Much Trade Lost to Body Builders

Sun (Auckland), Volume II, Issue 336, 23 April 1928, Page 14

Much Trade Lost to Body Builders

FISCAL POLICY BLAMED TARIFF REFORM WANTED “Only those who take an active part in the work of the New Zealand Coach and Motor Body Builders’ Federation can realise the enormous amount of time and expense required to impress upon the Minister of Customs the extent of the disastrous results that would have eventuated had the resolutions submitted to the House on September 13 been carried. Nothing short of the complete annihilation of the industry was proposed.” So saya a special report on tariff questions submitted to the federation conference Which opened in Auckland to-day. “Since the inception of our organisation, in bad and good times alike, much local trade has been lost owing to the fiscal policy of the various Governments that have held office,” continues the report. “For 15 years motor body builders have solidly advocated policies, which if adopted, would have stabilised an industry that would have given employment to many thousands of workers. Some progress has been made, and it is to be regretted that so much effort and expense is necessary in order to endeavour to create conditions that will ensure the development of the industry. NOT CONSIDERED BY HOUSE “At our last convention the policy suggested by the tariff committee was unanimously adopted. It was as follows:—British chassis, assembled or unassembled, duty free; British bodyduty, 5 per cent, increase; foreign chassis, 10 per cent, reduction; foreign completed cars, 20 per cent, increase. “Prior to the tariff resolutions being brought before the House a pamphlet was prepared setting out the position of the motor body building industry. This was mailed to each member of the House with the policy of the federation printed in it. The resolutions disclosed the fact that no consideration was given to the requests of those engaged in the industry. The Government had formed the opinion that the assembling of completely knocked down bodies would develop into an industry that would employ more labour than the building of motor bodies, and remissions of duty were suggested on C.K.D. bodies. Several deputations waited on the Minister of Customs, and as the result of our protests the tariff was unaltered. “Under the circumstances the retention of the old rates must be regarded as satisfactory. Without our organisation each man in the trade would have lost heavily; plants would have been idle and many establishments would have been closed. “The policy of the federation is again open for consideration and this important phase of our activities must be carried on until a change of Government is made. “The motor trade of the Dominion experienced a lean year in 1927, and the sum of £2,035,536 sent out of the country for motor-cars, chassis and

commercial vehicles was the lowest since 1922, and £1,647,637 below the value of imports in 1926. “The record year was 1925, when motor imports were more than double the aggregate for last year. Imports from Canada slumped so heavily that on a value basis British vehicles succeeded to second place for the first time in many years. At the present time the expansion of the motor body building industry in this country is almost entirely dependent on the increased importations of British chassis. BRITISH POSSIBILITIES “Members of the tariff committee waited on Mr. W. R. Morris and discussed with him various questions of interest to the British car manufacturer and the local body-builder. Mr. Morris stated that the locally-built bodies he had seen were very fine jobs, and that his firm was anxious to supply chassis in any quantity for New Zealand body-builders. He also stated the erection of assembly works in the Dominion by his firm was not contemplated at present, although he favoured the scheme of exporting completely knocked down bodies, as the higher cost of locally-built bodies prejudiced the British car in competition in price.”