Despite much anticipation and hope that Australia's new Free Trade Agreement with Britain could pave the way for lower car prices among imported vehicles down under, the likelihood of such an outcome appears to be decreasing by the day.
With the 5 per cent import tariff set to be abolished, it would be the natural gateway for local new car buyers to score a modest discount. Sadly, however, no guarantees have been provided that these savings will be passed onto motorists because the decision will rest with each of the affected car manufactuers.
Some of the British-built makes of car that are affected include the vast majority of the models out of Jaguar, Aston Martin, Mini, Bentley, Rolls-Royce, McLaren and Land Rover. In addition, certain models from Nissan, such as the Juke, Leaf and Qashqai, are also among those affected since they are produced over in the Britain. At this point, however, each of the manufacturers has kept a lid on any speculation about lower prices, arguing that it is too early to come to any decision and a review of the final outcome is necessary.
At first glance this may seem like a pragmatic approach. However, an official statement from the office of the Australian Prime Minister released on June 16 stated that the import duties have already been waived, touting as fact that “Australian consumers will benefit from cheaper products, with all tariffs eliminated within five years, and tariffs on cars, whisky, and the UK’s other main exports eliminated immediately.”
