Automotive
The Australian automotive industry is an important part of the Australian economy, employing close to 70,000 people and earning export income of $4.7 billion. The industry undertakes significant investment in plant and equipment and research and development.
The industry has undergone an extensive reform program, especially since the Button Plan in 1985 when the industry was protected by tariff quotas and a tariff of 57.5 percent. The removal of quotas and the lowering of protection led to some rationalisation of the industry and made imports more accessible to consumers. It has also seen the industry become more internationally competitive and export focused.
Key sectors in the industry
- Motor Vehicle Manufacturing: Three Australian based vehicle manufacturers produce a range of passenger vehicles at multiple plants in Melbourne and Adelaide.
- Component Producers: There are more than 200 firms producing automotive components for use as original equipment in new vehicles and for the replacement and accessories markets. There are around 500 firms providing specialised tooling to vehicle and component producers.
- Vehicle Importers: In 2008, almost 850,000 vehicles were imported into Australia. In addition to their production of vehicles in Australia, local manufacturer’s imported more than 350,000 vehicles. A further 500,000 vehicles were imported by around 40 companies whose operations are principally focussed on vehicle import and distribution.
- Retail, Service and Repair: sector includes vehicle maintenance, repair of damaged vehicles, supply of aftermarket equipment and vehicle recycling.
The Australian automotive industry is recognised worldwide for its capacity to deliver high quality engineering, technical and design skills and operates in one of the most open and competitive markets in the world. While imports account for slightly more than 80 per cent of the domestic sales, Australian vehicle manufacturers have demonstrated their competitiveness, exporting in excess of 40 per cent of local vehicle production to more than 21 markets in Europe, Asia, the Middle East and United States.
Useful websites
- Australian Automobile Association - www.aaa.asn.au
- Advanced Manufacturing Australia – www.amaus.com.au
- Australian Automotive Aftermarket Association – www.aaaa.com.au
- Department of Innovation, Industry, Science and Research – www.industry.gov.au
- Federation of Automotive Products Manufacturers – www.fapm.com.au
- Federal Chamber of Automotive Industries – www.fcai.com.au
If you are interested in Australian automotive components and wish to contact with exporters, please contact
Adam Rejman adam.rejman@austrade.gov.au
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