For further information on the Automotive industry in Australia, please contact Commercial Specialist Kate Wilkie, U.S. Commercial Service Melbourne on Tel: (+61-3) 9526-5927, Fax: (+61-3) 9510-4660, Email: kate.wilkie@N0SPAM.mail.doc.gov

Overview

The automotive after market for components and accessories is valued at around US$12 billion and is split fairly evenly between local producers and imports. Vehicle servicing accounts for 35 percent and other parts and accessories accounts for 33 percent. The remainder is made up of repair parts, oils, lubricants, additives, and electrical accessories. According to the World Trade Atlas 2006, the United States is the leading supplier, accounting for 22.73 percent of imports, while Japan is second with 21.72 percent or US$377 million. Australian importers are increasingly attracted to U.S. suppliers because of the duty-free status on U.S. automotive imports under the U.S.-Australia Free Trade Agreement, the large U.S. supply base, and the weaker U.S. dollar.

Best Prospects

The Australian automotive market provides excellent opportunities for U.S. suppliers of specialty aftermarket equipment as well as the necessary aftermarket parts such as: tires, carburetors, engine parts, piston rings, fuel injection products, transmission and ignition products, lubricants and fuel pumps, body repair kits and products, automotive tools and aftermarket accessories. In general, there is always demand for high-quality and competitively priced accessories.

Standards

Parts and some accessories must comply with the Federal Motor Vehicle Standards Act 1989. This applies to locally-manufactured, as well as new and used imported vehicle products. The Motor Vehicle Standards Act requires these items to meet the national standards that cover a variety of safety and emission requirements. These national standards are currently known as the Australian Design Rules (ADRs). The Department of Infrastructure, Transport, Regional Development and Local Government (http://www.infrastructure.gov.au/) oversees compliance with the ADRs, which use United Nations vehicle categories and are harmonized to a considerable extent with international standards. The Australian Automotive Aftermarket Association reports that national standards are stable and well enforced.

Opportunities

The prime area of opportunity in Australia’s auto sector for U.S. manufacturers of accessories and replacement parts is for light and medium-sized family cars and sports utility vehicles. Parts and accessories for both routine auto maintenance, as well as high-end cosmetic auto enhancement offer considerable opportunity for U.S. firms. Sales are generally through agents or distributors. According to the Federal Chamber of Automotive Industries (FCAI), sales of light cars and all types of sports utility vehicles have helped the Australian motor vehicle market to strong 2007 sales. Furthermore, results from a local industry statistician show that the small car/light car segments were one of the main drivers of the 2007 market with sales up by 9 percent and 15.4 percent, respectively, in November 2007. This growth trend is as a result of spiking fuel prices together with a succession of rising interest rates in Australia.

Trade Shows

NATIONAL 4X4 SHOW
Brisbane: April 24-27, RNA Exhibition Grounds
Melbourne: October 25-28, Melbourne Exhibition and Convention Center
Frequency: Annual
Exhibition Organizer: Exhibition & Trade Fairs Pty Ltd
Web Site: http://www.4x4show.com.au/ or http://www.etf.com.au/etf

AUTO EQUIP EXPO 2008 Date: August 8-10, 2008
Location: Sydney Convention and Exhibition Centre, Darling Harbor
Frequency: Annual(alternates with Melbourne)
Organizer: Expertise Events Pty Ltd
Web Site: http://www.autoequipexpo.com.au/sydney08.php

THE AAAA TRADE FAIR 2009
Date: April 2-4, 2009
Location: Sydney Convention and Exhibition Center, Darling Harbor
Frequency: Biennial
Web Site: http://www.aaaa.com.au/ & http://www.aec.net.au/aaaa

COLLISION REPAIR EXPO Date: April 2-4, 2009
Location: Sydney Convention and Exhibition Center, Darling Harbor
Frequency: Biennial Exhibition Organizer: The Australian Automotive Aftermarket Association and Australian Exhibitions and Conferences
Web Site: http://www.collisionrepair.com.au & http://www.aec.net.au/aaaa/