Automotive industry in Fresh Zealand

The automotive industry in Fresh Zealand supplies a market which has always had one of the world’s highest car ownership ratios. The distributors of fresh cars are essentially the former owners of the assembly businesses. At the dealership level they have maintained their old retail chains in spite of the establishment of the many fresh independent businesses built since the 1980s by specialists in used imports from Japan. Toyota entered into direct competition with those used-import businesses refurbishing old Toyotas from Japan and selling them through their own dealers as a special line. The nation’s car fleet is accordingly somewhat older than in most developed countries.

Fresh Zealand no longer assembles passenger cars. Assembly plants closed after tariff protection was liquidated and distributors found it cheaper to import cars fully assembled. Cars had been assembled at a rate nearing 100,000 a year in one thousand nine hundred eighty three but with the country’s economic difficulties their numbers dropped sharply. Towards the end of the decade the removal of various limitations as part of the nation’s restructuring of its economy made available low-priced if old used cars from Japan. These used cars met the local need for high ownership levels in a financially straitened world but since that time proceed to arrive in such large numbers they substantially increase the average age of the nation’s fleet.

Toyota, Ford, and General Motors Holden division still predominate the fresh car market. The lil’ home market—the size of a large city— and distance from potential export customers worked with first-world pay rates against the formation of any significant indigenous manufacturers. Only petite boutique kit and replica car firms were able to sustain. They produce original kit and replica cars using locally-made car bods and imported componentry for both the local and international markets. Several of these, while petite in size, are noted internationally for the quality of their workmanship.

National Motor Museum Beaulieu UK

The industry began with the importation in one thousand eight hundred ninety eight of two Benz cars from Paris by William McLean. [1] Apart from a few early attempts to build finish cars all chassis were imported. Local coachbuilders, out-priced, eventually disappeared in the 1920s however not without representations to government. A few moved to assembly of finish cars or to making bus, truck and trailer figures, sometimes both. Fresh Zealand assembly of American ckd packs got decently under way in the 1920s, English ckd packs a total decade later.

McLean’s motor cars arrived in Wellington from Sydney by the SS Rotomahana on nineteen February 1898. [Two] They were a Benz Petrolette and a Benz Lightning. [Trio] After McLean’s Benz cars were imported it was almost two years before the next four-wheel car was imported.

A three-wheeler arrived in Auckland in November one thousand eight hundred ninety eight for Messrs George Henning and WM Service. [Four] At least three three-wheelers are said to have been imported in one thousand eight hundred ninety nine including a De Dion for Acton Adams of Christchurch [Five] and another for Robert and Frederick Maunsell of Masterton, [6] sons of the missionary. All three arrived in September 1899, with Acton Adams’s vehicle being involved in Fresh Zealand’s very first motor vehicle accident two months later. [7]

The same month youthfull Auckland engineer, Arthur Marychurch, returned from England with a 4-wheeled [8] Starlet [9] which he sold after a few weeks to Skeates and Bockaert. They took up the Starlet agency and sold this very first car to Christchurch grocers, Wardell Bros

The three motor-tricycles were followed in one thousand nine hundred [Ten] by a Darracq and a Locomobile steam car along with a Pope-Toledo, Eagle, Argyll, Oldsmobile, and Daimler. In 1903, one hundred fifty three cars and motorbikes were imported. [11] Cars in one thousand nine hundred three cost more than twice the average annual income meaning the market was limited to the wealthy. [12] Petrol or Benzine was not readily available except as a lighting fuel for certain lamps and in some instances for sufficient quantity owners had to order it from Sydney, Australia. [ citation needed ] By one thousand nine hundred twenty five imports had enhanced to over 20,000 cars a year. [13]

If steam-powered vehicles are counted, the very first vehicles were believed to be a steam buggy constructed by a Mr Empson of Christchurch in one thousand eight hundred seventy and a steam buggy imported from Edinburgh by J L Gillies of Dunedin, also in 1870. [14] The very first traction engine, an eight hp Reading Metal Works Limited traction engine, had only been imported three years earlier. [15] Gillies steam buggy was more very likely a Thomson Road Steamer and not a steam buggy. [16] Gillies sold the Thomson to the Canterbury Provincial Government in one thousand eight hundred seventy one for ₤1,200. [17] These were followed by Professor Robert Julian Scott’s one thousand eight hundred eighty one steam buggy. [Eighteen]

There is debate about who made the very first petrol driven vehicle. Timaru engineer Cecil Wood made a petrol engine in 1897, but later made an unsubstantiated claim to have created and driven a three-wheel vehicle in one thousand eight hundred ninety six followed by a four-wheel vehicle in 1898. [Nineteen] His very first independently confirmed vehicles date from 1901.

On three May one thousand eight hundred ninety eight a Nelson newspaper reported that a Mr Sewell of the Upper Buller had constructed a motor car and was to drive it to Wakefield that week. [20] A letter to the Evening Post’s editor later that year stated that there were two engineering firms in Wellington constructing motor car engines. [21] Whether Wood, Sewell, or the engineering firms made a roadworthy vehicle at this time is not known as there were no further articles about them.

