Media Release

KAP Federal Leader and Member for Kennedy Bob Katter has called on the Federal Government to immediately address the potential disastrous economic consequences if motor vehicle manufacturing ceases in this country, following a study showing that Australia’s economy would take a $21.5 billion hit.

The report, commissioned by the Federal Chamber for Automotive Industries, highlighted that if Australia lost its automotive manufacturing industry, Australia’s GDP will be $7.3 billion smaller and a staggering 40,000 jobs would be lost directly.

Mr Katter said a strong and sustainable manufacturing industry was vital to Australia’s economic and technological advancement.

“Clearly the industry is fading away, in 25 years we have lost over 50 per cent of manufacturing; at this rate within 7 years the industry will be gone completely, but manufacturers have indicated that under recent conditions it will be gone faster,” said Mr Katter.

The release of the report follows the Federal Industry Minister’s comments last week that there was a possibility that the motor vehicle manufacturing industry ‘may not survive’.

“Surely the LNP must demand his resignation for such an utterly irresponsible statement.

“The courageous fighters in Australia have been working like dogs to keep these industries operating and have clearly been undermined by the Minister’s comments - who is paid to do just the opposite.

“All Australian manufactures are asking for is a fair go.

“We can question the loss of nearly $50 000 million from the Australian economy through oil and motor vehicle imports - is this a measure of how poorly our country is governed?

“The ALP-LNP ‘corporation’ that runs Australia doesn’t actually think about jobs or the economy,” said Mr Katter.

With Australia’s once-proud manufacturing industries threatening to become little more than a footnote in our nation’s history, earlier this year Mr Katter put together a motion before the House of Representatives, demanding that the Federal Government mandate that all motor vehicles purchased by Local, State and Federal Government be Australian-made using predominantly Australian steel.

“The share of Australian-made vehicle sales compared to sales of imported vehicles in this country has shrunk from 73 per cent in 1987 down to 12 per cent in 2012. In 1987, Australian vehicles comprised some 317,000 out of total 435,000 vehicles sold; whilst last year, Australian vehicles accounted for just 140,000 from a total of 972,000 sales.

"Is this the track we want our nation to go down; from being a proud manufacturing powerhouse to rapidly becoming a technologically backward country?

“The answer is simple; make yourselves heroes with the Australian people by simply stating that all Government vehicles, local, state and federal will be Australian made, using Australian made tyres and Australian made electric motors,” said Mr Katter.