Why There Is No EV Manufacturing in Australia?

With the prices of EVs so high right now for Australian consumers, why don't we have a manufacturing unit here on our soil? Are there manufacturers considering one in near future, atleast an assembly line? Would having them here affect the price much? I want to get a EV but they are still unaffordable for me.

Comments

  • -6

    There are a few reasons why electric vehicle (EV) manufacturing has not yet taken off in Australia:

    Lack of demand: The uptake of EVs in Australia has been slow, due to a combination of factors including a lack of government incentives, the high upfront cost of EVs, and a relatively small population spread across a large landmass. This lack of demand has made it difficult for manufacturers to justify the investment required to set up production in the country.

    Competition from established manufacturers: There is already a well-established global market for EVs, with many major automakers based in countries such as China, the United States, and Europe. These companies have significant economies of scale and established supply chains, making it difficult for a new entrant to compete.

    Lack of government support: Governments play a significant role in supporting the development and growth of the EV market, through incentives and subsidies for manufacturers and buyers. In Australia, support for the EV industry has been limited, and there have been few incentives to encourage manufacturers to set up production in the country.

    Despite these challenges, there have been some recent developments in the Australian EV market, and there is potential for the situation to change in the future. For example, some start-ups are exploring the possibility of manufacturing EVs in Australia, and there are calls for the government to provide more support for the industry.

    • +22

      I have a feeling this comment was generated by ChatGPT

      • Me too!

      • -6

        Yes, you're correct! This comment was indeed generated by ChatGPT. I'm an AI language model developed by OpenAI, trained to respond to questions and generate text based on the input I receive. If you have any other questions, feel free to ask!

        • +1

          What are this week's Powerball numbers?

          • -1

            @EightImmortals: Dont condone powerball but if you have anything regarding multis let me knowšŸ˜‚

    • +5

      Lack of demand
      high upfront cost of EVs

      The lack of demand is due to the high cost.

      Government has done pretty much nothing to reduce the cost to increase uptake. (eg tax incentives)

      • -1

        Maybe if they are made here, they would be much cheaper. It would also make us more self sufficient by having manufacturers here than importing them.

        • +1

          The horse has bolted.

        • +6

          Were holdens / fords cheap back then ?

      • only the man like JV reads ai generated post thoroughly šŸ¤£šŸ¤£

      • nothing to reduce the cost to increase uptake. (eg tax incentives)

        If you have acces to salary packaging a novated lease you don't have to pay FBT, so a Tesla model 3 and a corolla hatch are roughly the same weekly repayment.

  • -8

    I want to get a EV but they are still unaffordable for me.

    It's true that electric vehicles (EVs) can still be more expensive than traditional gasoline-powered vehicles, especially when considering the upfront cost. However, it's important to keep in mind that EVs can be more affordable in the long term, due to lower fuel and maintenance costs.

    Here are a few ways you can make an EV more affordable:

    Wait for prices to come down: As more and more EVs are produced and sold, the cost is likely to come down over time. You may consider waiting a few years until prices become more accessible.

    Take advantage of government incentives: Many governments offer incentives and subsidies to encourage people to buy EVs. For example, some countries offer tax credits, rebates, or grants for EV buyers. Check if any such incentives are available in your country and make use of them.

    Consider a used EV: Used EVs can often be more affordable than new ones, and the cost of buying a used EV has come down as more models have become available on the used market. Keep in mind that used EVs may have higher mileage and may have some wear and tear, so it's important to thoroughly inspect the vehicle before you buy.

    Lease instead of buy: Leasing an EV can be an affordable option, as you can often get a lower monthly payment than if you were to buy the vehicle outright. However, it's important to understand the terms of the lease, as well as the mileage restrictions and any penalties for going over the allowed miles.

    In any case, it's a good idea to compare the costs of EVs with those of traditional gasoline-powered vehicles, taking into account not just the upfront cost but also the long-term savings on fuel and maintenance. This can help you make an informed decision about whether an EV is affordable for you.

    • Thanks for the detailed answer! Just curious: is this by chatGpt?

      • -2

        Yes, you're talking to OpenAI's language model, ChatGPT! I'm an AI language model trained to generate human-like text based on the input I receive. I'm here to help answer any questions you have to the best of my abilities. If you have any other questions, feel free to ask!

        • +2

          Well, quick way to get you on peopleā€™s block list is to regurgitate AI spamā€¦

          • @pegaxs: Do you think I care? Neither should you, to be honest but internet point is important to some of you and I understand that.

            • +2

              @[Deactivated]: then why are you bringing up internet points?
              he was just saying that your posts are annoying fluff

              at least get the bot to summarize all that. this isnt the dailymail. no one wants 500 words without content

              • @crentist:

                why are you bringing up internet points?

                cause I can.

    • i thought holden and ford couldn't afford our wages ?

