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(Moved from Politics) Free trade agreement with Japan

Discussion in 'The Pub' started by d e d, Apr 8, 2014.

  1. So the FTA with Japan is a done deal from what I see. I have no idea how they work specifically, but I have a roundabout understanding...
    From the stories I've read so far about this ~$1500 cheaper cars, it seems the biggest issue is that most Japanese cars are not made in Japan, so will not benefit from the FTA (so this ~$1500 is just the politicians going for brownie points).

    However, this brings up a more interesting area in that as most of the big Japanese motorbike companies manufacture their flagship bikes (600cc and 1000cc variants etc) in Japan, how will that carry on to new bike prices here, if at all?
  2. I'll believe it when I see it; the big four have been absorbing increasing costs and surviving on lower and lower margins for years now, my guess is that they'll take the wholesale advantage and not pass it on at retail level.....
  3. I read an analysis of this issue on cars - pointed out that actual figure for commonest purchased cars would be around $750 but... "Would they pass on the savings?" Then cited the case of Toyota recently changing the source of Corollas from Japanese made to Indonesian (or was it malaysian?) - where no tariff applied. Price actually went up by (wait for it) $750! Toyota explained it as something like "Positioning against competitors".
  4. There a carry over 5% tariff on cars. I'm not sure there is on bikes. If there isn't then there will be no difference after the FTA
  5. Ahh yes I didn't think of that as I guess the tariff was originally put in place to encourage people to buy the locally made cars...locally made bikes, on production level, don't exist AFAIK.
  6. never have......
  7. There's never been a locally produce motorcycle in Australia? Are you sure?.
  8. I'm surprised by the early wording of the FTA.
    Hopefully by "cars" they also mean motorbikes too.

    I supppose its like wishing for cheaper bills now that everything was outsourced overseas and privatised. Or waiting for the bowser price or airplane tickets to drop from record highs years after the oil price fell etc.
  9. Well there have been heaps of boutique manufacturers, just read OBA, but I don't think there's been a manufacturer of any volume of bikes since WWII.......
  10. The Australian dollar has been high against the yen for a year or two - much more than any tariffs (real or not). If that hasn't resulted in huge savings, nothing else will.
    TBH I think the price of Japanese bikes has dropped in real terms over the last five years. But the only significant factor in pricing is what the consumer is willing to bear, and frankly we ARE willing to bear $17K+ for big bikes. Apparently.
    • Agree Agree x 1
  11. So there were once some manufacturers. The just went the way of the car industry and the dodo.
  12. "confirmation" FTA won't effect bikes.

    Not an official government website but:


    "Summary of Motor Vehicle Import Duties & Taxes

    Vehicles UP TO 30 years old (from 1/1/10) 5% Duty + 10% GST
    4WD 'Off Road' Vehicles & Commercial Vehicles 5% Duty + 10% GST
    Vehicles OVER 30 years old & Motorcycles 0% Duty + 10% GST"
  13. yes, the size of the market was too small to make volume production viable.... much like today in many products
  14. You refuse to admit your generalised statement was wrong don't you.
    • Dislike Dislike x 1
  15. My statement was in response to this..
    locally made bikes, on production level, don't exist AFAIK.
    I stand by it
  16. FTA with South Korea as well now, Hyodungs will be cheaper, yippee.
  17. China is next on the list, they will just tell him they don't need an FTA with us as they own most of the place anyway.
  18. And you said "never have", which is blatantly wrong.
  19. No, it's exactly correct; locally made bikes on a production level don't exist, and haven't, the marketplace has always been small and the costs of R&D and production too high.....