Australian motorists will soon be able to save money through bypassing car dealers to source new cars from overseas.

The Federal Government announced on Tuesday that parallel imports of new cars are part of planned changes to the Motor Vehicle Act that will go to parliament this year.

The move is likely to benefit a small fraction of Australia's 1.1 million new car buyers, with wealthy luxury car owners and niche enthusiasts set to benefit most from the changes that allow consumers to source new or second-hand cars and motorcycles from foreign markets as long as they meet strict requirements.

Cars must be right-hand-drive, less than 12 months old and have less than 500 kilometres on the odometer. Vehicles must initially be sourced from Japan or the United Kingdom, though other right-hand-drive markets such as New Zealand, South Africa and India may be considered in the future.

Frustrated by local delays, buyers will soon be able to source their own example of performance cars like Nissan's GT-R Nismo. Photo: Drive

The changes will take place from 2018 if approved by the Parliament and Senate.

Minister for Major Projects Paul Fletcher says motorists will benefit from the deal.

"These new arrangements however will offer consumers greater choice," he says.

"If a manufacturer chooses not to sell a particular model in Australia, a consumer may now have an option to source this model overseas."

That opens the door for enthusiasts to buy special models such as Subaru's more potent WRX STI S207 and Nissan's flagship GT-R Nismo.

Other models only available overseas include hybrid and electric cars considered too niche by Australian importers. Popular cars such as the Toyota Corolla or Subaru Outback are unlikely to prove cheaper if personally imported from Japan or the UK once shipping costs and taxes are factored in.

Parallel imports would give buyers access to cars currently unavailable in Australia, like the Nissan GT-R Nismo. Photo: Drive

But there is an opportunity for drivers of high-end prestige cars to save money. Porsche's new 911 is priced from ¥13,091,000 ($161,000) and £76,412 ($156,000) in Japan and the UK, while Australian pricing starts from $217,800.

Similarly, the Mercedes-AMG GT sports car is £97,200 ($199,000) drive-away in the UK and closer to $315,000 on the road in Australia. While there are often differences in specifications between countries, some top-end luxury models give potential customers plenty of wiggle room to pay for import costs on a car sourced overseas.

Those who do will miss out on warranties and other consumer protections.

Though the new vehicle parallel imports system works in theory, it may be difficult to implement in practice. Most car companies do not deal directly with the public, and they place restrictions on dealers preventing them from selling cars to customers in foreign markets.

Porsche Australia has slammed the federal government's new parallel import plan as short-sighted, claiming the measure will expose the market to unsafe vehicles and insufficient consumer rights.

Porsche Australia spokesman Paul Ellis said the government would be better off scrapping the controversial Luxury Car Tax if it was serious about importing cheaper vehicles to the country.

"This move goes against everything Malcolm Turnbull has done since he came to power," he said. "There's been a lack of consultation, a lack of working together and a lack of harmony. There are political motives in this decision, it's not a good decision and if the government was fair dinkum about making cars cheaper, they'd get rid of the Luxury Car Tax

The Mercedes-AMG GT is significantly cheaper overseas. Photo: Supplied

"Overnight you'd take $45,000 off the price of the [$252,800] Carrera S. The government makes more money out of every Porsche Carrera S sold than what we do as the importer and what the dealers do as the retailer combined."

Ellis called for an urgent re-think of the government's proposal, claiming the move is unlikely to expose consumers to pitfalls.

"If someone chooses to import a vehicle from another market, they won't get any warranty from Porsche Australia. We only support warranty on vehicles we officially import, distribute and retail in Australia," he said.

Enthusiasts will soon have more access to Japan-only models such as the Subaru WRX STI S207.

"If a manufacturer has a recall and a safety campaign on a motorcar, and you cannot identify a privately imported motor vehicle, that car isn't covered.

"The consumer is at serious risk, both with recalls and especially with safety. The current structure is there for a reason, it's there to protect the consumer and the product."

Ellis said the parallel import plan could also affect used car values in Australia. Porsche enthusiasts are likely to be among those hit hardest by the measure. Currently, Porsche 911 residual values are among the highest of the sports enthusiast market.

"There are all sorts of ramifications," he said. "Even things like the air-conditioning - the vehicles brought into Australia by Porsche are designed with our hot climate in mind. The government is saying buyer beware - I'm not sure the buyer is going to be that aware."

The government has not applied the parallel imports scheme to second-hand cars, siding with the car industry's security and safety concerns.

But it will be easier for enthusiasts to import classic and enthusiast vehicles from 2018, when local manufacturing of cars has concluded. A $12,000 tax on imported used cars will be abolished, as will the need to fix physical compliance plates to low-volume cars such as Nissan's Cube and Skyline GT-R.

Michael Bradley, chief executive of the Australian Automobile Association, says the parallel imports deal is "a big win for consumers and a decision that will open up choice, help put downward pressure on prices, and increase competition within the Australian car market".

"The AAA welcomes these changes and urges all sides of politics to agree to the legislative changes required to make them a reality," he says.

Car companies are represented locally by the Federal Chamber of Automotive Industries, which is "extremely disappointed" in the government's decision.

"In its announcement today, the Government failed to acknowledge that Australians who personally import a vehicle made for another country may end up with a vehicle that does not meet their needs or operate as required in Australian driving conditions," FCAI chief Tony Weber says.

"If the Government is so concerned about car affordability, it should look at the taxes and other government charges that make up around 20 per cent of the price of new cars in Australia. Fixing those tax arrangements, including the poorly-designed Luxury Car Tax, is a better and more targeted way of addressing car affordability than a change that will only ultimately hurt consumers."

- with Sam Charlwood