China Association of Automobile Manufacturers & Foreign investors.

Amsia Motors, RANGER Long distance Bus.

The domestic Chinese auto market has seen an increase in foreign investors to the extent that they now make up the majority of the Chinese auto market for the first time in a long while. While China is dominating the markets in technology and other industries their domestic auto market has not seen as big of advances as they would have hoped going up against bigger and more prepared foreign automobile manufacturers.

                The China Association of Automobile Manufacturers (CAAM) does mention in their annual report of the state of the Chinese automobile market that domestic Chinese car manufacturers did see an increase in domestic car sales up 7.5% from November of 2012 and up 5.5% from October of 2013. While the domestic auto manufacturers market is not growing as quickly as the foreign car market is there is still growth being seen in the domestic sector, bringing continued hope to domestic car manufacturers.

                In 2013 domestic Chinese automobile sales increased 11.5% while maintaining a 40% market share in the domestic Chinese automobile market. The Chinese government is attempting to create a series of incentives and subsidies to encourage the sale of domestic Chinese cars to the population while also instituting technology transfers between domestic car companies to level the playing field and create a stronger domestic manufacturing environment to better forge ahead in the years to come.

                Although these measures are being taken to increase the domestic market share of local Chinese car companies China is also searching for ways to profit off of the ever-booming foreign car market. The state may decrease its high tariffs on foreign cars and ease some of the restrictions on foreign automobile companies that do business in China, making it easier and more profitable for foreign car companies to do business in China.

Amsia Motors, KOMI Smart Cart, 2014 new model.

Despite the pressure on the domestic Chinese car market to keep up with production and sales foreign car manufacturing companies are still investing more into the Chinese market than the domestic companies themselves are willing or able to. In addition to investing foreign car manufacturing companies have the advantage of putting out new models of cars at a quicker rate than the domestic Chinese car companies are able to. Consumers who like variety, therefore, are more drawn to purchase a different kind of car than the average Chines domestic model that is available.

Exports of Chinese cars to foreign markets are down this year although car manufacturers hope they will increase as the year continues. As the domestic market is hit by more Chinese car regulations the export market is essential to the Chinese automobile manufacturing industry. Some cities in China have continued to regulate the sales of cars, when they can be driven, and what kind of cars can be bought due to the increasing amount of pollution affecting major cities in China. This puts a damper on the exuberant nature of the Chinese automobile consumer.
The 2014 automobile year looks as though it will bring some beneficial changes to the domestic Chinese automobile market.

Australian automobile industry and the ever growing EV, around the Globe.

The Australian automobile manufacturing industry is coming to an end by the year 2017 as its last manufacturer, Toyota, announced its withdrawal from the country. The Australian automobile manufacturing market has struggled during its 50 year history to bring profits to companies who decide to build their cars in Australia.

                Toyota Australia is following in the footsteps ofFord and General Motor Holden, both automobile giants who were unable to continue making their cars in Australia and pulled out of the manufacturing market there during the last year. Toyota�s Australian branch CEO and President MaxYasuda stated that many factors went into their decision to pull out of the Australian market, most of which were related to the company�s inability to turn a profit on the manufacturing side of the Australian operations. Approximately 2,500 employees of Toyota Australia are likely going to lose their jobs and, after review, may be followed by corporate and higher up positions once the dust has settled and inquiries into Toyota Australia�s business practices can be conducted.

                CEO Yasuda also mentioned other factors that prompted Toyota�s exit from Australia including the unfavorable Australian dollar and exchange rates, high costs of manufacturing their cars in Australia and a lack of business flexibility to maximize profits.

                Internal discussion of the automobile manufacturing industry in Australia reveals a hard political commentary as well as worry over lost jobs and a potential economic downturn as consequences of the exodus of Toyota Australia, Ford, and General Motor Holden. The National Australian Manufacturing Workers Union (AMWU) national secretary, Paul Bastian, blamed the government�s lack of interest in supporting local Australian workers and promoting increased investments for the automobile industry for Toyota�s leaving. Vehicle secretary Dave Smith said that the absence of Toyota Australia would impact industries from shipping, transport, sales and more; he mentioned the potential (and likely) recession that could hit the parts of Australia who were most invested and dependent on the automobile manufacturing industry.

                The manufacturing industry in Australia began in 1948 with the Chifley Holden. During the Tony Abbott government subsidies, handouts, and tariff protections that were common in the beginning decades of the Australian automobile manufacturing industry were cut off, making it difficult for companies like Toyota to justify doing business in a country where they were continually operating at a loss. Not only has Australia failed to maintain the business of the companies operating in it but also had no success growing its clean energy car sector or attracting new manufacturers to its shores.

                There is, however, still time and opportunity for the Australian automobile manufacturing industry to regain some of its lost momentum; Toyota, Ford, and General Motor will have officially shut their doors in 2017, leaving 3 years in the meantime for other car manufacturers to leap on an empty market. This market already has a trained workforce as well as manufacturing facilities, knocking down up-front costs of creating a manufacturing industry from scratch.

                Australia has the means and hopefully can find the motivation to save its challenging automobile manufacturing industry.