The AMWU has welcomed the theme of a discussion paper published by former Victorian Premier, Steve Bracks, to kick off the review of the auto industry that he is heading.
The paper emphasizes the need for the Federal Government to provide more assistance for the Australian car industry and argues that the current level of assistance offered is low in comparison to other countries.
AMWU National Secretary Dave Oliver said the union is pleased to see that the inquiry will deal with the real issues affecting the car industry, which were ignored by the former Liberal Government for so long.
“If you look at the global car industry, our investment is not up there with our competitors. If we want a successful, sustainable industry it won’t happen by itself.”
Mr Oliver said the union supports clear and targeted assistance for the industry.
“We don’t believe that money should be simply given to companies with no strings attached.
“Companies have to prove that they’re using money to secure the industry through research development, skills development and green technology.”
Mr Oliver said that the auto industry needs to look to the future and concentrate on vehicles that produce fewer emissions.
“We need to look at producing hybrid vehicles, lighter vehicles. Why can’t we manufacture a hybrid car here in Australia that we can export to the rest of the world?”
“There should be an obligation on companies to use financial assistance provided by the Government to make the industry more competitive in the global market.”
On the issue of tariffs, Mr Oliver said that the current levels should stay in place.
“We shouldn’t lower tariffs when our competitors are lifting them. The idea of pure free trade is a furphy and you just need to look at what the countries in our region are doing to realise that.
“Malaysia has a 150 per cent tariff, while India’s is at 60 per cent and China at 40 per cent.
“What we have to be looking at in any kind of trade negotiations is removing other country's tariffs and make it a truly level playing field.”