Out with the New, In with the Old:

Australia’s Changing Automotive

Industry

Pickles Auctions

http://www.pickles.com.au/

The automotive manufacturing industry is among

Australia’s advanced industries. This made the economy

boom up to $21.5 billion bigger based on its economic

welfare net value calculation. From deploying

manufacturing technologies to adding value to the

economy, it’s receiving a fair amount of support from

the government – about $500 million annual funds.

What Would Australia Be Without the

Automotive Industry?

An analysis presented by The Allen Consulting Group

revealed that Australia’s GDP might go down by $7.3

billion by 2018. If the automotive industry would

disappear, foreign direct investors would go away.

Instead of placing funds in Australia, head offices would

look for other countries to invest in. The analysis also

added that employment might fall by 1.5% or more.

Australia’s automotive industry focuses on three major

subsidiaries: Ford, General Motors Holden (GMH) and

Toyota. Unfortunately, Ford announced in 2013 that it

would stop manufacturing by 2016. GMH and Toyota

also did the same the following year, saying they would

stop production by 2017.

The Australian dollar is getting stronger by the year, so

the cost of manufacturing is increasing. As a result, this

has put automotive sales under pressure.

What Is Happening to Australia’s

Automotive Industry?

What Is Happening to

Consumers in Australia?

Even though the top subsidiaries promised to import

vehicles in to the Australian market, many consumers

are assuming that prices will increase drastically. For

those who are on a budget, looking for alternatives is the

ideal choice.

Buying a used, forfeited, or salvaged vehicle through

dealerships and auctions might seem risky, but this doesn’t

necessarily mean that consumers will never get a good deal.

It’s true that buying them requires further research and hard

work, but the satisfaction is almost the same.

As the automotive industry tries to keep up, consumers are

finding ways to buy vehicles without blowing their budget.

There’s no telling when another change in this industry will

happen, but Australia hopes it’s for the better.

Source:

http://www.abc.net.au/news/2013-08-14/toner---car-manufacturing-in-australia/4886462

http://www.industry.gov.au/industry/automotive/Statistics/Pages/default.aspx

http://www.pickles.com.au/