Recommendations of the Bracks automotive industry review

AAP General News (Australia)
08-15-2008
Recommendations of the Bracks automotive industry review

Key recommendations of the Bracks review into automotive industry:



* Reduce the passenger motor vehicle tariff from 10 per cent to five per cent by 2010,
making Australian car tariffs the third-lowest among major automotive-producing economies
in the world;

* Bring forward to 2009, and doubling to $1 billion if successful, the government's
Green Car Innovation Fund;

* Include road transport in an emissions trading scheme;

* Support a short-term restructuring fund to assist the automotive supply chain to
improve economies of scale;

* Encourage automotive exports through expanded free trade agreements, particularly
with the Gulf States, ASEAN and South Africa;

* Replace current Automotive Competitiveness and Investment Scheme with a new and re-targeted
Global Automotive Transition Scheme designed to support research, development, design
and export;

* Harmonise and, in some cases, reduce state and territory passenger motor vehicle
taxes, while encouraging governments to support an environmentally-sustainable Australian
industry; and

* Establish a new Automotive Industry Innovation Council to provide advice and oversight
in relation to the new transitional arrangements.

AAP rl/srp/bwl

KEYWORD: CAR (FACTBOX)

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