AMERICAN CARS BANNED

Timaru Herald, Volume CXLVIII, Issue 21555, 18 January 1940, Page 4

AMERICAN CARS BANNED

Quota From Britain Reduced Conserving Of Overseas Funds Motor imports into New Zealand for the first six months of this year will be restricted to British vehicles. The value of imports will be 25 per cent of that for the first half of 1938 in the case of assembled vehicles and 35 per cent covering completely knocked down models. Advice to this effect was received yesterday by a motor firm in Invercargill from the Customs Department. "The Government has decided to grant licences for th° importation of unassembled motor-vehicles from the United Kingdom during the third licensing period (January-June 1940) up to 35 per cent of the value of . imports from all sources of unassembled vehicles and 25 per cent of the value of imports from all sources of complete vehicles during the corresponding period of 1938,” states the letter. "The licences, subject to the issue of remittance authorities, will cover imports which are landed in the Dominion not later than May 31, 1940. Owing to the imperative need of conserving overseas funds other than sterling, the licences will be for the importation of vehicles from the United Kingdom only. To ensure availability of spare parts for cars at present in use. it has also been decided to grant licences on application for the importation from the United Kingdom, Canada, Australia or foreign countries up to the value of imports from such sources during the first half of 1938. This means that the reduction of 40 per cent previously is now abolished. Tariff to be Amended ; “In view of conditions obtaining at | the present time it has been decided to postpone until August 31 next the | operation of the determinations in re- | spect of bumper bars, undercarriage I springs for commercial vehicles and | unassembled doors for all-steel cabs. I Arrangements are also being made to | amend the tariff preference regulations | in order that certain parts produced | in New Zealand may be substituted I for parts imported with vehicles from | British sources without prejudicing the | qualification of such vehicles for tariff preference.’’ Information about the Government's policy on motor imports for the third period has been awaited by the trade for many months. As far back as October the Minister of Customs,' the Hon. W. Nash, announced that he intended to make a statement on the subject. Last month there was a general feeling among motor importers that trade with America would Ibe banned and at that time they were also generally resigned to a re- | duction in the importations from the I United Kingdom. Britain's Export Trade According to an Importer the fault of restricted Imports does not he with the British exporters. The Board of Trade is most anxious that Britain's export trade should be maintained and many New Zealand agents have been advised by their English principals that vehicles are available. Motor imports from all countries for the first half of 1938 were valued at £3,084.096. Britain’s share of the importations was £1,782,367, or 57.8 per cent of the total. This amount included £1,010,349 in the case of unassembled vehicles, and £772,018 in the case of built-up units. That total number of vehicles imported was 19,610, of which 11,173, or 56.9 per cent, were of British origin, including | 6401 unassembled and 4772 assembled.