CAR ASSEMBLY

BODY-BUILDERS' REQUEST

A REPLY TO STATEMENTS,

Mr. David F, Ladin, managing director of the General Motors, New Zealand, Limited, to-day made the following statement with reference to statements of the deputation which interviewed the Prime Minister and Minister of Customs on Friday:—

"We are extremely sorry that the peace of mind of the body-builders should be disturbed at our plans for the assembly of cars in New Zealand. We know, of course, that the bodybuilders have been anxious for higher duty protection for a long time, but it is difficult to see why our plans should be seized upon as the psychological or opportune means for agitating the duty question. I personally cannot sec how or in what way the New Zealand body-building business is goiug to be affected by our assembling cars in New Zealand. As long as there is a genuine demand for tho colonial body it would be unbusinesslike of us not to cater to it in future, the same as we have in the pass.

"For years back our company has been in readiness to supply chassis to our New Zealand trade, and. at present we can see no reason for changing this policy. It is true that our shipments of chassis to New Zealand have not grown at the Bame rate as complete cars, but this is entirely due to public preference, and price. Provided chassis have been ordered in the regular manner we have always been able to make reasonable delivery. As a matter of fact, I recall distinctly within the past twelve months trying to induce one of our customers to buy some chassis and have colonial bodies built in order to be able to fill tho three-seater roadster demand.

"Regarding the question of skilled ar.d unskilled labour, I may mention that we shall use a highly intelligent type of workman, who is capable of being trained along skilful lines. We must recognise, however, that progressivo methods in any manufacturing operations are absolutely necessary. In all manufacturing, in all countries, the old-time type of craftsman has been displaced by a newer type. The newer type does not build the article from the ground up, but he is none the less skilled; in fact, he is even more skilled in his particular specialisation. This progress in_ manufacturing is purely an economic development, and Is dictated by competition. At one time line furniture, was made only by a few skilled craftsmen, but very few persons could afford to buy it. To-day fine-furni-ture is made by more up4ordate* methods, and many people can afford to buy' it, and cheaper copies of the 4ue furniture is made possible for the masses through up-to-date manufacturing facilities and methods—go it is with motor-ears.

"The motor-car industry is noted for developing; skilled worker* and paying good wage.?. Our object in establishing a branch factory in New Zealand is purely in the interest of good service, and this again is dictated by competition. For years baelt we have enjoyed a splendid business in NewZealand, amounting' to thousands of cars per year. All the factory costs on those cars have been going out of tho country, When we get our local works in operation here a considerable portion of the factory costs will remain in New Zealand in the form of wages, local materials, and supplies purchased. Besides this we shall be paying taxes and rates in New Zealand. / When the foregoing facts are considered the advent of ■the company, so far as its new operations are concerned, will no doubt be viewed with the greatest satisfaction, as a. consederable impetus will be added to the secondary industries."