The very first Fresh Zealand designed and constructed automobile known to have run was made by Frederick Dennison. It was a motor tricycle reported in the local newspaper on eight May 1900. [22] The article stated that Dennison intended to convert the tricycle to a four-wheel motor-car. He did so and drove it from Christchurch to Oamaru in July 1900. [23] It was the only one made and was demolished by fire on its come back journey. A replica of this car was ended and driven in June two thousand in celebration of its very first journey. [24]

This was followed by several models constructed by Wood inbetween one thousand nine hundred one and 1903, A W Reid of Stratford’s steam cars from one thousand nine hundred three to 1906, Gary Methven of Dunedin’s petrol driven car, Pat and Thomas Lindsay of Timaru’s steam cars in 1903, and Topliss Brothers of Christchurch’s car in 1904. [25] A Blenheim engineer, John Birch, constructed the Marlborough in one thousand nine hundred twelve and several cars named Carlton’s inbetween one thousand nine hundred twenty two and one thousand nine hundred twenty eight at Gisborne. One of these is still in existence with the Gisborne vintage car club.

The number of cars wielded per one thousand persons [note 1] [26]

1924: USA 143, Canada 77, Fresh Zealand 71, Australia 23, United Kingdom 14, France eleven [27]
1967: Canada 283, Sweden 250, Australia 274, Fresh Zealand 293. [28]
2011: Canada 662, Sweden 520, Australia 731, Fresh Zealand 708. (years:— Canada 2014, Sweden 2010, Australia 2015, Fresh Zealand 2011)

Government legislation has always had a major influence on the Fresh Zealand industry. The very first automobile legislation was the McLean Motor Car Act one thousand eight hundred ninety eight rushed through by McLean just before his cars were unloaded. [29] It legalised the operation of motor vehicles, providing they were lit after dark, and did not go swifter than twenty kilometres (12 miles) per hour. The Motor Cars Regulation Act one thousand nine hundred two followed. A tariff did apply to cars and car parts brought into Fresh Zealand, albeit with McLean’s cars there was some initial confusion as to what rate might apply. In one thousand nine hundred six local coachmakers sought an increase in the tariff to 50% for entirely built up vehicles [30] [note Two] and in one thousand nine hundred seven a 20% tariff was introduced on cars that arrived in Fresh Zealand already assembled to protect them but there remained no duty on chassis.

America’s dominance Edit

Higher duties were imposed on imports from countries outside the British Empire. [31] Nevertheless fresh cars registered during one thousand nine hundred seventeen demonstrate rather more than ninety per cent of Fresh Zealand’s cars originated in North America [note Trio] [32] During the Very first World War the tariff on car bods was diminished to 10% but the same rate was also imposed on the previously free chassis. Import statistics of the time provide different quantities for figures and more numerous chassis no mention of finish cars. Unlike in Australia local coachbuilders lost business in the early 1920s. Some of the thicker firms ended up producing only commercial vehicles, truck cabs, trailers but mainly bus figures, for example Fresh Zealand Standard Motor Figures (Munt Cottrell) in Petone, Steel Bros in Christchurch. Some simply became motor retailers themselves like Auckland’s Schofields in Newmarket.

freshly metalled and flipped road 1929

Before the Very first World War motoring was reserved for the prosperous. Roads in cities and towns may have been very dusty but were sleek and well-formed. Townsfolk were on the entire sated with their English cars designed for the same conditions, built with care to high engineering standards but with only lip-service to interchangeability of parts. They required regular expensive maintenance at brief intervals. American cars were built in large quantities and thus cheaper, designed by much better engineers and built for bad surfaces and to cope with irregular maintenance which might be hard to find even in their homeland.

began well but did not catch-on

During the 1920s the most common vehicles were U.S. brands made in Canada (to attract diminished Imperial Preference duties) or USA. [note Four] For example, in the very first nine months of 1927, out of 8,888 cars sold the five top-selling brands, four thousand six hundred twelve cars, were all North American. [34] [note Five] At the onset of the excellent depression car imports fell away. [note 6]

Cars from Britain Edit

In one thousand nine hundred thirty four Government announced tariffs intended to further protect Empire trade while encouraging local assembly. The level of imports began to rise at this time and by one thousand nine hundred forty 42 per cent had been added to the size of the nation’s car fleet. British sourced vehicles took a much larger share. The prosperity of country districts with the bad roads and the request for big strongly built economically priced American cars did not revive until the end of the decade or the outbreak of war.

Another factor locking in market shares was an urgent need to conserve foreign currency which eyed the government introduce import quotas at the end of 1938. Licences were allocated to local importers in proportion to their imports in the previous year. Because the fresh licensing system was based on latest history it kept North American imports at an artificially low level when their market was reviving.

