Brake on wheels

Press, 18 July 1980, Page 4

Brake on wheels

NZ?A Sydney Opposition from local manufacturers has led the Australian Government ■ to forbid the duty-free import of New gealand-nmde alu? minium car wheels. i The Government has re? jected an application by Ford Australia to import $18,894,000 worth of wheels over five years duty-free from Ford New Zealand under article 3.7 of the New Zealand Australia Free Trade Agreement. A Department of Trade and Resources official confirmed yesterday that the application by Ford Austra-

lia had been rejected by the Government because • of strong opposition from, local manufacturers,. As a results Ford Australia will now hayp to pay duty on the wheel imports, which are to 1 be made at th? Fprd plant at Wiri. ■ The Zealand?made wheels are to be imported into . Australia over five years starting next year and used ip the a?sem? ply of Ford cars. Under N.A.p.T.A. the Governments of both countries have to be in agreement if a product is?: to be free pf duty. ~ ? A New Zealand trade offi? cjal said the New Zealand Government was still consid?

ering the reciprocal app]!,. cation by Ford New Zealand. It was sure to have approved the application hut would obviously new have to review the position, he For Ford Australia the Government rejection Also, means that the ear wheels cannot be classed as local content as they would have been if allowed in duty free* 4 . The Australian Government require? 85 pgr cent local content in Australianmade cars. Still under review Is a renewal application by Ford Australia to import duty-free $19,62.2,000 worth of transmission and chassis ponents over,three years.