Each state in Australia differs in the numbers and types of automotive activities being undertaken. They also differ in terms of industry growth and decline and business confidence.
All states experience skill shortages that are constraining growth. Skills shortages are largely the result of reduced apprenticeships and automotive training schemes.
NSW, ACT, Victoria, South Australia and Western Australia all experienced industry decline. Growth in Victoria and South Australia are restricted by reduced automotive manufacturing activities whilst Western Australia is affected by the reduction in mining activities. Advancements in automotive technology and increasing affordability of new cars are reducing demand for automotive repair services. Offsetting this, new car sales are growing which increases the size of the Australian vehicle fleet.
In comparison, Tasmania, Northern Territory and Queensland are experiencing positive growth and higher levels of business confidence. For Queensland and Northern Territory, growth can be contributed to a growing population and consumer demand. (Source: VACC 2017).
Source: Victorian Automotive Chamber of Commerce (VACC) (2017). Directions in Australia’s automotive industry: An industry report 2017.