Unless they bought their erstwhile distributor and with that business its entitlement to the necessary licences without the history car manufacturers could not come in the Fresh Zealand market but this fresh factor had no effect until after the war. The outcome was to be fairly a large number of mostly puny, Fresh Zealand possessed, possibly under-capitalised assembly plants. They often sought substantial support from their foreign suppliers.

Australia and Japan Edit

British sourced cars maintained their fresh share into the 1960s when Detroit’s big three began to substitute British Vauxhalls and Zephyrs with their Australian-made Holden Specials, Falcons and, later, Valiants which soon accounted for a third of the market. All locally assembled cars were their manufacturer’s most basic stripped down versions with a little number of honourable exceptions, the brief post-war runs of Jaguars or Rovers etc. This was brought about by the fight to meet request within the amount of cash the government’s exchange controls made available. One of the outcomes of import licensing was to make relatively fresh 2nd arm vehicles more expensive than fresh ones. Another was the expectation that a car would be made to last a long time and fall under many repairs that would be regarded as uneconomic in almost any other market. This practice may account for the ready acceptance of so very many used imports. Any Government intervention was designed to protect the Fresh Zealand car assembly and related industries and to reduce the effect of vehicle purchases on the country’s balance of payments with the rest of the world.

Japanese cars entered the market in the 1960s beginning local assembly by Fresh Zealand possessed businesses in the middle of that decade. One of their attractions was that they did not all display the stripped down to naked essentials look of the local cars.

By the 1980s when The number of assembly plants reached its high of sixteen in the 1980s. However following its refreshment of limitations on importing ckd packs the Government seemed to recognise, as did the Australian government thirty years later, it was cheaper and more efficient for cars to be assembled in the country where they were made.

A government Motor Vehicle Industry Development Plan was put into effect in 1984. It began by opening import competition, however spreading that over the four years to 1988, and by mid-1988 only seven of the sixteen separate assembly plants remained in business. The Government announced in December one thousand nine hundred eighty seven following a review of the plan that all import controls would be liquidated from one January 1989. At the same time a programme for reduction of tariffs on vehicles and their components was announced. [35]

Used imports Edit

As tariffs on imported cars were phased out a flood of second-hand Japanese imports swamped the fresh car market beginning decades of low or no growth in sales of fresh cars. Imports rose from less than Three,000 cars in one thousand nine hundred eighty five to 85,000 in 1990. By two thousand four over 150,000 vehicles were imported in one year. Second-hand Japanese cars made up the majority of these cars. The last tariffs were eliminated in 1998.

Bod shell

assembly and welding metal finish Paint prep splashing and drying — in the painting booth usually a plant’s most expensive item Hard trim —glass, instruments panel etc. and in some cases soft trim

Bod drop on engine suspension and wheels, soft trim —seats, upholstery added
Final inspection

Entirely Knocked Down kits would require all the above processes
Partly Knocked Down kits can be finished to the point of figure drop but may also require all but figure assembly and welding

Assembly plant buildings, plant, machinery and other equipment are not specific to the car assembly industry and could be used for many other activities. What is special is the use of the equipment to one purpose. [28]

Fresh Zealand’s car assembly industry has its roots in pre-car trades. [36] In the early 20th century, coachbuilders and wheelwrights quickly moved into building bods for imported motor vehicle chassis. [ citation needed ] In one thousand nine hundred twenty six after the announcement that General Motors would begin local assembly a deputation of members of the Fresh Zealand Coach and Motor Figure Builders’ Federation waited on the Prime Minister asking for greater protection because they said American manufacturers were dumping cars in Fresh Zealand and flooding the market. The Prime Minister deferred any decision until he had heard from other interested parties. [37] The local managing director of General Motors responded that the failure of chassis imports to grow was “entirely due to public preference and price”. [38]

Until the advent of all-steel bods which began in USA in one thousand nine hundred fifteen with Dodge and began in Britain more than a decade later motor figures in essence remained the upholstered structures of timber and sheet metal of 19th century carriages and the required abilities were readily available. Imported bods faced a duty of twenty per cent, materials to be used in figures manufactured in Fresh Zealand entered duty-free. Primarily chassis entered duty free with or without a assets. In the six years ended March one thousand nine hundred thirty three 64,300 cars were imported but only 7,600 were given Fresh Zealand made bods and tariff protection ended. [28]

From the 1920s to the mid 1930s American makes mostly sourced in Canada for Imperial Preference tariffs predominated the local assembly industry. Postwar supply was restricted by a dollar shortage then balance of payments difficulties and British later combined with Australian makes predominated. In the late 1960s assembly of Japanese vehicles began to supplant the British vehicles and by the end of the 1990s British vehicles had virtually disappeared.

