Local manufacturing suffers – again
January 4, 2008 by Matt Brogan
With over one million new cars sold in Australia last year, and forty five brands to choose from, you’d expect our local automotive manufacturers to be rejoicing – far from it.
You see when it comes to buying cars, 80 per cent of us prefer imported vehicles. So where does this leave our local brands?
As you may recall, we touched on this issue back in September, but since the new year, local manufacturers are now desperately in want of an urgent review of the current tariff arrangements.
With the current rate set at 10 per cent local brands are suffering under fierce international competition, intense pricing battles and a stronger Aussie dollar.
The government had proposed to review the tariff later this year, but with the tariff set to fall rather than increase (possibly to as low as 5 per cent) many local manufacturers have indicated this could be the death blow for our car manufacturing industry.
Union representatives from each of our four manufacturers have called on the government to scrap any further tariff cuts concerned that under any further economic pressure manufacturing operations here would either cease entirely and/or move off shore.
Further cost cutting and redundancies are becoming an impossible option with such measures almost forcing the hand of manufacturers to pull up stumps. Recent blows to the industry having already taken their toll on both employees and manufacturing operations.
So, what’s the answer? Is it that the vehicles produced here no longer suit our tastes, or do we simply prefer the status of an imported car? Perhaps we feel our local vehicles just don’t cut it when it comes to kit for cash?
We’d very much like to hear your thoughts and as always welcome your comments. Tell us what you think. Is this the last nail in the coffin or a storm in a tea cup? Would your next new car be a local? CarAdvice looks forward to hearing from you.
Print it: 
and right you prob are with the lack of people taking it up due to perception.
i too firstly took a backward step when the salesman chanted LPG at me but since i have had it i would die if i had to go back.
also being someone who runs LPG, rarely does an LPG article slip past me, there fore i like to think i know the product i am using, therefore i sit around with my hands in the air saying Hello when people are saying “we need an alternative”
Ttssssshhh … that was my VB i just opened.
Plonk … that was by feet landing on the desk.
He, he, ha – ha, ha, ha … that is me laughing at the
circus.
Ooh yeah – Andrew … i am as Ozzie as an Ozzie can ever be.
Born and breed in Australia and so were my parants, thier parents and so on. I live in country/coastal Queensland, walk around bare foot with a VB stubby in my hand, love AFL, meat pies and above all most – have honourably served my nation in the armed forces (Navy) and attend Anzac day ceremonies every year without failue.
Infact, i have even had the honour of standing guard at the Sydney City Centre Cenotaph … have you served this nation … i reckon not so pull your head in and watch who you call non-Australian.
And guess what, i drive a Toyota and for as long as my arse faces the ground – i will never buy a Holden. To me, Holden is not even Australian – it’s American … PERIOD !!
That said, Toyota is every single bit apart of our motoring industry as Ford and Holden. I agree that they are not involved in local motorsport but that doesn’t exactly make our economy turn either though does it.
Real Australia to me is the country were Toyota’s popularity thrives and above all most serves our Farmers, Miners, Industries and Trades personnel above that then any other automotive company in Australia.
While Holden and Ford run around possing on a track, Toyota actually does something useful for or economy and gets stuck in some REAL OZZIE HARD YAKKA – something the American duo just haven’t been able to bring themselves to do yet.
You see … i am an Australian who supports not only a local manufactuer but a company who actually does some real work in Australia.
People can be assured that Toyota Australia will not be going anywere. The fact is, the BIG T has an uncanny way of reducing costs and ensuring lean manufacturing processes.
If anything – Ford and Mitsubishi wil be the first two to drop with Ford having even started droping it’s Australian content with the recent dismise of the Fairlane and soon the L6 ifavour of an imported duty one instead.
I think youll find the companies who provide the most help to Farmers and Miners are:
Farmers: John Deere; Komatsu; Case; Caterpillar. with Tractors; Combined Harvesters etc
Miners: Komatsu; Caterpillar; Hyundai; Daewoo; . With Excavation Equipment; Tarax Trucks etc.
How fascinating to see someone calling rank on a gently patriotic debate by citing his Navy credentials and that he would rather have a Toyota than a Holden, a car that he doesn’t even see as Australian, but American.
Am I the only one who sees the irony unfolding here? I haven’t served my country, Mikka, but I do recall that the Zero was one of Mitsubishi’s more popular models in the 1940s. From the same land as Toyota, since you’re heading down that path.