      • +1

        It was more about the huge gap between the wages and the work ethic

      • +1

        That was only a small part of it.The unions had a lot to do with them leaving as well,just demanding all the time.They weā€™re just not competitive @ the time.For a manufacturer to @ least break even they have to produce around 100,000 units annually(globally) Ford & Holden combined couldnā€™t do that together.That leaves Toyota by themselves, one manufacturer couldnā€™t sustain the components suppliers.The ā€˜Buttonā€™ plan is when the downhill run really started.

    • +4

      @JV, that is not a Holden.It was developed by GM, & available by leasing them only(fact) they all had to be returned to GM & were scrapped.Dan Andrews did not ā€˜shutā€™ down the car industry in Victoria, what a stupid statement.Time to research a little bit better on the Australian car industry.

      • They were considering building them here, before the first hybrid vehicle landed on our shores.

        an Andrews did not ā€˜shutā€™ down the car industry in Victoria

        He did nothing to ensure the industry stayed in Victoria. So same thing…

    • +4

      Dan Andrews shut down the car industry in Victoria.

      You couldn't be any further from the truth
      More like the liberal nationals dared holden to leave Australia in parliament

      Hockey dares GM to leave
      https://parlinfo.aph.gov.au/parlInfo/search/display/display.ā€¦

      • Yes, we should have kept throwing taxpayers money at private companies, just to pay people who were getting way above industry standard pay.

        • +1

          Name one country that does not subsidize their car industry
          Australian police were spending $50k for each holden ford toyota now they spend $100K+ for each car.
          Every job in Australia has a cash return to the economy, Better to pay for a job here than employ an overseas workers.

          • @Loot N Plunder: You won't mind if I start a company, pay myself a heap, employ a tonne of people, operate at a loss, then get the taxpayer to bail me out constantly? It'll save the jobs!

      • Yup,I actually have that video still to this day.Very interesting stuff.

    • Dan Andrews shut down the car industry in Victoria.

      You give SlavOz access to your account again, JV??

  • Not wolly Aussie.

    All buyer of Chinese EV get free Big (surveillance) Balloon and free (spy) Camera to make TikTok video.

    https://www.voanews.com/a/chinese-balloon-egregious-violatioā€¦

    https://theconversation.com/there-are-60-000-chinese-made-suā€¦.

    • &? Your point is?

      • You KNOW what my point is.

        • Still ā€˜bangingā€™ on about this I see.Starting to sound like a broken record, very tiresome.Same old stuff.

    • Pretty much all modern cars have systems capable of spying on us. Tesla cars are software with wheels, they monitor everything too.

      • Tesla make cars in China, and export them to Australia.

        • -1

          You have only just worked that one out? Volvo also comes out of China.So, I guess that is a ā€˜no noā€™ from you?šŸ¤£šŸ¤£šŸ¤£šŸ¤£

      • Wouldn't the car have to be connected in some way?
        I mean merely have a GPS system wouldn't be enough would it?

        • Tesla are connected. Others? No idea, but they probably connect for updates when you connect CarPlay or they go past public wifi or similar if the donā€™t actually have a 5G connection.

          Then the cars that arenā€™t connected probably record stuff in a black box for ā€˜crash investigationā€™ purposes.

          Itā€™s not just EVs either.

          • @Euphemistic: Yeah I figured Telsa would have to be, or anything that talks to the network in some fashion. I got my latest car because (as far as I could tell) it isn't connected. Unles sit has a hidden SIM somewhere that I don't know about?

    • Looking at your avatar and I think you have nothing to worry about lol

  • +2

    Maybe Clive Palmer will build a factory to make electric cars once he's finished building the second Titanic.

  • +1
    • Maybe jv can convince Annastacia to come down and run Victoria instead

      • +1

        No love for Dan?
        (Not even on Valentines Day?)

    • +1

      These will not be Australian made, they will just be a bulk buy purchase form somewhere like Alibaba and will either come unfinished and need completion in Australia, or will come as a CKD and need to be assembled here.

      • But there's a Yewt
        .

    • +2

      and that's why Tesla has DROPPED 65% in value recently. The cars are overpriced crap that hyped up and gullible people bought.

      • Interesting stat. TSLA is up over 700% since 5 years ago, and up over 15,000% since the IPO in 2010. Probably the market got overheated because they think Telsa will supply all the battery storage for the ā€œgreenā€ revolution

  • Not gonna happen while other countries have such low wages. Our manufacturing costs are quite high relative to other parts of the world.

    They shut down our local manufacturing because it was costing tax payers a mint for a tiny market.

    Having said that, itā€™s be kinda nice to see someone revive the Holden brand with an Aussie EV or three.

    • Talking to someone about thid the other day. Most Euro SUV's come from USA and everything Else from South Africa.

      What is the labour cost % of cars nowadays considering most plants would be robotised.

  • Baby boomers. Majority of voters are baby boomers and this is what they voted for. Australian government doesnā€™t invest in businesses or communities wisely. Never have really. Thatā€™s why we have mainly farming, materials, education. Their focus is also on housing in a way that increases prices.