1922 Colonial Motor Company Edit

Henry Ford day Hamilton

Rouse and Hurrell, coachbuilders and wheelwrights of Courtenay Place Wellington, took up a Ford Motor Company foot agency for Fresh Zealand in 1908. In one thousand nine hundred eleven their business was transferred to a freshly incorporated Colonial Motor Company Limited. [39]

CMC’s very first specialised car assembly building was begun in one thousand nine hundred nineteen [40] and finished in one thousand nine hundred twenty two at eighty nine Courtenay Place, Wellington – a steel box of nine floors, its design and location on the nearest ground off the reclamation to deepwater Taranaki Street wharf based on the Ford assembly works in Ontario, Canada. The building stood over thirty metres high and was Wellington’s tallest building at the time. [41]

The top two floors were used for administration. Assembly of cars from imported packs of parts embarked on level 7, and finished vehicles were driven out the ground floor. CMC also built smaller assembly plants in Parnell, Auckland, and in Timaru. At the end of one thousand nine hundred twenty five staff numbers were 641: Wellington 301, Parnell one hundred eighty eight and Timaru one hundred fifty two people. At that time daily output was: 25, twenty and eighteen respectively. [41] In the 1970s Wellington’s former assembly building was given a fresh facade inspired by a car radiator.

1926 General Motors Edit

in Lower Taranaki Street

Western Springs Auckland

In 1926, General Motors opened a plant in well-established industrial area, Petone, in the Hutt Valley. [42] In its very first twelve months ended mid September one thousand nine hundred twenty seven the plant assembled Two,191 cars. [43] In late one thousand nine hundred twenty nine GM was able to report the following locally sourced materials were used in their cars: wool in the upholstery, Miro timber for commercial bods, varnishes, glues, enamels and numerous petite parts, glass would shortly be added. Other articles which in GM’s opinion should be made locally included carpets and top material and its necessary padding. All associated advertising literature was locally printed and in colour. [44] At very first, it produced American Chevrolet, Pontiac and Buick cars, adding Oldsmobile in 1928.

Its very first British Vauxhalls were built in 1931, along with Bedford trucks. [45] In its very first eight years it assembled more than 25,000 vehicles. [28]

By the late 1930s the plant employed seven hundred sixty and was building GM’s Frigidaire commercial refrigerators. Silencers or mufflers were added to the range of products, 172,000 of them were made in the next ten years. A run of German Opel Kadetts was put through. The factory’s size was almost doubled in 1939, more than six acres were now under roof and the site had been expanded to 12¼ acres incorporating a cricket ground, sports field and parking for employees’ cars and bicycles. [46] This Petone plant closed in one thousand nine hundred eighty four and production was moved to Trentham.

Australian Holdens were very first introduced as assembled cars in 1954, but the very first Holden from General Motors’ Petone plant, an FE Series, emerged in 1957. A large fresh plant at Trentham in the Hutt Valley was opened in 1967, where General Motors built such vehicles as the Australian Holden HQ series, Commodore, and UK Vauxhall Viva. By the early 1970s, more than 80% of Fresh Zealand’s fresh cars were supplied by General Motors, Ford, Todd Motors and Fresh Zealand Motor Corporation. [47] By one thousand nine hundred ninety the General Motors plant at Trentham had been diminished to a truck assembly operation, later to close altogether. [48]

General Motors Fresh Zealand switched its name to Holden Fresh Zealand on fifteen July 1994. [49]

1931 Rover Edit

In July one thousand nine hundred thirty one the Rover Company of Fresh Zealand Limited told local newspapers a building was in course of erection at thirty five Jackson Street Petone where they would assemble Rover cars. It was hoped the building would be finished before Christmas. Fresh Zealand materials would be used as far as possible. Parts that couldn’t be made locally would be imported from the English factory. [50]

The fresh factory was formally opened by the Prime Minister on seventeen February one thousand nine hundred thirty two in the presence of among others the chairman of the Development of Industries Board and the Rover managing director from England. The Prime Minister noted the Rover company was the very first English company to open an overseas chassis assembly and body-building plant in any part of the Empire. He also said “Britain bought our produce and it was only right for Fresh Zealand to buy in comeback from Britain”. The only imported material in the bodywork was the leather and the steel panels. [51]

The price of the car, Rover’s Family Ten, was diminished five per cent the following July “with the benefit of economies arising out of Fresh Zealand manufacture”. It was described as greatly improved over the imported car having special bodywork, strengthened chassis framework, stronger rear springs etc all to suit local conditions. [52]

In February one thousand nine hundred thirty two Rover Coventry announced strengthening of their Family Ten chassis by using stronger gauge material and re-designed cross members to improve torsional rigidity. These improvements were, they said, the outcome of lengthy testing on Fresh Zealand’s and Australia’s roughest roads carried out to make the cars suitable for overseas use.

