20th March, 2020 · bulletin

COVID-19 – AADA Actions

2 minutes to read

The AADA is treating seriously the current and likely future impacts of the COVID-19 pandemic. The pandemic comes, of course, in the footsteps of two years of declining sales for the automotive industry, the demise of General Motors Holden in Australia, and the disastrous bushfires that affected the East Coast of Australia over summer.

We have been working tirelessly on your behalf and engaging the Federal Government to develop and strengthen protections for our industry; and gain better recognition of the critical place of new car Dealerships in the business and community life of urban, regional and remote Australia. In some cases, radio interviews such as the one with Alan Jones on 19 March have also opened new avenues of influence with Government as he undertook to carry our message of need directly to the Prime Minister.

We have also been engaging with Government, both directly and through our advisors in an attempt to:

  • allow businesses seeking to purchase cars to be entitled to the total threshold of $150,000 under the expanded instant asset write off scheme.
  • allow Dealerships regardless of employee numbers and turnover thresholds to access support mechanisms for their staff/apprentices and investment allowances.

This is a sensitive time in which many people and industries are understandably anxious, but AADA will continue to pursue the best possible policies to assist our members during this difficult time.

In summary, our actions so far include:

Media Releases:

Letters to Government:

  • 13 March – Letter to the Commonwealth Treasurer from AADA, FCAI, and NALSPA:
    We congratulated the Treasurer on his first response package to the pandemic and asked him to monitor sales over the coming months to gauge if additional specific measures were needed to support our industry.
  • 16 March – Letter to the Commonwealth Treasurer:
    We welcomed the stimulus measures already announced and sought expansion and more clarity on three issues:

    • Clarity on what vehicles qualify under the instant asset write-off;
    • Consideration of extending the stimulus measures to all new car Dealerships;
    • Consideration of incentives for consumers to buy a new vehicle.
  • 20 March – Letter to State Treasurers:
    We sought specific support measures to assist the automotive industry through measures such as Stamp Duty exemptions for new vehicle sales and Payroll Tax relief for new car Dealers.

Media Articles and Appearances:

Download Dealer Bulletin