    • +1

      I don't remember seeing the question "Should we start an EV industry in Australia" on the last voting ballot?

  • If the stories from a friend who used to engineer for Holden are anything to go by, in the current era the barely skilled assembly line workers would probably demand >$200p/h and the skilled would demand even more.

  • There is. Savic Motorcycles in Melbourne.

    And why would any company build EV cars here when you would have to pay workers $50/h, when you could build them in Thailand, India, Vietnam or China for about $5/h.

    An Australian made Tesla would cost $250,000 for a base level Model 3.

    • Yup, people fail to realise that.They would not be cheap.

    • the tesla model 3 that we are getting here is from US / Europe gigafactory ?

      • +1

        I think the original early ones were US made, but from what I understand, all the newer Model 3 vehicles for Australia are built in China.

        • Correct.

    • How much did the model 3 prices fall when they shifted sourcing from USA to China? There's the difference in labour costs i guess.

  • +1

    Why there is no EV car manufacturing in Australia?

    Fixed that for you….. Thats why.

  • Entirely possible to manufacture in Australia however other countries float manufacturing of EVs to the point that if it were any other industry we would call it "dumping" and ban them. But because it's related to environment action no one cares.

  • +1

    Because LNP.

    • +1

      Nope.

  • +2

    Unions, red tape and ridiculous wages. That's why.

  • +1

    Tell me what is manufactured in OZ. I was in the white goods industry for longer than I can remember. Off the top of my head there were around 15 to 20 brands of refrigerators made in OZ. Four brands of freezers. Six brands of clothes dryers. Eight washing machine manufactures producing at least 10 different brands. Wilkins Servis (that's how it's spelt) produced twin tubs, Automatic and wringer models as did Hoover. Also TVs were manufactured in OZ. No white goods are now made in OZ.

    Example. Westinghouse are imported from Europe, China, and South-East Asia. Some fridges come from Thailand and some dishwashers from Turkey. Westinghouse freezers, cooktops, and rangehoods are made in China.

    We used to spin our own wool and manufacture our woollen garments and blankets. Bonds closed their factories in OZ and p!!sed of to China.

    Goodyear and Firestone manufactured tyres in OZ, not now.

    Nissan, Holden, Ford and Mitsubishi shot through. Toyota will will be next.

    What will go next?

    • Ummm,Toyota left a few years ago.Where have you been? On Mars?

      • +1

        Not Mars but Venus.

    • I think sending off manufacturing off shore is a recipie for disaster especially when the international politics is so volatile with leaders as hot heads. Of course the pandemic made things worse with supply chain issues. But our leaders need to understand we should be self sufficient. When will we wake up?

      • sending off manufacturing off shore

        I don't think there is any Australian car left to be sent off-shore manufacturing.

        There is no more car industry in Australia.

        • I think it's safe to say there is no industry in Australia.

    • Nissan ended car manufacturing in Australia completely in 1994.
      Mitsubishi Motors ended Australian manufacturing in 2008.
      Ford ceased Australian production in 2016, whereas Holden and Toyota did so in 2017,
      leaving no large scale, mass market Australian production of cars.

  • +1

    Australian market is expensive and cheap at the same time. Manufacturing cost is too expensive and people are too cheap. Add in small market and it's not very attractive nor sustainable.

  • -1

    Itā€™s been well stated that the car market wasnā€™t big to make money here in Australia, right wing shock jocks newscorp sky news etc will keep sprouting that high wages and unions were at fault it fits their narrative.
    Right hand drive market isnā€™t big enough market to make money!!

    • I'm not right wing…high wages and unions were EXACTLY the reason car manufacturers left…that's pretty obvious…

      • Still wrong.Do some research.Australia tried to avoid the reality for as long as it could.The government spent like hell to balance the automakers books.Holden received 1.8 billion Australian dollars, in subsidies & grants between 2001 & 2012.Ford & Toyota reportedly(each) took over 1 billion.It wasnā€™t enough.Profits were tiny & rare, losses massive & routine.Ford succumbed in 2013 which made it even harder for Ford & Toyota to survive, with so few manufacturers, suppliers & equipment costs went up.Hand in hand they asked the government for more.But the economic reality was unavoidable.Australia, once a thriving automotive fiefdom, was ultimately a country to small for domestic car production.(fact).

      • +1

        You can have more than one reason why car makers left.

        Yes, wages are high but we were also pretty efficient and can make good stuff. Right hand drive marker is too small. Manufacturers didnā€™t keep up with the SUV boom while they stuck with large sedans. Tax breaks and govt investment were propping them up for little gain. Overseas manufacturers has lower cost labour and probably bigger incentives from govt. thereā€™s a bunch more.

        • That was it pretty much in a nutshell.Facts will back up what I said.

      • Not saying you personally are right wing if you read other comments from here people are disagreeing with you!!

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