By July one thousand nine hundred thirty three the former Rover factory premises were vacant and advertised for sale. [53] In one thousand nine hundred thirty five tin plate printers and canister manufacturers J Gadsden and Company, subsidiary of an Australian business of the same name, were making four-gallon petrol cans (benzine tins) in the former Rover building. [54] [55]

minister of finance

A factor identified as economic nationalism. [28] In one thousand nine hundred twenty seven when eighty per cent of cars were imported from North America the method of calculating duty was adjusted in the hope of encouraging imports of the smaller British cars and more importantly encouraging more enterprises into local assembly. At the height of the depression government announced its determination to ensure as much as possible work should be done by Fresh Zealand labour. In August one thousand nine hundred thirty four Minister of Finance Gordon Coates announced that as the present tariff concessions had not been sufficient to encourage foreign manufacturers to assemble their cars in Fresh Zealand the fresh duties to take effect from one January one thousand nine hundred thirty five would be:

Finish vehicles: British fifteen per cent, Others sixty percent Unassembled vehicles: British five percent, Others fifty percent

A definition of Totally Knocked Down would be immovable by the minister and modified to ensure an enlargening use of locally sourced materials. [56]

The motor vehicle trade’s response was that they considered the reduction in tariff for ckd imports would not pay for the cost of local assembly [57]

Fully Knocked Down Edit

The industry had always been encouraged to increase local content. Compliance required importers to bring in the chassis framework assembled with its engine and gearbox but no other parts linked. Scuttle and windscreen could be assembled and primed. The bod shell could be assembled and primed. Upholstery materials could not be sewn but might be cut to form. There was no limitation on the components included in the CKD pack. [28] The very first determination was published in the Fresh Zealand Gazette of eighteen October 1934. [58]

Having lost the local bodybuilding trade upholsterers found they could not sustain and in one thousand nine hundred thirty nine upholstery materials could no longer be included in imported CKD packs, nor could batteries and the degree of assembly of imported components was further restricted. [28]

Inclusion of a banned item attracted utter duty to the entire CKD pack. [28]

Import Quotas by value Edit

Import licensing or immobile quotas to ration imported cars —and all other imports— were very first announced at the end of 1938. [59] Commentators voiced concern that this was a brief step from a total takeover of the country’s import trade and at least would permit the government to issue licences in such proportions and to such persons or businesses as it might choose. [60] The minister’s announcement was greeted by the chairman of the Primary Producers Federation with the description: “the Hitler plan” adding (even if it was a) “retreat from the Moscow road”. [61]

The purpose was to conserve foreign exchange and to protect local industry, in particular to promote manufacturing to improve employment opportunities and to reduce the economy’s reliance on the rural sector. During the war the confinements were generally recognised to be necessary but they were not dismantled only eased when conditions improved. In the early 1950s the import licensing system was overhauled and many categories were made exempt. The same period witnessed the beginning of the safety-valve no-remittance licence scheme. A balance of payments crisis in one thousand nine hundred fifty seven brought fresh controls [note 7] to restrict imports but by foreign exchange allocation. Another foreign exchange crisis in one thousand nine hundred sixty seven brought a reversal of the easing during the previous decade. [note 8] A fresh policy in one thousand nine hundred seventy nine permitted importers to obtain extra licenses when they could showcase “significantly deficient” price/quality differentials inbetween local and imported products. By the early 1980s the industry employed around 8,000 workers. [62] However by one thousand nine hundred eighty one official thinking had begun to sway away from import controls considering they did not in the long run remedy underlying conditions however they might be entirely successful at controlling imports. If the intention was to protect local industry tariffs, officials considered, would be a more efficient instrument. [63]

Accordingly, by one thousand nine hundred eighty four economic liberalisation, diminished protection for local businesses and deregulation were becoming official policy. A rationalisation scheme was underway when a fresh government elected in July one thousand nine hundred eighty four found it was facing a foreign exchange crisis and chose to deal with the economic situation with these fresh contraptions. The automotive assembly industry was recognised to be essentially artificial. Its poor build quality meant consumers preferred imported cars. The cost of a fully assembled car on Auckland’s wharves was slightly more than the cost of a CKD kit. In December one thousand nine hundred eighty four all controls on outward and inward foreign exchange transactions were lifted and the same month the Motor Vehicle Industry Plan one thousand nine hundred eighty four was approved. The Closer Economic Relations agreement with Australia stopped instantaneous free trade in cars and components. Import licensing for most goods was liquidated in July one thousand nine hundred eighty eight and the process of removing controls protecting the motor industry further accelerated. A final review was set down for 1992. [64]

In one thousand nine hundred eighty five Fresh Zealand supported fourteen assembly plants but by one thousand nine hundred eighty nine five of those had closed. In that same period Toyota, Nissan, Mitsubishi and Honda bought out their local assemblers. [64]

The following plants closed inbetween one thousand nine hundred eighty four and 1990:

Ford Motor Co — Lower Hutt Mazda Motors — Otahuhu Motor Holdings — Otahuhu and Waitara Fresh Zealand Motor Corporation – Honda — Auckland Nissan — Otahuhu Suzuki — Wanganui General Motors – Upper Hutt [64]

leaving the following passenger plants (and three commercial plants) (worker numbers are as at 1997) [62]

