Cars & The Mighty USD$$

> 10 years ago
Reply
Register to post, see what you've read, and subscribe to topics.
Simondo
Simondo
VIC
8025 posts
VIC, 8025 posts
10 Jun 2011 10:54pm
I have noticed that at least 1 manufacturer is offering for free, $2,500 worth of accessories, and an extra 2 years on the warranty, for cars purchased prior to 30 June 2011.

To me, this smells like a new set of "cheaper" car prices for the new financial year, with the new higher status of the $AUD....

Remind me again why a Subaru Forester (entry level) is under USD$22,000 and roughly AUD$34,000..... something smells fishy....

Dawn Patrol
Dawn Patrol
WA
1991 posts
WA, 1991 posts
10 Jun 2011 11:34pm
Car companies do this every year before the end of the financial year?
Mobydisc
Mobydisc
NSW
9029 posts
NSW, 9029 posts
11 Jun 2011 6:22am
Cars and other stuff is cheaper in America because the American consumer is not prepared to pay the price we do for stuff. An Aussie is prepared to pay $30 for a CD. An American is prepared to pay $15. Companies charge what people are prepared to pay. If Subaru or any other car company tried to sell cars in America at the prices they charge here, they would not sell any. We are prepared to pay it though.

This is best evidenced when GMH sold a Commodore over there as a Pontiac. It was significantly cheaper in America.
CMC
CMC
QLD
3954 posts
CMC CMC
QLD, 3954 posts
11 Jun 2011 10:12am
The illusion is that the AUD is strong. It is doing well obviously but people seem to forget that the USD has actually crashed on its own. Even in Asia the USD is worth less. What has happened and we will see in time that most Asian producers have increased pricing in USD to maintain earnings in their local currency. While the AUD is strong against it we have not noticed the increases. If the AUD falls import costs will rise sharply.

Personally the AUD at $1.06 or whatever is terrible for our economy in so many ways. I hope we don't find out how bad at any time soon.
chrispychru
chrispychru
QLD
7932 posts
QLD, 7932 posts
11 Jun 2011 11:53am
spot on. we need to be about 60cents for us to be strong. i got smashed because of it
CMC said...

The illusion is that the AUD is strong. It is doing well obviously but people seem to forget that the USD has actually crashed on its own. Even in Asia the USD is worth less. What has happened and we will see in time that most Asian producers have increased pricing in USD to maintain earnings in their local currency. While the AUD is strong against it we have not noticed the increases. If the AUD falls import costs will rise sharply.

Personally the AUD at $1.06 or whatever is terrible for our economy in so many ways. I hope we don't find out how bad at any time soon.


Simondo
Simondo
VIC
8025 posts
VIC, 8025 posts
11 Jun 2011 12:55pm
Yeah, fair points made by everyone. Thanks.
gs12
gs12
WA
426 posts
WA, 426 posts
11 Jun 2011 12:01pm
Simondo said...

I have noticed that at least 1 manufacturer is offering for free, $2,500 worth of accessories, and an extra 2 years on the warranty, for cars purchased prior to 30 June 2011.

To me, this smells like a new set of "cheaper" car prices for the new financial year, with the new higher status of the $AUD....

Remind me again why a Subaru Forester (entry level) is under USD$22,000 and roughly AUD$34,000..... something smells fishy....




Can't help it but this somehow reminds of the debate about the cost of windsurfing gear in OZ vs overseas (applies to cycling too for that matter). Yet no one is saying support your local car dealer

I know it's probably a rough generalisation but I wonder ....
rod_bunny
rod_bunny
WA
1089 posts
WA, 1089 posts
23 Jun 2011 11:24pm
Not just cars!

Looking at touchscreen monitors and found a 42" by HP


US$1999 = AU$1908.71 (www.xe.com/currencyconverter/convert/?Amount=1999&From=USD&To=AUD)
h10010.www1.hp.com/wwpc/us/en/sm/WF05a/382087-382087-64283-72270-3915216-4032279.html

AU$3999
h20386.www2.hp.com/AustraliaStore/Product.aspx?hpproduct=EM893AA


Since when does it cost double for exact same bit of kit!?!
Prawnhead
Prawnhead
NSW
1317 posts
NSW, 1317 posts
24 Jun 2011 7:31am
Mobydisc said...

