VACC, Victoria’s peak automotive industry body, has welcomed the opportunity to contribute to the Bracks’ Review of the automotive industry
VACC, Victoria’s peak automotive industry body, has welcomed the opportunity to contribute to the Bracks’ Review of the automotive industry – Australia’s largest manufacturing export sector (with an export value totaling an estimated $4.7 billion per annum).
“The Australian automotive industry is an important high-skills industry that is recognised globally for its engineering and design expertise,” VACC Executive Director, David Purchase, says.
“Importantly, the automotive manufacturing sector, being Victoria’s largest industrial sector, provides the momentum, critical mass and energy for a broadly diverse, multi-disciplinary, highly technological and innovative industrial base. Its ‘spill-over’ effect into other industrial sectors provides a skills and capability-base that underpins Victoria’s manufacturing and research and design (R&D) capabilities.
“The retention of Ford, Holden and Toyota plus their myriad component suppliers, is critical to the future of Australia, to Australian industry, and in the best interests of the Australian economy and community,” he says.
Among VACC’s recommendations to the Bracks’ Review Panel, are the following:
The retention of the 10 percent tariff beyond 2010;
Government assistance for R&D and Export Market Development Grants (EMDG) be simplified and broadened to enable easier access by Small and Medium Enterprises;
The abolition of the outdated and discriminatory Luxury Car Tax;
The elimination of Fringe Benefit Tax on demonstrator vehicles;
Increased support for LPG, including R&D support, as the alternative fuel for Australia; and the subsidy to continue to, at least, 2014;
Improved access by the Crash Repair and Service Sector to technical information;
A national policy on End-of-Life Vehicles (ELV);
Increased levels of funding and Government support for TAFE training infrastructure and training equipment technologies to bring all automotive TAFE training facilities to the standards exemplified by the Automotive Centre of Excellence, Docklands.
“The Australian automotive industry is facing many challenges, among them, the worldwide economic slowdown and in particular, a high Australian dollar, manufacturing competition from China and India, and high fuel costs.
“VACC believes the Bracks’ Review can help ensure that Australia’s automotive manufacturing sector, and associated after-market service industries, not only survives this slowdown but comes out the other side leaner and fitter,” Purchase says.