Industry Analysis & Industry Trends
Motor vehicle manufacturers have been completely defeated by import competition over the past five years. Production volumes have plummeted as consumer demand shifts away from locally manufactured vehicles due to the greater fuel efficiency of many imported vehicles. Importers have benefited from a high Australian dollar and tariff reductions. A decline in new car sales in 2009-10 as the global financial crisis continued was reversed over the past five years, but the subsequent growth was all in imported vehicle sales. Industry revenue is forecast to fall by a compound annual 1.5% over the five years through 2014-15, to be worth $10.3 billion.
Local motor vehicle manufacturers have traditionally manufactured large cars... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Motor Vehicle Manufacturing industry is in the decline stage of its life cycle. Demand for motor vehicles manufactured in Australia has declined significantly over the past five years, due to consumer preferences shifting towards more fuel-efficient vehicles that are not manufactured in Australia, along with the strong Australian dollar making imported vehicles less expensive than their Australian counterparts. The impending exit from the industry of the three major players over the next five years will intensify the decline before the industry reaches a new normal.
Industry value added (IVA) measures the industry's contribution to the overall economy... purchase to read more