Cars and other stuff is cheaper in America because the American consumer is not prepared to pay the price we do for stuff. An Aussie is prepared to pay $30 for a CD. An American is prepared to pay $15. Companies charge what people are prepared to pay. If Subaru or any other car company tried to sell cars in America at the prices they charge here, they would not sell any. We are prepared to pay it though.

This is best evidenced when GMH sold a Commodore over there as a Pontiac. It was significantly cheaper in America.



i don't think you can attribute it entirely to attitude ...my experience has always been that most americans are willing to pay through the nose if they can gain some claiming points..mainly in indo to the delight of the local populace while most aussies mainly do it on the cheap but that's a generalization .. being that most of us are front bar at the pub economists.....the main thing that sticks out to me is that the population of california alone , with a surface area similar to nsw is approx 38 000000 nearly double the whole of Oz ..economies of scale? although i still can't get my head around the fact that i can buy a printer for $59 but the 3 catridges to run it cost more than printer!!
Mobydisc
Mobydisc
NSW
9029 posts
NSW, 9029 posts
24 Jun 2011 7:39am
rod_bunny said...




Since when does it cost double for exact same bit of kit!?!


Ever since Australians are prepared or have to pay double.

As these things are imported we should be trying to get it at the cheapest cost. The government should be supporting us, not penalising us through supporting corporations who want to keep their cozy money maker.


This sort of rip off is especially annoying when the goods come from a third country like China. There must be a big toll gate on the equator. Somehow everything gets doubled in price when it comes down south.



bobdaboarder
bobdaboarder
NSW
185 posts
NSW, 185 posts
24 Jun 2011 7:44am
I was just on a US website and there was an ad for a new Dodge Ram with a 390hp Hemi for under $22000 w. To purchase something like that here you would be looking closer to $100000. I assume that it doesnt cost $80000 to import a car. We are getting ripped off hard.
elmo
elmo
WA
8894 posts
WA, 8894 posts
24 Jun 2011 7:19am
I would strongly recommend researching

Import duty
Luxury car tax
Stamp duty
GST
Imported car legislation's (very important)
Imported car caveats
LH drive permit costs
Rules about selling the car
Conversion of car to meet Australian design regulations

Just to name a few
doggie
doggie
WA
15849 posts
WA, 15849 posts
24 Jun 2011 9:50am
rob1977 said...

I was just on a US website and there was an ad for a new Dodge Ram with a 390hp Hemi for under $22000 w. To purchase something like that here you would be looking closer to $100000. I assume that it doesnt cost $80000 to import a car. We are getting ripped off hard.


Then try and get parts for a vehicle that was never officially imported into Australia, I used to work with Chysler Jeep Dodge and its not easy with the ones that are official imports!! The Ram was never supported in the Australian market.
kitesurfjim
kitesurfjim
VIC
136 posts
VIC, 136 posts
24 Jun 2011 11:55am
Hi Just reading the above and doing a little research, check these out.

http://www.carsales.com.au/all-cars/private/details.aspx?Cr=4&R=10796898&keywords=&trecs=26&__sid=12C8DEE28850&__Ns=pCar_RankSort_Int32|1||pCar_PriceSort_Decimal|1||pCar_Make_String|0||pCar_Model_String|0&__Qpb=1&tsrc=allcarhome&__Nne=15&seot=1&__N=1216%201246%201247%201252%201282%204294963846%204294776694%20903&silo=1011
Aud $63,500 = ?41,818.73 GBP

Same age and milage
www.autotrader.co.uk/classified/advert/201124391694020/sort/priceasc/usedcars/model/370_z/make/nissan/postcode/hp236bu/page/2/radius/1501?logcode=p
?24,850 = $37,748.84 AUD
you guys are definitely being bent over.
and that has nothing to do with import duties esp seeing as you are closer to Japan than us pomes.

recently i bought an ion riot wetsuit, from back home including Post was ?200 here the same wetsuit was Near $600, thats ?395 almost twice the price.

only way i see here is to buy abroad and force not the local shops but the distributors and government to lower their levies, the shops aren't getting rich but someone is????
Diver
Diver
WA
554 posts
WA, 554 posts
24 Jun 2011 10:27am
If the Australian dollar remains high, then it is a defacto (addition to a) high interest rate. The RBA is not going to be prone to want to rise interest rates as agressively if the currency is doing the work for them.

