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MOTOR INDUSTRY SURGES
TO RECORD FIRST HALF



14th July, 2004


An all time monthly sales record in June has carried the Australian motor industry to its best ever half yearly result.

Australians bought 97,212 new vehicles in June – 5.6 percent more than the previous all time record set in the same month last year.

They have now bought 473,516 new vehicles in the year, 6.3 percent more than the all-time record set also in 2003.

The so-called boom in motor vehicle sales is fast becoming a firm platform of demand, chief executive of the Federal Chamber of Automotive Industries Peter Sturrock said today.

“ Manufacturers and distributors are now planning for continued activity at this level.”

Mr Sturrock said VFACTS results announced recently put the industry well on track to achieve its prediction of a record 960,000 sales for 2004.

He stopped short of claiming the first one million vehicle sales year was now possible.

“Many factors, amongst them the looming federal election, could stand in the way of a million sales, “ Mr Sturrock said.

“Traditionally sales demand in the second half of the year runs marginally above that of the first half, “ Mr Sturrock said.

“But demand has become so strong and so constant that last year the split between the first and second half of the year was only 2.5 per cent.

Demand for locally manufactured vehicles was 4.7 per cent stronger this June than in 2003.

Australian customers bought 27,735 locally made motor vehicles in June, comprising 28.5 per cent of all deliveries.

Mr Sturrock said a major imperative of the Australian manufacturers would be to continue to lift local demand.

Impending launches of new local models in the second half of 2004 would play a pivotal role in the success and growth of the market.

“The potential for major model launch activity from more than one of our local manufacturers will excite the market,“ Mr Sturrock said.

“It will be a significant factor in achieving our goal, and it could be the trigger to take the market beyond current prediction.”

According to VFACTS sales in all four major segments are up.

Half yearly sales of passenger vehicles reached 290,850 up 2.1 percent.

Sports Utility vehicles claimed 85,545 deliveries, an increase of 13.8 percent.

Demand for light trucks is up 16.4 percent to 84,049 and the heavy truck market is up 20.5 percent at 13,072 vehicles.





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