Toyota — Christchurch (commercial) September one thousand nine hundred ninety six VANZ (Mazda and Ford) — Manukau City March one thousand nine hundred ninety seven [65] Mitsubishi — Porirua June one thousand nine hundred ninety eight [66] (360 workers) Nissan — Wiri July one thousand nine hundred ninety eight [67] (230 workers) Honda — Nelson closed August one thousand nine hundred ninety eight [68] (220 workers) Toyota — Thames October one thousand nine hundred ninety eight [Sixty nine] (330 workers)

Automotive industry in Fresh Zealand

Fresh Zealand no longer assembles passenger cars. Assembly plants closed after tariff protection was eliminated and distributors found it cheaper to import cars fully assembled. Cars had been assembled at a rate nearing 100,000 a year in one thousand nine hundred eighty three but with the country’s economic difficulties their numbers dropped sharply. Towards the end of the decade the removal of various limitations as part of the nation’s restructuring of its economy made available low-priced if old used cars from Japan. These used cars met the local need for high ownership levels in a financially straitened world but since that time proceed to arrive in such large numbers they substantially increase the average age of the nation’s fleet.

Toyota, Ford, and General Motors Holden division still predominate the fresh car market. The lil’ home market—the size of a large city— and distance from potential export customers worked with first-world pay rates against the formation of any significant indigenous manufacturers. Only puny boutique kit and replica car firms were able to sustain. They produce original kit and replica cars using locally-made car figures and imported componentry for both the local and international markets. Several of these, while petite in size, are noted internationally for the quality of their workmanship.

National Motor Museum Beaulieu UK

The industry began with the importation in one thousand eight hundred ninety eight of two Benz cars from Paris by William McLean. [1] Apart from a few early attempts to build finish cars all chassis were imported. Local coachbuilders, out-priced, ultimately disappeared in the 1920s however not without representations to government. A few moved to assembly of accomplish cars or to making bus, truck and trailer figures, sometimes both. Fresh Zealand assembly of American ckd packs got decently under way in the 1920s, English ckd packs a total decade later.

The same month youthful Auckland engineer, Arthur Marychurch, returned from England with a 4-wheeled [8] Starlet [9] which he sold after a few weeks to Skeates and Bockaert. They took up the Starlet agency and sold this very first car to Christchurch grocers, Wardell Bros

If steam-powered vehicles are counted, the very first vehicles were believed to be a steam buggy constructed by a Mr Empson of Christchurch in one thousand eight hundred seventy and a steam buggy imported from Edinburgh by J L Gillies of Dunedin, also in 1870. [14] The very first traction engine, an eight hp Reading Metal Works Limited traction engine, had only been imported three years earlier. [15] Gillies steam buggy was more most likely a Thomson Road Steamer and not a steam buggy. [16] Gillies sold the Thomson to the Canterbury Provincial Government in one thousand eight hundred seventy one for ₤1,200. [17] These were followed by Professor Robert Julian Scott’s one thousand eight hundred eighty one steam buggy. [Legal]

The very first Fresh Zealand designed and constructed automobile known to have run was made by Frederick Dennison. It was a motor tricycle reported in the local newspaper on eight May 1900. [22] The article stated that Dennison intended to convert the tricycle to a four-wheel motor-car. He did so and drove it from Christchurch to Oamaru in July 1900. [23] It was the only one made and was ruined by fire on its come back journey. A replica of this car was ended and driven in June two thousand in celebration of its very first journey. [24]

The number of cars wielded per one thousand persons [note 1] [26]

1924: USA 143, Canada 77, Fresh Zealand 71, Australia 23, United Kingdom 14, France eleven [27]
1967: Canada 283, Sweden 250, Australia 274, Fresh Zealand 293. [28]
2011: Canada 662, Sweden 520, Australia 731, Fresh Zealand 708. (years:— Canada 2014, Sweden 2010, Australia 2015, Fresh Zealand 2011)

Government legislation has always had a major influence on the Fresh Zealand industry. The very first automobile legislation was the McLean Motor Car Act one thousand eight hundred ninety eight rushed through by McLean just before his cars were unloaded. [29] It legalised the operation of motor vehicles, providing they were lit after dark, and did not go swifter than twenty kilometres (12 miles) per hour. The Motor Cars Regulation Act one thousand nine hundred two followed. A tariff did apply to cars and car parts brought into Fresh Zealand, albeit with McLean’s cars there was some initial confusion as to what rate might apply. In one thousand nine hundred six local coachmakers sought an increase in the tariff to 50% for fully built up vehicles [30] [note Two] and in one thousand nine hundred seven a 20% tariff was introduced on cars that arrived in Fresh Zealand already assembled to protect them but there remained no duty on chassis.

