The peak body representing the Australian automotive industry, the Federal Chamber of Automotive Industries (FCAI), is disappointed with the flawed analysis of the automotive industry published at the weekend by the OECD.
“The OECD report reproduces a chart which utterly misrepresents the extent of investment support to the car industry,” FCAI Chief Executive Andrew McKellar said.
“In short, they have based their assessment on the assumption that investment support to be made available progressively over the next ten years would be used in one lump sum, in response to the GFC – clearly this is wrong,” he said.
“The industry doesn’t have a problem with being accountable but the OECD has the responsibility to base its analysis on solid research,” Mr McKellar said.
“It is unfortunate that the OECD has relied on this flawed research and it serves as a warning to anyone else considering relying on this data to check their facts,” Mr McKellar said.
“The reality is, the Australian vehicle market is one of the most open and competitive anywhere in the world, with tariffs on imported vehicles now down to five percent, at most,” Mr McKellar said.
“The industry seeks to work cooperatively with the Australian Government to attract new manufacturing investment to this country,” he said,
“Any investment support must be more than matched by industry and must generate net benefits for the Australian economy through employment, increased innovation, R&D and exports,” Mr McKellar said.
“The track record of the current policy arrangements speak for themselves with Australian manufacturers successful in securing several, significant, new investments during a time of international economic uncertainty,” he said.
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