MOTOR IMPORTS

Nelson Evening Mail, Volume LXXIII, 10 January 1940, Page 6

MOTOR IMPORTS

FIRST HALF OF 1940 PURCHASES FROM BRITAIN VALUE UP TO NEARLY £1,000,000 Drawn solely from the United Kingdom, the motor imports into New Zealand for the first six months of this year will total nearly £1,000,000. It has been confirmed that the restricted percentages announced by the Government will apply to the total importations from all sources for the first half of 1938. With vehicles averaging £350 each, the number of importations would be limited to about 3000. Although it has been reported that the value of imports will be 25 per cent, in the case of assembled vehicles and 35 per cent, of unassembled units, only completely knocked down cars, chassis and commercial vehicles will be allowed to enter the country. This policy has been followed since the end of 1938, with the result that large factories have been established by major motor concerns to supply the market. LIMITED STOCKS Unassembled motor imports for the first six months of 1938 totalled £2,187,657, and assembled £896,439. Of the full amount, £3,084,096, Britain claimed the major share of £1,782,367. On this basis the future imports will amount to £989,789, so that in spite of the war as an additional deterrent, the blow to Britain will not be as serious as some were disposed to expect. Licenses now to be issued will cover imports landed in New Zealand not later than 31st August. Stocks of the larger type of American and Canadian cars are already at a premium, due to previous restrictions, but within a short time of the operation of the complete ban new models will be unavailable. Prices cannot be increased, being fixed as from Ist September, but dealers anticipate Ihat the remaining cars will be promptly sold. Sales before Christmas were well maintained, and inquiries since have been encouraging, although lack of supplies will halt this position. One firm expects to be unable to deanother new car after another FACTORY READJUSTMENTS It is generally considered that big factories which have formerly produced American and Canadian models will concentrate in future on English lines, which they have also been carrying for the last few years. Each of the principal factories, with headquarters in Auckland, Wellington and Christchurch, will be partially safeguarded by reason of their policy to introduce British models in the past. Agents dealing in British cars welcomed the news that importations will be permitted. The announcement vas long awaited, and when it had not teen made by the end of the year some importers lost hope and feared there would be a complete ban on all cars. One assembly plant in Auckland has been closed for a month, but it w.ll soon reopen, and it was stated that about half the former staff of 90 hands will be employed for at least six to eight months. SPARE PARTS SCARCE “An immediate effect will be the appearance of more small-powered English cars, rating from eight to 11 horse-power,” commented one importer. “It almost looks as though by virtue of the drastic cut in imports it may not be necessary for the Government to be so drastic with any future petrol rationing that may be proposed. It seems as if the position will automatically take care of itself.” There is a distinct shortage in the country of spare parts for all types of cars. This has been largely brought about by the 40 per cent, allocation of importations last year. The restriction has now been abolished, and 100 per cent, imports on the basis of +he half of 1938 will be permitted. This decision is generally considei motor trade to have been an extremely wise one.