America’s predominance Edit

Higher duties were imposed on imports from countries outside the British Empire. [31] Nevertheless fresh cars registered during one thousand nine hundred seventeen demonstrate rather more than ninety per cent of Fresh Zealand’s cars originated in North America [note Three] [32] During the Very first World War the tariff on car figures was diminished to 10% but the same rate was also imposed on the previously free chassis. Import statistics of the time provide different quantities for bods and more numerous chassis no mention of accomplish cars. Unlike in Australia local coachbuilders lost business in the early 1920s. Some of the thicker firms ended up producing only commercial vehicles, truck cabs, trailers but mainly bus bods, for example Fresh Zealand Standard Motor Bods (Munt Cottrell) in Petone, Steel Bros in Christchurch. Some simply became motor retailers themselves like Auckland’s Schofields in Newmarket.

freshly metalled and spinned road 1929

Before the Very first World War motoring was reserved for the prosperous. Roads in cities and towns may have been very dusty but were sleek and well-formed. Townsfolk were on the entire pleased with their English cars designed for the same conditions, built with care to high engineering standards but with only lip-service to interchangeability of parts. They required regular expensive maintenance at brief intervals. American cars were built in large quantities and thus cheaper, designed by much better engineers and built for bad surfaces and to cope with irregular maintenance which might be hard to find even in their homeland.

embarked well but did not catch-on

Cars from Britain Edit

Another factor locking in market shares was an urgent need to conserve foreign currency which spotted the government introduce import quotas at the end of 1938. Licences were allocated to local importers in proportion to their imports in the previous year. Because the fresh licensing system was based on latest history it kept North American imports at an artificially low level when their market was reviving.

Unless they bought their erstwhile distributor and with that business its entitlement to the necessary licences without the history car manufacturers could not inject the Fresh Zealand market but this fresh factor had no effect until after the war. The outcome was to be fairly a large number of mostly petite, Fresh Zealand possessed, possibly under-capitalised assembly plants. They often sought substantial support from their foreign suppliers.

Australia and Japan Edit

By the 1980s when The number of assembly plants reached its high of sixteen in the 1980s. However following its entertainment of limitations on importing ckd packs the Government seemed to recognise, as did the Australian government thirty years later, it was cheaper and more efficient for cars to be assembled in the country where they were made.

A government Motor Vehicle Industry Development Plan was put into effect in 1984. It began by opening import competition, however spreading that over the four years to 1988, and by mid-1988 only seven of the sixteen separate assembly plants remained in business. The Government announced in December one thousand nine hundred eighty seven following a review of the plan that all import controls would be eliminated from one January 1989. At the same time a programme for reduction of tariffs on vehicles and their components was announced. [35]

Used imports Edit

Assets shell

assembly and welding metal finish Paint prep dumping and drying — in the painting booth usually a plant’s most expensive item Hard trim —glass, instruments panel etc. and in some cases soft trim

Assets drop on engine suspension and wheels, soft trim —seats, upholstery added
Final inspection

Totally Knocked Down kits would require all the above processes
Partly Knocked Down kits can be finished to the point of assets drop but may also require all but figure assembly and welding

Until the advent of all-steel bods which began in USA in one thousand nine hundred fifteen with Dodge and began in Britain more than a decade later motor bods in essence remained the upholstered structures of timber and sheet metal of 19th century carriages and the required abilities were readily available. Imported figures faced a duty of twenty per cent, materials to be used in bods manufactured in Fresh Zealand entered duty-free. Primarily chassis entered duty free with or without a bod. In the six years ended March one thousand nine hundred thirty three 64,300 cars were imported but only 7,600 were given Fresh Zealand made figures and tariff protection ended. [28]

1922 Colonial Motor Company Edit

Henry Ford day Hamilton

The top two floors were used for administration. Assembly of cars from imported packs of parts began on level 7, and finished vehicles were driven out the ground floor. CMC also built smaller assembly plants in Parnell, Auckland, and in Timaru. At the end of one thousand nine hundred twenty five staff numbers were 641: Wellington 301, Parnell one hundred eighty eight and Timaru one hundred fifty two people. At that time daily output was: 25, twenty and eighteen respectively. [41] In the 1970s Wellington’s former assembly building was given a fresh facade inspired by a car radiator.

1926 General Motors Edit

in Lower Taranaki Street

Western Springs Auckland

In 1926, General Motors opened a plant in well-established industrial area, Petone, in the Hutt Valley. [42] In its very first twelve months ended mid September one thousand nine hundred twenty seven the plant assembled Two,191 cars. [43] In late one thousand nine hundred twenty nine GM was able to report the following locally sourced materials were used in their cars: wool in the upholstery, Miro timber for commercial bods, varnishes, glues, enamels and numerous puny parts, glass would shortly be added. Other articles which in GM’s opinion should be made locally included carpets and top material and its necessary padding. All associated advertising literature was locally printed and in colour. [44] At very first, it produced American Chevrolet, Pontiac and Buick cars, adding Oldsmobile in 1928.

