a plan being considered by the federal government.
Cabinet has agreed to look at removing the restrictions preventing buyers from bringing new vehicles into Australia - but it's not inclined to do the same with used cars.
Cars would have to comply with global safety standards and be right-hand-drive, the minister responsible, Jamie Briggs told ABC radio on Thursday.
"The real issue here is: why regulate if you're now part of a global regime?" the Assistant Minister for Infrastructure and Regional Development told ABC.
"We allow people to purchase all sorts of goods from overseas on the internet. There seems no reason why we shouldn't allow people to buy new cars from overseas markets if there's an opportunity to do so."
But some are worried deregulating the market could put car dealership jobs at risk.
"The car dealership industry in this country has grave cause for concern about that matter, there'll be job losses as a result of this decision," Labor's Kim Carr said.
The Productivity Commission and Harper Competition Policy Review also recommended relaxing the "restrictions" on used car imports.
"A gradual relaxation of these restrictions would be expected to yield benefits in the form of lower prices and/or improved features and greater choice for vehicle buyers," the Productivity Commission reported.
But Mr Briggs said there were no plans to deregulate the used car market.
The government welcomes feedback on the plan and will make a decision at the end of the year.
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