Please Explain;
You say that Holden is not Australian; that it’s American.
Even though Holden originally started in Australia back in the Early 1900s
Whereas Toyota arrived here in 1958 as a Subsidiary of a Japanese Company.. and some how you believe Toyota to be more Australian than Holden.. and therefore; it seems deserves more respect.
I admit that Holden is currently owned by an American company. Yet GM only obtained full ownership of Holden in the 1960-70s.
It doesn’t matter if the car company is american or japanese what matters is that they both make cars here provide local jobs.. the loss of which if Toyota and the other Locals were to leave would have a severe impact on our economy – worse than most people think.
What an interesting afternoon I have missed…….
Just been to see a Enchantment with Georgia………and yet another Fairytale was unfolding here too!!!!!!
Who gets to wake up the Prince with a Kiss!!!!!
So Australia rides on a Toyota’s back……….geez……!
Good to see David N who is still in the Army……drives a Ford then…..how did we get to being a real Australian drives a Toyota ??? It was nice to see the V8 Supercar drivers drop in on the Troops whilst they were in the East…..I doubt that some Aurion rocking up over there with a Jap chick as a chaperon would have been the same as the Miss V8 Supercars dropping in on them….maybe there just not Australian though!
Mikka spectators of the “circus” arent able to participate so please be quite and respect the performance
dont forget the falcon ute serves more than its fair share of tradies too.
also the hilux may sell well but how is it that it was out classed by the BT50 during a 4×4’s test over 2500k’s of rugged australian country?
yep i cant understand why they sell plenty of them (hilux’s) either. perhaps its the massive fleet discounts?
Wheelnut,
I agree with you but i thought holden was only owned from the year 1997……thats what i thought, that the first car GM made was the commy VT.
sorry Duck they owned it a long time before that.
GM have had it that long that most people will only know it as having always been owned by GM.
all commys were GM
Andrew…….”you have mail”
Oh…………………………OK…………………sorry!
Duck Holden has been owned by GM since the late 1940s. or another words, since they have made cars called Holdens.
Face it – the fleet market it split. “We” now have a massive choice and with novated leases it’s endless.
.. and not everyone wants to drive a boof head conformadore.
… but I do.
I said automotive company not agricultral and i only passed comment that Toyota has earn’t it’s rightful respect within our automotive industry not that it is more Australian.
So the BT50 pipped the Hilux over 2500km’s … what about the rest of the 300 000 plus km’s of ardious duties that are expected to be satified shift-in, shift-out, day-in, day-out … did they conduct that test aswell ??
A Hilux being a dependable, durable vehicle with a rugged nature would be why they are popular would it ??
I know Mikka its just that the way you were going on it sounded as if Toyotas were being used to mine the coal; harvest the wheat; construct the roads/buildings etc..
Where in actual fact they like Holdens and Fords are used simply as support vehicles to help transport workers and other various items from place to place. Not the big stuff mind you for that there’s: Freightliner; Western Star and [the Aussie] Kenworth.
By the way Not ALL of the bush is in love with Cruisers because on a recent trip through [country] NSW-VIC-SA
I counted more Holdens and Fords.. I guess it depends on where you go
Mikka,
yes the hilux may have proven itself over time but it doesnt mean it is the best or that it cant be beaten.
people in the bush are pretty stubborn and will only stick to what they know and it is for that reason that toyota has simply become a default choice simply because people know of it and it does the job.
also anyone who is looking for a new 4X4 looks to a landcruiser because they once again percieve it as the best 4X4.
for my money the Patrol is a better off roader and it has a much much bigger tow rating because it has a much tougher chassis.
toyota has dominated the off road segment purely because they have been the only one there that gave a stuff about entering it. there are plenty of manufacturers that offer better vehicles than the prado and Hilux.
and to be fair i suppose same can be said about why ford and holden have always owned the large car segment too. all the Aurion will do is force them to have a look at themselves to make sure they arent walked over.
yes the hilux maybe a rugged dependable vehicle but so are many it competes against. dont forget much of its competition comes from Japan aswell.
and also some even outscored toyota in this reliability survey thing you hold close to your heart
Speaking of stubborn, or unwilling to change attitudes, anyone remember the Patrol ads from a few years ago when they overhauled their 10 year old Patrol?