Australia didn't fall into recession unlike its trading partners and prices in Australia generally remained high as there was nothing forcing them down. If Australia went into recession, general price levels would have fallen including consumer goods, labour and credit.

Domestic prices in Australia are too high and maybe having a recession would have been the cause for deflation in the economy. A bit like Keatings recession we had to have in the early 90's.

We are currently victims of our own sucess.
Little Jon
Little Jon
NSW
2115 posts
NSW, 2115 posts
24 Jun 2011 1:53pm
Mobydisc said...

rod_bunny said...




Since when does it cost double for exact same bit of kit!?!


Ever since Australians are prepared or have to pay double.

As these things are imported we should be trying to get it at the cheapest cost. The government should be supporting us, not penalising us through supporting corporations who want to keep their cozy money maker.


This sort of rip off is especially annoying when the goods come from a third country like China. There must be a big toll gate on the equator. Somehow everything gets doubled in price when it comes down south.


Australian governments are too closely associated with business, the tories are actually proud of this but it just leads to corruption. We need a new model for political party funding with no donations bribes allowed.

And direct democracy too, give power to the voters and not politicians
Little Jon
Little Jon
NSW
2115 posts
NSW, 2115 posts
24 Jun 2011 1:56pm
elmo said...

I would strongly recommend researching

Import duty
Luxury car tax
Stamp duty
GST
Imported car legislation's (very important)
Imported car caveats
LH drive permit costs
Rules about selling the car
Conversion of car to meet Australian design regulations

Just to name a few


I still think we are getting ripped off, what about itunes, the USA website will sell the same content as the Oz itunes site but huge difference in price
patsken
patsken
WA
717 posts
WA, 717 posts
24 Jun 2011 12:12pm
Little Jon said...

Mobydisc said...

rod_bunny said...




Since when does it cost double for exact same bit of kit!?!


Ever since Australians are prepared or have to pay double.

As these things are imported we should be trying to get it at the cheapest cost. The government should be supporting us, not penalising us through supporting corporations who want to keep their cozy money maker.


This sort of rip off is especially annoying when the goods come from a third country like China. There must be a big toll gate on the equator. Somehow everything gets doubled in price when it comes down south.


Australian governments are too closely associated with business, the tories are actually proud of this but it just leads to corruption. We need a new model for political party funding with no donations bribes allowed.

And direct democracy too, give power to the voters and not politicians



I don't think the political system as described above has a great deal to do with the problem when you look at the Yanks (they are cheaper in most things).

Business interfering in politics is a way of life over there when you consider the HUGE amount of money required just to run for office. Lobbying politicians to "see the light" is an art form in the US of A and policy in favour of your "sponsor" doesn't happen for free !!

Dick Cheney is a prime example with Halliburton........for those that remember him.

Australian costs are more related to population, transportation and lack of competition in my opinion.
dinsdale
dinsdale
WA
1227 posts
WA, 1227 posts
24 Jun 2011 1:24pm
patsken said...
Australian costs are more related to population, transportation and lack of competition in my opinion.

I think you've nailed there.

Simondo
Simondo
VIC
8025 posts
VIC, 8025 posts
24 Jun 2011 4:33pm
Transport is 2 fifths of stuff all. You can move about 10 cars from Sydney to Brisbane for about $3,000 in raw costs. Or $300 per car. The shipping from Japan to Aus should be less than Japan to USA. Or at least the same. But I have no actual cost info on that.

I still think we are being ripped off on some of those items. Profits being kept by the importers. I understand there is a certain amount of longer term currency hedging with the car industry though....

OK - Take USA / USD out of the equation...

Here is Subaru Japan Link.
www.subaru.jp/forester/forester/grade.html
They seem too have a lot of 2 litre Foresters, but ours are 2.5 litres. However, the S-Edition seems to the same. Priced as Y 3,129,000, appears to be drive away. Same car here is AUD $54,500.

