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Entry Level Electric Vehicles To Boost Uptake In Australia

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“Ongoing technological advancements and economies of scale could bring about a quicker-than-expected price reduction for electric vehicles,” the Motor Trades Association of Australia says in a new report.

Australia’s automotive industry is at a “revolutionary turning point” amid the transition to zero-emission vehicles, the report says.

It adds that the shift towards electric cars will also bring structural change and pose significant challenges to the sector, the MTAA says.

And it claims that online sales could significantly alter the established dealership model, while the shift to electric cars would require significant investment from dealers and automotive workshops in both equipment and skills training.

The association said evidence already suggested there is a shortage of skilled technicians in small-to-medium businesses, as more have left to set up their own operations as sole traders.

“Addressing skill shortages and declining business profitability are key challenges that will test the resolve of the automotive industry over the next few years,” it said.

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