Showed an old cocky with his Cruiser checking out his younger neighbors new Patrol. He was grudgingly appreciating the new Patrol but wouldn’t budge from the Cruiser.
So the other bloke had to chuck a chain around his feet and hook it to the back of the Patrol and drag him along. It was like trying to pull out a big old stump.
Pretty funny and does sum up the unwillingness of some farmers to budge from a proven vehicle to one that may actually be better.
Speaking of stubborn, or unwilling to change attitudes, anyone remember the Patrol ads from a few years ago when they overhauled their 10 year old Patrol?
Showed an old farmer with his Cruiser checking out his younger neighbors new Patrol. He was grudgingly appreciating the new Patrol but wouldn’t budge from the Cruiser.
So the other bloke had to chuck a chain around his feet and hook it to the back of the Patrol and drag him along. It was like trying to pull out a big old stump.
Pretty funny and does sum up the unwillingness of some farmers to budge from a proven vehicle to one that may actually be better.
Hilux is now made in Thailand…..like many others.
yes thanks for putting it politically correct BM.
what i mean i suppose is they are all pretty much japanese companies and made in the same place. hence same background
Andrew – i will say that i actually disagree with you. And … there is NO PERCEPTION ABOUT IT – the CRUISER ‘IS’ the best off-road animal to be had.
Toyota has been confronted with many vehicles from the opposition for many years but have always proven to be the most rugged, reliable, dependable and durable off-road vehicle but with the upmost respect to Nissan and indeed the Patrol.
The Hilux has been around for years and has undoudtedly offered the consumer the most consistant performance while the Prado in it’s class is actually the best choice for off-raod ability – on road manners a liitle different admittedly.
The Landcruiser however – well, as far as i am concerned… it speaks for itself. To be absolutely truthful … nothing really does come as basic yet solid as a 70 series cruiser.
Have you actually checked out the latest example – the interior is virtually no-different by any means then those of twenty years ago but that said – they are engineered for a specific purpose. Actually, truth be told – Toyota actually states themselves that the 70 series is designed to be hosed out then driven off again.
Now … with referance to the Patrol, yep – a bloody damn good off-road muncher but the fact is … they have lost huge ground to Toyota is recent years.
The diesel Patrol can now only be had with a 3.0 turbo diesel and how on earth is that suppose to be able to compete with Toyota’s all new 4.5 turbo charged V8 diesels.
That said, Toyota is also leading the off-road technical race aswell.
People … i can understand critising Toyota cars but lets be brutually honest here – the off-road/commercial market is Toyota unchallenged domain for the very reasons it has consistantly and constantly proven why.
My brother specifically got rubber floor mats for the Hilux so it could be hosed out. 4WDs with plush carpet make no sense to me, assuming you use it for the intended purpose, instead of being an urban warrior/soccer mum, lol.
Bavarian – good point but next time you see a new Hilux, take the time and inspect how solidly the intetror has been put together. That said, Toyota’s new D4D range of diesels have proven to be extremely good units.
Andrew – because vehicles are manufactuered in the same country really does count for little because each manufactuer has it’s own cultural behaviuor.
Some great examples – Toyota, Holden and Ford all manufactuer cars right here in Australia yet statistically, Toyota vehicles have been of higher quality, reliability and dependability.
Hyundai and Daewoo are Korean manufactuered but Hyundai these days actually engineer a good car while even many companies biuld cars in Germany yet some have a greater reputation then others.
Country of orign is one thing but the cultural behaviour of a particular company is an entire different league and as proven – often the determining differance between a good vehicle and a not so good one.
No different to any bakery really – each may bake in the same town yet on of the two (or more)would have a better reputation for baking better pies.
Once again – learn to broaden your way of thinking.
So what you’re saying the Robots in the Toyota Plant have a diiferent Culture to the Robots in the Holden Plant.
Does that mean that when the Toyota Robots have a break they do Origami or Sudoku
Yet when the Holden Robots have a break they have a smoke meat pie or a VB and scratch their back sides.
And because the Toyota robots are more disciplined they produce more better quality cars.
Wheelnut – very funny … and humerous – ha ha !!
No – it is not about robots, it is about Reaserch and Development, fault identification, fault rectification, availability of speciised resources, training/education and off course the culture/discipline of the employees and as we all should know – that really can make or break a company.
Now … i am not saying that the discipline of a typical employee at Holden is any worse then say at Toyota but they can only perform thier duties in relative correspondance to accessible resources, training and of course – coaching.
