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THE VACC’s election manifesto released this month is seen as a way for the next federal government to outline its intentions and policies for the automotive industry.

With this in place, the VACC said, automotive business owners could develop, plan and invest with confidence and, by extension, ensure the future success of the industry.

It would help the industry thrive as it transitions into a new technological landscape, with its exciting career opportunities.

VACC CEO Geoff Gwilym said: “Such a blueprint is well overdue and must be developed in consultation with industry to ensure it has a practical and powerful impact.”

He said that the development of a blueprint, as recommended by a Senate Economics Reference Committee report (‘The Future of Australia’s Automotive Industry’), will assist the federal government and industry.

“Critically, it will inform government as it considers the implications of a changing automotive landscape, urban infrastructure, skill requirements and government revenue streams, all of which require forward planning and policy debate,” Mr Gwilym said.

“It is critical the next federal government makes its intentions clear and details its support and policy direction for the industry.

Geoff Gwilym

“Despite its economic significance the automotive industry has struggled for significant recognition from government.

“The disruption, as well as opportunity, that the uptake of electric, connected and autonomous vehicles is set to bring will be better handled if a strong policy framework is in place.”

Mr Gwilym said that with such a blueprint in place, the next government could continue to reap the annual $37 billion income – representing 2.2 per cent of the country’s GDP – from the automotive sector.

The industry has 69,365 automotive businesses employing 385,500 people.

The VACC said that since the end of local vehicle manufacturing in October 2017, automotive repair and maintenance accounts for the largest share of the industry (54 per cent), followed by motor vehicle retailing (8.3 per cent) and motor vehicle and parts wholesaling (7.6 per cent).

Its data also found that there were 19.2 million registered vehicles on Australia’s roads as of January 2018 and around five million new and used vehicles sold last year.

The VACC previously presented a manifesto ahead of the July 2018 Victorian state election. Under the heading “Better Business. Better Victoria”, it outlined key issues the VACC saw requiring urgent attention from the next state government.

These included addressing skills shortages in the automotive industry, promoting apprenticeships to young people, parents and schools, and realigning Victoria’s high payroll tax with other comparable states to promote competition.

By Neil Dowling

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