IMPORT CONTROL

Timaru Herald, Volume CXLVI, Issue 21324, 19 April 1939, Page 9

IMPORT CONTROL

British Preference Not Extended to Cars By Telegraph —Pres? Association WELLINGTON, April 18. Comment on the fact that under the import control scheme so far the preference shown to other British industries had not been extended to the motor industry was made in an interview to-day by the manager of Rootes, Ltd., London, Mr L. C. Cunningham, who arrived at Wellington by the Awatea, and intends to spend about three weeks in the Dominion.

British business people, said Mr Cunningham, were sympathetic with the objective of the Government, realising the necessity of some action to conserve New Zealand’s London funds. He believed that that objective might have been furthered during the first six months of this year by curtailing the imports of foreign and second-hand cars. Second-hand cars had been brought into New Zealand in increasing quantities in the last few years, but the business was of no real use to the manufacturing industry in Britain or to the established trade in New Zealand. For several years the New Zealand Government had urged British motor manufacturers to establish assembly plants in the Dominion. Rootes, Ltd., had assisted their distributors, Todd Motors, Ltd., to comply with the request, and had been the first to establish a local plant for the assembly of British cars.

Mr Cunningham referred to the suggestion that the Government intended to restrict imports of motor cars drastically during the second six months of this year. If that were done, he said, the motor trade would be faced with a number of problems, chiefly in regard to staff, showrooms and plant. All these had been based on the volume of trade averaged, presumably, over the last two years or so. If 40 per cent, of their sales possibility were to be taken away from them, motor firms, in spite of their desire to look after their employees, might find it very difficult to do so. Electrical Appliances "It seems strange that, the Government which supplies most of the electric power, should, at the same time be placing a limit on the business it will be able to do in the future by restricting the importation of electrical appliances,” said the manager of a large firm to-day. A shortage of refrigerators, washing machines, vacuum cleaners, and ranges was already in sight and unless the restrictions were eased in the near future there would be a general shortage of appliances. His own firm was also having some difficulty over the importation of lamps.