Good example – Holden opted to let the Rear Main Seal on the buick to persist for 15 years while we all know Toyota would never allow that to happen…. it’s a cultural thing preached by more so by the company then any other.
No doubt all of us have left a position sometime in persuit of another because we haven’t agreed with how the business conducts it’s practices.
I never knew Toyota used Buick Engines??
By the way .. Another way Toyota could enhance their image is by whacking a Supercharger on to their 1.8L 4cyl Corlla engine like Lotus did with the Exige S.. But not the one they boletd onto the TRD.
Mikka,
yes nissan dropped their 4.2L and 4.5L from their range and that has to be one thing that may not have gone down well with consumers. (i think perhaps for euro emissions targets??)
i doubt we will see eye to eye on the cruiser being a better off roader. the early use of coil overs in the patrol seems to be something that the cruiser has fallen behind in. its these coils as opposed to leafs that has seen the patrol have the greater suspension travel which is important for off roading.
i know a little more about hilux’s than i do cruisers so i can say they are by no means the commander or best in their class.
ive looked over their panel flushness etc and found it to be no better than anyone elses. also they ask quite i high premium for the lux over its competitors and the only reason i can see is because they can.
i have a few of mates who have current lux’s and a couple of them wish they had have got the BT50 as they felt they got ripped off.
they felt they just got swept into a lux because thats what we are suppose to drive isnt it?
hilux’s = good vehicles but not the best and therefore in my mind overrated
Mikka, I know this is nit-picking but did Toyota know about the rear main seal on the Buick V6 when they were selling Commodores as Lexcens?
I’m guessing they didn’t until cars started coming back.
I think Holden and Ford have made a concerted effort to improve build quality and value, but it may be too little too late with the current global economic situation. They may be doomed indeed.
Well well well…….haven’t we all be behaving this arvo!
Even a little humor,I especially like the Toyoya and Holden Robots,very clever Wheelnut!
Sorry Wheelnut……..HW took longer than I thought got carried away ! White carpet and a puppy don’t go too well!
Ill catch you tomorrow after work? I’m knacked now!
That is one doomed bold statement, Ford is a power house and they will not lay down without a fight gauranteed, if everyone had doom and gloom thought’s this country will suffer from arrogance..
Andrew – i don’t think we will see eye to eye regarding the Hilux. Somehow, panel flushness plays no part in the rugged, durable, dependable and capable nature of the Hilux.
I too now ’some’ people with the Hilux with some having them as work utilities and others as personal vehicles and ‘most’ of them have been happy with their purchase but once again – each for thier own.
I will agree with you on the fact that some Hilux variants have a price to them but i guess that only comes inline with that demand/supply increment.
Any manufactuer would be simply stupid if they charged less then what they could get for thier product. On a positive note – it proves that Toyota has the ability to play games with thier asking price if demand slips any.
Also – it just goes to show how powerful the Hilux reputation is when competitors ask less of thier examples and sell considerably less then say Toyota does despite it’s larger going price.
However – ask yourself this question – if your mate purchased an eqiuvalent model Hilux of the BT50 for the same price – would he still consider himself ripped off !!
It is the enjoyment that one manufactuer has the fortune to enjoy that another doesn’t.
Monthly sales of the Hilux is between 3500 – 4000 per month which is probably inline with Toyota Australia’s import quoter. If they can sell the bulk of thier monthly quoter at a ‘certain’ asking price then why would they wonna sell it for less.
Rememeber – Toyota is no different then any other company … they are in it to make money.
Any manufactuer would love to have the capacity to do that !!
Watto – yeah … that is nit picking.
well i thought the panel flushness was related to the fit and finish argument that is so often used to argue a good point for toyota.
if my mate bought the BT50 for the same price and there was no other cheaper alternative that offered a few gizmos more then i suppose he couldnt feel ripped off with a BT50.
he didnt feel ripped off cause he thought he bought a lemon, just because he could have gotten far better value for his money.
perhaps toyota need to demand a slightly higher price from its private buyers to make up for the discounts it gives its mass of buyers in the fleet sector?
i believe toyota sells a lot of cars on familiarity. i mean they have stuck to their name plates stronger than anyone else.
main competitors to the corolla, for eg the laser and pulsar had name plate changes meaning there would have been a big win for the rolla out of that.
