THE MOTOR INDUSTRY.

Auckland Star, Volume LIX, Issue 95, 23 April 1928, Page 5

THE MOTOR INDUSTRY.

COACHBUILDI£RS CONFER. LESS DUTY ON CHASSIS WABTTED. TO FOSTER GROWING TRADE. If motor chassis are allowed to be imported at a lower l rate of duty it will largely encourage tije motor body building industry in Ne»w Zealand, and industries subsidiary to it, according to delegates attending i he sixteenth annual convention of the lsew Zealand Coach and Motor Body Baiilders' Association, which was opened !in Auckland this morning. Mr. C. L. tNeilson, of Wellington, is presiding ov*t the sixteen delegates attending the- conference, in the absence of the presi«lent, Mr. A. Johnson. of Christchurch. The delegates wer<* welcomed by Mr. W. J. Cousins, as the Mayor (Mr. George Baildon) was unable "to be present. Position of Trade Reviewed. In acknowledging <he welcome on behalf of the visiting d'elegates, Mr. E. C. Harvie reviewed the position of the trade at the present time, and discussed matters that required attention if the growing industry was to be developed along progressive lines. Referring to the Government's policy in cdnnection with tariff reforms, he urged b« tter Customs conditions for the trade, and suggested that a solution to the N< >w Zealand manufacturers' present dj fficulties was the importation of both IBritish and American chassis at a loweir tariff rate. That was the crux of the 'whole situation, to his mind. If the Government could l«e induced to affirm tfc at principle there would be no need fa r concern about a higher duty on bodS es. It would be argued that if this vere done big concessions would be majde and the revenue of the country woulcl be affected. The association would be. able to meet that argument, however, by saying that if the Government would allow the suggested facilities for «the importation of chassis it would be tl le means of stabilising the industry, an (Ljnore men wouid be engaged in the i motor industry at body building. At pr« -sent not even New Zealand timber, whie h was eminently suitable for body building, was used in the assembling of foreign cars, while the amount of labour involved in this work was negligible. "'What was required was a lower rate on imported chassis so that the industry in tl»e Dominion would have more material tc> work upon. Claim on Government. "Secondary industries must go hand in hand with the pri mary industries," he added, "and if the* Government will give us more material -we will be able to employ fifty per cent n lore men than we are doing now." He thought the men in the industry had a claim on the Government in that tl e latter could do something that would meet to a large extent the unemployment situation. Encouragement to the motor body builders would mean assistance to allied trades and a greater number of bodies could be built. Given sufficient inducement, members of the association would have leather for use in the* trade manufactured in New Zealand, but as it was they were importing laqge quantities of leather. Passing on, Mr. Harvi e declared that British chassis and New Zealand bodies made an excellent combij nation, but they had to contend with the '.mass production and lower freights, etc., of the American manufacturer. He considered that the British chassis should permitted to come into New Zealand on a tariff rate of five per cent instead of ten as at present. "Since the inception oi" our organisation, in bad and good tinaes alike much local trade has been los* owing to the fiscal policy of the various Governments that have held office. Fcfi" fifteen years motor body builders havei solidly advocated policies which, if at lopted, would have stabilised an that would have given employment tc> many thousands," read the report of the executive committee, which was adaqited. "Some progress has been made, but it is to be regretted that so much effort and expense is necessary in ordnr to create conditons that will ensure the development of the industry. One of the influences which can move events towards our objective is a realisation, of the principle of supporting the ma n who has placed his capital in the> secondary industries of this country." Continuing, the report* saj'd that the motor trade was not overrua with optimists at the present time. Businesses which handled luxury lines w« re the first to feel the effect when the l«anks tightened up, and the fact that Ni?w Zealand had had an adverse trade t«alance for l so long had brought it home to financiers and merchants that restriction on luxury expenditure was necessary. However, an improvement was in sighi . In th." case of locally manufactured articles tli» economic loss was not so great, added the report in making an appeal l for support for secondary industries, for profits remained in the country ano 1 . monpy involved in purchases went to nay interest to local banks and wages to home workers and artisans.