3,129,000 divided by 84.7 = $36,950. A difference of $17,550.

The S-Edition for Japan would be identical to the one that comes here.... Steering wheel is even on the correct side for us ! Sure our emission standards would (or should) be very similar/identical to Japan's....

Based on $37,000 in Japan, I think we should be paying around $42,000 to $44,000, not $54,000.

And this has NOTHING to do with the USD, USA, Luxury Car Tax, Left Hand Drive, and is shouldn't have anything to do with emission standards either.....

(I'm still wondering if the prices will adjust a tiny bit in the next few months... but I would expect they will only adjust by about $1,000 per $20,000... ball park...)


FlySurfer
FlySurfer
NSW
4460 posts
NSW, 4460 posts
24 Jun 2011 4:58pm
Australian distributors hike the price up and up and up until people stop buying the product then they complain that we're a small market to justify the OUTRAGEOUS price.

If the A$ went to US$0.60 we'd be looking at a real 10% inflation.
Australian produce is cheaper in South America than it is in Australia... go figure that one out.

Australian Banks rip their customers off more than any other, WHY? Because you seem to like it (since 1999, I've used an English bank).

www.finder.com.au/australias-personal-debt-reported-as-highest-in-the-world
Australians Lead The World With Personal Debt
Recent numbers have come out that are showing that Australians have more personal debt than any other citizens of any other country in the world. They even have more than the United States of America. The US is usually the first country one would think of when the words "largest credit card debt"? is mentioned. The Reserve Bank of Australia or the RBA has determined that most of the debt Australians carry is for mortgages, loans and credit cards. These debts are over $1 trillion AUD. This equals to $56,000 US dollars for every Australian adult. The average American adult has about $45,000 US dollars worth of debt.
elmo
elmo
WA
8894 posts
WA, 8894 posts
24 Jun 2011 8:58pm
Little Jon said...

elmo said...

I would strongly recommend researching

Import duty
Luxury car tax
Stamp duty
GST
Imported car legislation's (very important)
Imported car caveats
LH drive permit costs
Rules about selling the car
Conversion of car to meet Australian design regulations

Just to name a few


I still think we are getting ripped off, what about itunes, the USA website will sell the same content as the Oz itunes site but huge difference in price



What's itunes?
raynef2005
raynef2005
QLD
161 posts
QLD, 161 posts
27 Jun 2011 12:00pm
Just did a comparison on A Porsche Cayman S:

UK: 49 000 pounds

Aus: $149 000

you do the math. Why is there such a discrepancy?
Mobydisc
Mobydisc
NSW
9029 posts
NSW, 9029 posts
27 Jun 2011 12:59pm
raynef2005 said...

Just did a comparison on A Porsche Cayman S:

UK: 49 000 pounds

Aus: $149 000

you do the math. Why is there such a discrepancy?


As I mentioned above the discrepency is there because Australian consumers are prepared to pay for it.

If Porsche or any of the other European car manufacturers tried to sell their cars in Europe or North America at the prices they charge out here, they wouldn't sell any as the consumer there would not be prepared to pay that much.

However in Australia we have the idea that European cars and cars in general are priced at a certain level and are prepared to pay that much.

Why should Porsche sell their cars cheaper if we are stupid enough to buy them for twice the amount an American or Brit would buy one for?



dinsdale
dinsdale
WA
1227 posts
WA, 1227 posts
27 Jun 2011 2:34pm
Mobydisc said...
As I mentioned above the discrepency is there because Australian consumers are prepared to pay for it.

If Porsche or any of the other European car manufacturers tried to sell their cars in Europe or North America at the prices they charge out here, they wouldn't sell any as the consumer there would not be prepared to pay that much.

However in Australia we have the idea that European cars and cars in general are priced at a certain level and are prepared to pay that much.

Why should Porsche sell their cars cheaper if we are stupid enough to buy them for twice the amount an American or Brit would buy one for?