Andrew – i’ll be honesyt with you, i haven’t taken much notice of panel flushness but now that you have mentioned it – i will.
Sticking with name plates can often be a very wise choice especially if they are sellers. Correct marketing is a powerful tool.
Have a look at a typical Toyota add – they have mojo.
Then have a look at a Ford add – usually very dull like Ritchie Benaud inpersonation, it’s just so oh-hum.
So yes, seeling on familariy is a very good point but selling on merit is another.
Eitherway – how ever Toyota charges it is obviuosly working very well for them because not only are they selling cars but making an absloute multi-bilion dollar fortune form it aswell ofwhich is the balance that every company in any market wishes for.
mikka if you are going to go looking for panel flushness ill point you to the first thing i noticed on my mates $60K duel cab LUX.
the gap between the front and rear doors.
at the top is fine but when you follow it down to the crease in them it widens.
also i can create a list as long as my arm on panel flushness/fit and finish and little problems with the last gen camry.
Andrew – you don’t need to go there with the last gen Camry because i own a 2003 4cyl manual Sportivo.
In all i am happy with the car but admittedly there are some issues i would have expected better from Toyota. The reason i say it is because i also ’still’ own a ‘94 2.2 Widebody that has actually been an absolute gem as a solidly put together hack and of course one of the hardest examples of all to topple as a trouble free transporter.
Infact, i like my ‘ole girl’ (as i call it) because although it wouldn’t blow your hat in a snow storm (gutless), the bitch has never whinged a single day
in 13 yrs of motoring. Unfortunately – it is also one of those models that suffered from the lifting dash along the windscreen.
Anyway, sense i have had the Sportivo i have relised it isn’t as ROBUST as the ‘ole girl’ but on the other side of the coin – it is a much, much better drive. Also, it is very quiet and smooth on the highway … much quieter then my fathers 2002 Mazda6.
Issues i have had are all minor like replacing the two front window weather seals, gearstick boot and drivers door handle grab (squeeked a little but admittedly – i am a hard bastard when it come to cars) but mechanically … it hasn’t missed a beat.
Also – i find the paint marks all to easily.
Oh yeah , the ‘ole girl has now done 239 000km’h and has just deveolped it very first ever oil leak. A minor seepage from the sump gasket.
Mikka,
I know exactlly what you drive cause i guy called Dingo told me about it once ha ha ha ha
there is/was 2 of those last gen camrys in the family including a 2002 4cyl manual sportivo (apparently it was the first manual they were asked for so they scrambled and found the hilux box to throw in it).
i know of all the little things you have mentioned (and the ones you dont want to)
at least you have stopped drinking your VB and are being honest with us that toyota does have fair share of issues too.
Question….
why do you drink VB if you are a QLD’r? obviously havent been here too long? i didnt know they sold that stuff here ha ha ha ha
oh and can i ask if your RHS (i think it is) tail light sticks out or is it not flush with the boot lid in the order of near 10mm?
Andrew – i have spent many years in QLD – grew up here, left for many years when i joined the Navy then returned as a married man after i discharged to start a family around ‘my family’.
And don’t start on the VB thing … the ole’ man is always having a go at me about that so not you too.
That said – i have never said that Toyota does’nt have thier issues because EVERY CAR and EVERY MANUFACTUER have thier faults. However … some have more then others while others have more yet again. Apart from that, it also depends on how they choose to fix the identified problems … ‘if’ at all.
Example – the early widebody suffered from the lifting dash but Toyota fixed that problem pronto while Holden ignored any worthwhile attempt at every resolving the Rear main issue with the buick engine.
Even recently Toyota has demonstrated some resonsible behaviour like with stop sales associated with TRD Aurion and RAV4 V6 of which no-doubt has limited/stoppped the customers exposure to these identified irregularities.
Like i said earler today – it is a cultural thing.
ha ha ha
its alright i copped it on a QANTAS flight from the attendant for asking for a XXXX.
“nah we dont drink that rubbish down here” he replied
but i wasnt quick enough to respond that QANTAS was born in QLD alongside XXXX and that they will take our airline though.
you would certainly cop it in the outback pubs though i guess
V6’s and V8’s for what? A thrilling 100kms on the freeway, what a joke. The Aussie headspace for cars is living in the past – the days of bent coppers, no seatbelts and speeding are long gone. Bring on the foreign cars, more efficient, cheaper, better build quality and design.