The Car Fund

Car Fund Trust General Manager, Ray Lindsay, surveys the state of the local car market.

With the current economic downturn worldwide, we are witnessing new trends being implemented locally by franchised vehicle manufacturers.

This is particularly evident in the closing of assembly plants, a reduced vehicle model range and a new impetus to develop more fuel-efficient motor vehicles.

These trends are already having an effect on new vehicle supply in the domestic marketplace with, currently, a 60% down-turn in the importing of pre-owned cars. Regrettably, we have already seen one major NZ motor company, namely, Williams and Adams, cease trading under voluntary receivership. This I believe is a forerunner of more closures and ‘re-alignments’ to come.

The Diocesan Car Fund Trust has already been advised of the new limited model ranges that are going to be introduced to the New Zealand market over the next few months. However, this will have little effect on the types of vehicles the Diocesan Car Fund Trust purchases as part of our current purchasing programme structure.

In looking at future models, the new Ford Fiesta and the Mazda 3 will certainly suit our needs, as will the new Kia Soul and Hyundai 2i. One vehicle that we also intend to add to our fleet is the new Holden Barina although I do believe there is another Holden model in the 1600icc range to be introduced that will also meet our needs.

In summary, the New Zealand motor industry will be administered from Australia and increasingly we will see their model range being introduced here. This will result in major retrenchment in vehicle outlets and staffing levels within New Zealand.