I still reckon that it's largely due to market size. Our market is so small that it's not worth their while to try to be competitive. If Ozzie consumers are willing to pay the price, so be it. If not, the motor companies would just as soon pull out of our market. You are right though, in that Ozzies are willing to pay the bloated prices. All I'm saying is that if Ozzies were unwilling to pay those prices then the products would simply be pulled from our market.


felixdcat
felixdcat
WA
3519 posts
WA, 3519 posts
27 Jun 2011 2:55pm
Ok dinsd but what about locally manufactured goods?
small example: 550ml bottle of coke 0 (made here by Amatil) OZ from $3-50 Switzerland (locally made as well) from $ 1-75 and remember that the salaries are higher there as well! We are getting ripped off! Bought a carton of Alsatian beer there for $ 8-00 (smaller bottles 250ml).
WTF?
Mobydisc
Mobydisc
NSW
9029 posts
NSW, 9029 posts
27 Jun 2011 7:10pm
If Australian prices are more expensive due to the small market or because of the length of time it takes a ship from Rotterdam or wherever to get here, would that not result in that be a market where there are few brands and limited range available in the market? We would be limited to some crap offerings from Holden and Ford along with rubbish from some other countries.

So brands could not be bothered to send 100 cars here because its not worth their while. Why put up with the Australian design rules. Why put up with the steering wheel on the wrong side. Why deal with the boat that takes six months to arrive?

Why do they? Why can Australian car buyers buy cars from almost every car manufacturer in the world? Its because all the manufacturers know they can make good money in Australia.

Why sell a BMW in America for $50K when you can sell the same vehicle in Australia for $120K? Why sell a Ferrari in the UK for 120,000 pounds when you can sell it in Australia for over $400K?

The Australian car market is quite important, though car companies never want to say why.



Simondo
Simondo
VIC
8025 posts
VIC, 8025 posts
27 Jun 2011 8:48pm
On the subject of Beer, I remember buying a 30 Can Block of Budweiser in Monterey CA. It was about $12.99 !!

I saw the other day that a cases of Euro Pilsners are about USD$15-$20, but here, the same beers range from AUD$45-$60. Broadly, one third the price.
dinsdale
dinsdale
WA
1227 posts
WA, 1227 posts
27 Jun 2011 7:24pm
felixdcat said...

Ok dinsd but what about locally manufactured goods?
small example: 550ml bottle of coke 0 (made here by Amatil) OZ from $3-50 Switzerland (locally made as well) from $ 1-75 and remember that the salaries are higher there as well! We are getting ripped off! Bought a carton of Alsatian beer there for $ 8-00 (smaller bottles 250ml).
WTF?

Yea, point taken. I must admit that I've always thought that one thing we Ozzies are really good at is ripping each other off.

dinsdale
dinsdale
WA
1227 posts
WA, 1227 posts
27 Jun 2011 7:30pm
Mobydisc said...

If Australian prices are more expensive due to the small market or because of the length of time it takes a ship from Rotterdam or wherever to get here, would that not result in that be a market where there are few brands and limited range available in the market? We would be limited to some crap offerings from Holden and Ford along with rubbish from some other countries.

So brands could not be bothered to send 100 cars here because its not worth their while. Why put up with the Australian design rules. Why put up with the steering wheel on the wrong side. Why deal with the boat that takes six months to arrive?

Why do they? Why can Australian car buyers buy cars from almost every car manufacturer in the world? Its because all the manufacturers know they can make good money in Australia.

Why sell a BMW in America for $50K when you can sell the same vehicle in Australia for $120K? Why sell a Ferrari in the UK for 120,000 pounds when you can sell it in Australia for over $400K?

The Australian car market is quite important, though car companies never want to say why.

Exactly!! The range of choices in Oz (in all manner of goods) is awfully stunted. Having visited USA, Canada, Britain and Europe a few times over the last decade this has been brought home to me clearly. Manufacturers will produce limited models for Oz, but seldom the full range.

FlySurfer
FlySurfer
NSW
4460 posts
NSW, 4460 posts
30 Jun 2011 5:04pm
Just bought a new TV Sam 55" D8000.
Came home checked out the price on Amazon.com with shipping to Oregon: US$2,108.49

I paid A$3700, that's US$3930
Please Register, or first...
Topics Subscribe Reply