Israeli Transport Ministry Extends Car Import License for Carasso Motors Until 2030

The Israeli Ministry of Transport plans to extend the import license for the Chery Motors brand, held by Carasso Motors (Frisbee), until the end of 2030. The license was originally set to expire at the end of this month. This multi-year extension comes despite a February recommendation from the Competition Authority to renew the license for only one year to assess the competitive status of Renault-Nissan vehicles, also imported by Carasso Motors.

The Transport Ministry’s competitive review process, conducted before renewing import licenses, is part of a broader initiative launched years ago with the Ministry of Economy to examine competition in the Israeli automotive market. An inter-ministerial committee submitted recommendations last year, including a temporary measure to limit import activities of major importers holding over 10% market share. The committee advised against granting new licenses or renewing existing ones without consulting the Competition Authority.

So far, the Competition Authority has issued several opinions recommending against extending import licenses for brands under large import groups such as Calmobile, Talcar, and Union Motors. These licenses have been extended only in short three-month increments pending a comprehensive decision. Industry sources view Carasso Motors’ long-term license renewal as a precedent and a policy shift that may pave the way for other import licenses currently in limbo.

An industry insider noted that failing to renew active licenses could harm not only the brands but also tens of thousands of customers who own vehicles from these brands, potentially causing a sharp decline in their value. Additionally, this week the Competition Authority published a draft consent order with Carasso Motors following concerns that the company’s practices hindered parallel import vehicles from receiving service at authorized garages. The order requires Carasso to pay over 11.5 million shekels to the Treasury and commit to measures ensuring parallel import vehicles can access authorized service efficiently and fairly, including streamlined procedures for registering such vehicles for service upon their arrival in Israel.