Its very first British Vauxhalls were built in 1931, along with Bedford trucks. [45] In its very first eight years it assembled more than 25,000 vehicles. [28]

General Motors Fresh Zealand switched its name to Holden Fresh Zealand on fifteen July 1994. [49]

1931 Rover Edit

In July one thousand nine hundred thirty one the Rover Company of Fresh Zealand Limited told local newspapers a building was in course of erection at thirty five Jackson Street Petone where they would assemble Rover cars. It was hoped the building would be ended before Christmas. Fresh Zealand materials would be used as far as possible. Parts that couldn’t be made locally would be imported from the English factory. [50]

The fresh factory was formally opened by the Prime Minister on seventeen February one thousand nine hundred thirty two in the presence of among others the chairman of the Development of Industries Board and the Rover managing director from England. The Prime Minister noted the Rover company was the very first English company to open an overseas chassis assembly and body-building plant in any part of the Empire. He also said “Britain bought our produce and it was only right for Fresh Zealand to buy in come back from Britain”. The only imported material in the bodywork was the leather and the steel panels. [51]

minister of finance

Finish vehicles: British fifteen per cent, Others sixty percent Unassembled vehicles: British five percent, Others fifty percent

A definition of Totally Knocked Down would be immovable by the minister and modified to ensure an enlargening use of locally sourced materials. [56]

The motor vehicle trade’s response was that they considered the reduction in tariff for ckd imports would not pay for the cost of local assembly [57]

Totally Knocked Down Edit

The industry had always been encouraged to increase local content. Compliance required importers to bring in the chassis framework assembled with its engine and gearbox but no other parts affixed. Scuttle and windscreen could be assembled and primed. The figure shell could be assembled and primed. Upholstery materials could not be sewn but might be cut to form. There was no confinement on the components included in the CKD pack. [28] The very first determination was published in the Fresh Zealand Gazette of eighteen October 1934. [58]

Inclusion of a banned item attracted utter duty to the entire CKD pack. [28]

Import Quotas by value Edit

Import licensing or immovable quotas to ration imported cars —and all other imports— were very first announced at the end of 1938. [59] Commentators voiced concern that this was a brief step from a total takeover of the country’s import trade and at least would permit the government to issue licences in such proportions and to such persons or businesses as it might choose. [60] The minister’s announcement was greeted by the chairman of the Primary Producers Federation with the description: “the Hitler plan” adding (even if it was a) “retreat from the Moscow road”. [61]

The purpose was to conserve foreign exchange and to protect local industry, in particular to promote manufacturing to improve employment opportunities and to reduce the economy’s reliance on the rural sector. During the war the confinements were generally recognised to be necessary but they were not dismantled only eased when conditions improved. In the early 1950s the import licensing system was overhauled and many categories were made exempt. The same period spotted the beginning of the safety-valve no-remittance licence scheme. A balance of payments crisis in one thousand nine hundred fifty seven brought fresh controls [note 7] to restrict imports but by foreign exchange allocation. Another foreign exchange crisis in one thousand nine hundred sixty seven brought a reversal of the easing during the previous decade. [note 8] A fresh policy in one thousand nine hundred seventy nine permitted importers to obtain extra licenses when they could demonstrate “significantly deficient” price/quality differentials inbetween local and imported products. By the early 1980s the industry employed around 8,000 workers. [62] However by one thousand nine hundred eighty one official thinking had begun to sway away from import controls considering they did not in the long run remedy underlying conditions tho’ they might be entirely successful at controlling imports. If the intention was to protect local industry tariffs, officials considered, would be a more efficient contraption. [63]

Accordingly, by one thousand nine hundred eighty four economic liberalisation, diminished protection for local businesses and deregulation were becoming official policy. A rationalisation scheme was underway when a fresh government elected in July one thousand nine hundred eighty four found it was facing a foreign exchange crisis and chose to deal with the economic situation with these fresh devices. The automotive assembly industry was recognised to be essentially artificial. Its poor build quality meant consumers preferred imported cars. The cost of a fully assembled car on Auckland’s wharves was scarcely more than the cost of a CKD kit. In December one thousand nine hundred eighty four all controls on outward and inward foreign exchange transactions were lifted and the same month the Motor Vehicle Industry Plan one thousand nine hundred eighty four was approved. The Closer Economic Relations agreement with Australia stopped instantaneous free trade in cars and components. Import licensing for most goods was liquidated in July one thousand nine hundred eighty eight and the process of removing controls protecting the motor industry further accelerated. A final review was set down for 1992. [64]

The following plants closed inbetween one thousand nine hundred eighty four and 1990:

leaving the following passenger plants (and three commercial plants) (worker numbers are as at 1997) [62]

Car reviews and ratings articles

Automotive industry in Fresh Zealand

Automotive industry in Fresh Zealand

Contents

America’s dominance Edit

Cars from Britain Edit

Australia and Japan Edit

Used imports Edit

1922 Colonial Motor Company Edit

1926 General Motors Edit

1931 Rover Edit

Fully Knocked Down Edit

Import Quotas by value Edit

Automotive industry in Fresh Zealand

Contents

America’s predominance Edit

Cars from Britain Edit

Australia and Japan Edit

Used imports Edit

1922 Colonial Motor Company Edit

1926 General Motors Edit

1931 Rover Edit

Totally Knocked Down Edit

Import Quotas by value Edit

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