Australian Auto Industry “New Direction in the 80s” - Keynote Address 811370
Even though the population of Australia falls short of the 15 million mark, a start-lingly small number when considering its land mass of three million square miles, it supports five car manufacturers and 23 importers of built up vehicles whose combined annual sales volume does not quite reach 500,000 passenger vehicles. This industry is currently controlled and protected by the Australian Government’s “Passenger Motor Vehicle Manufacturing Plan” which assures the five manufacturers 80% of the market on the basis that they achieve 85% local content, by value, on a company average basis.
From March 1982, a modified plan will introduce a local content complementation scheme which will permit the use of export credits, earned by vehicle and component manufacturers, to offset the cost of imports. The effects of this scheme are far-reaching and will benefit both the consumer and auto industry by permitting the importation of vehicle components featuring the latest technological advances at economic costs.
