Strong Aust. Industry

Press, Volume CX, Issue 32320, 11 June 1970, Page 11

Strong Aust. Industry

The rapid development of Australia's motor vehicle industry has placed it in the front rank of the country's manufacturing activities. The industry's growth has been accentuated by strong internal competition and it is estimated that the value of funds employed exceeds $l2OO million.

It has emerged as the largest single employer of labour and accounts for more than one-tenth of the nation’s wage and salary earners.

This growth has occurred since 1948, when there were one million vehicles on Australian roads. In 1955, the figure had doubled and by 1962, it had risen to three million. Today it stands at more than four million. Of the 12 companies manufacturing and assembling vehicles in Australia, half go beyond the assembly of CKD units (completely knocked down packs) to the manufacture of bodies and engines. Australia's motor vehicle industry is geared for record sales of close to half a million cars and commercial vehicles—a factor which reflects the healthy economy of the country. Since 1953, consumer spending has more than doubled while spending on buying and operating vehicles has gone up three times.

The typical Australian car has a six-cylinder or VS engine of 3-litre to 5-litre capacity disposing of 115 to 210 brake horsepower, and a six-seater body. These medium-size cars, as they are called, account for about 65 per cent of the total market in Australia.

Vehicle exports from Australia have recorded an

outstanding increase since the late 19505. The total value of vehicles (mostly cars and light commercials). I exported in 1957-58 was $14.2 million; in 1967-68 exports were valued at $46.5 million. Vehicles and parts are exported to about 80 markets and could increase the outlets and the volume of exports in the next few years.

In addition to its export of vehicles, one Australian company, General MotorsHolden's, entered a new phase in its export programme when it secured orders from Vauxhall in England and Opel in Germany for torque converter components for automatic transmissions. It also exports steel to England and Germany from its foundry in Melbourne, the only one of its kind in the southern hemisphere.

Another Australian firm, Ford Australia, achieved a break-through by exporting vehicles to Japan. Included in the orders was one for 30 cars for use by a large taxi firm in Osaka. In the West Indies the police forces use Australian-made Ford Falcons for highway patrol work. And Chrysler Australia has increased its exports and one of the more noteworthy features of its recent operations was its shipment of the first consignment of Australian-built Valiant to London for sale throughout Britain. The Melbourne firm, Repco Ltd, achieved a remarkable performance to win the Formula I racing championship for two years with an engine of its own design. It was the first engine Repco had built and it was successful in its first racing season.