We are currently looking at huge subsidies for the car industry, and others.

So, here we have an industry that is failing, so is just propping it up going to work.

There is no doub the most successful rewrads programs are, cheap pertrol, and fly bys.

So, rather than just throw money at the industry, in the hope that the problem will just go away, why not introduce a system whereby we the people get rewarded for buying Australian made cars.

Buyers could be issued with a discount card which gives them say ten cents per litre off their fuel, or, they could choose the fly by points instead.

For those who don't, or can't buy new, a second, and even third tier of discounts would be available, at lower rates, just for owning an AU made car.

At least this way the subsidy is still there, but it's given to those who buy the cars, not just the industry.

The result would be increased business for the industry, which should in effect save them.

Now of cause this would take time to implement, so in the mean time, subsidizing the industry would still have to ocurr, but at least there would be an end goal.

Now if proven successful, then perhaps this could be spread to all Australian MADE AND OWNED goods.

It's a pro active approach, rather than the reactive one of simply throwing money at the problem, because once the money runs out, what then if the problem is still there.

Butch isn't the money for retooling, so they can make smaller cars. it's obvious people don't want the bigger cars now.
So no one is throwing money at anything.
Businesses are undergoing change as we speak, leaner and more efficient.
The high dollar could be here for quite some time.
8 billion for exporters over 3 years
1 billion for business for equipment and cost cutting.
9,112 agreements reached by FWA last year.

Actually it's the government that's the problem with car imports.

Only a small percentage of Falcon/Commodores were bought new by the public in quite some time. The majority were government, [all 3 levels] & company purchases, which then filtered down into private ownership.

In those heady days of sales tax, councils & states did not pay the tax, & by buying cars, popular on the second hand market, they could sell their cars second hand, for more than they paid for them. It was in fact a nice little earner for them, & councils gave "company" cars to everyone they could. By charging for private use, they made a profit.

Now that this little perk has gone, they have gone to smaller/cheaper cars, to reduce depreciation losses. That destroyed our manufacturers hold on the market, particularly when they did not produce any cars in this category.

Many would prefer the larger car, particularly now, when they can get near to small car economy, than the box on wheels that has replaced it, if they were available at prices they could afford. People aren't going to pay twice as much for a second hand car, as the new box on wheels cost. As with the US, we can not produce cheap little boxes cost effectively here, with our cost base.

So get up your council & state government, it's their fault, & of course Howards. This is one of the unexpected consequences of the GST replacing sales tax. Naughty Johny.

Then get into the reserve bank, who have caused much of our dollars appreciation, with ridiculously high, [to the rest of the world] interest rates, now destroying much of the industry we have left. There should never be a banker on the reserve bank board to avoid conflict of viewpoints, not just conflict of interest.

It really would make more sense for the commonwealth to buy more locally manufactured cars, than just give the companies money. It didn't work with Mitsubishi, & it won't work long term with the others.

The car industry has for a long time been infested with the unions, and while the industry is crying poverty, the unions have negotiated a 22% increase over some 3 years, and absenteeism is rife.

Any government largess should be accompanied by some austerity agreement with the unions.

Good idea SM. GM in America has had it's best year yet.
Australians are preferring not to buy AU brands. Which will be to our own detriment.
The industry needs change.
Self drive cars are on the roads in one US state