In our glorious land down-under where life is "great", it seems that most Aussie new car buyers are ripped off due to the so-called distance issues.
Fair enough, we pay a 10% GST, luxury car tax (LCT) of 33% for every dollar over a certain $60,XXX threshold. However, how can car companies justify charging us the ridiculous margins they charge?
Example: Brand new Audi S4 in the USA is around $49K USD. In Australia, it's over $100K AUD. Ok, it is further to ship to Australia, but not that much further!?!
Another example (but not as severe in price difference): Brand new Subaru WRX STI in the USA is around $36K USD. In Australia, it's around $59K. Shipping distance would be comparable.
There are 2 fronts to why we Aussies should be UPSET about new car prices:
LCT
Given that the LCT was supposed to protect the Aussie car industry from overseas imports, it's now (or will be) a piece of bulldust as there will be no mass Aussie car industry in the coming years (even Toyota's future hangs in the balance - if it doesn't win the production rights to the new Camry, it will most likely leave Australia too). So why is there a LCT in this day and age???Car Makers protecting their exorbitant profit margins in Australia…You only need to see the Audi example above…
No wonder the Aussie built cars can't compete overseas…What we expect to pay for an Aussie built car here, is actually a very expensive proposition to those buyers - who can buy much "better valued" cars…
Enough blabber…I am just p@ssed-off when I know I will be ripped off when I go shopping for a new car in the future…The OzB Community should make some noises about this, if they feel the same as I do…
I think the real question should be.
Do we [ mankind ] still need to out of date government/economic model ? capitalism, democracy, dictator, communism, republic and others.
This Tedtalk sum it up quite good