Tuesday, June 25, 2013

450 automotive businesses are closing








25/06/2013 - More than 450 automotive businesses are closing across the nation on average each year, the Australian Motor Industry Federation warns. David Barbeler

With the federal government focused on the closure of sites by companies like Ford, federation chief Richard Dudley says the remaining 75 per cent of the industry also needs help.

Dudley has called on the next government to develop a green paper on the future of the entire automotive industry within 100 days of winning office — and a white paper within 12 months.

Some 2700 people left the domestic car or car component manufacturing sector in 2011/12, but that figure is dwarfed by the 13,000 people who left the maintenance and body repair industries.

Dudley said independent mechanics are finding it difficult to keep up-to-date with the onboard technology of the hundreds of different car models available.

"There is an SUV on the Australian market today, retailing for under $30,000, that has more computing power than was used to get astronauts to the moon," Dudley told the National Press Club in Canberra on Tuesday.

"It's becoming increasingly difficult to have all the necessary tools, equipment, diagnostic computer capability and skills.

"Successive governments at a state and federal level have focussed on automotive manufacturing, to the detriment of the rest of the automotive industry."

Dudley said repairers were also finding it hard to keep up.

"Others have adapted by specializing in one or only a few brands," he said.

The industry is also facing a crisis in attracting young trainees, with the downstream car sectors that employ 32,0000 people suffering a shortage of 19,000 mechanics.

One problem was the perception that motor mechanic work was a "grease monkey, dirty type job", Dudley said.

"A motor mechanic is now part diagnostic technician, part computer engineer, part mathematician."


Source: AAP

Monday, May 20, 2013

Abbott 'sensitive' to small business: ACCI chief exec



Abbott 'sensitive' to small business: ACCI chief exec
 

19/05/2013 - A coalition plan to delay an increase to the superannuation contribution guarantee shows Opposition Leader Tony Abbott is sensitive to the plight of small business, a lobby group says

Australian Chamber of Commerce and Industry (ACCI) chief executive Peter Anderson says Abbott's budget reply speech to parliament on Thursday would increase the focus on small business in the lead-up to the September federal election.

"The combination of the new announcement to defer for two years the hikes in the compulsory superannuation levy, the intended abolition of the carbon tax and the planned root and branch review of competition policy show a welcome sensitivity to the plight of small business," Anderson said in a statement on Friday.

"Small employers, buffeted by rising costs and declining profitability, can only keep funding the retirement incomes of staff if they are strong and profitable."

Abbott also reaffirmed cuts to business red tape, a review of competition policy and that small business would be a cabinet portfolio within the Treasury department.

Car manufacturing in the UK


Car manufacturing in the UK rose by 17 per cent in April. What's more, the nation is outperforming most other countries in the EU.

As the Financial Times reports, the result can be put down to the large increase in the number of vehicles made for the local and non-European markets.

According to the Society of Motor Manufacturers and Traders (SMMT), more than 100,000 cars were made in the UK last month and output so far this year has increased 1.5 per cent to around half a million.

Most of these cars (about 80 per cent) are for export. In fact, the number of vehicles produced for export went up 8.4 per cent last month from the April before but has fallen 4.2 per cent so far this year.

In addition, manufacturing for sale within the UK jumped by 66 per cent to about 22,000, compared to the same month last year.

Mike Baunton, SMMT interim chief executive, said the global appeal of British cars was helping the industry overcome weak demand in the rest of Europe.

“Significant growth in output for home markets reflects trends in new car buying in the UK, and the focus on growing in new markets, beyond Europe, has provided further buoyancy to volumes,” he said.

The automotive sector is helping cut the trade deficit in the UK. The good result can be explained by a number of factors such as cheap finance deals and an ultra-competitive marketplace.

This good result for the British car industry means that the nation ranks third behind Denmark and Hungary in terms of car sales.

Last year, new passenger car registrations actually suffered double-digit falls in 15 other European countries.

Maybe there is a leason here for the Australian Government & Car Industry on how to survive and become more competitive