Australia's car manufacturing cannot rely on continued heavy subsidies

Comments on Phillip Toner "A view on: Australia’s manufacturing industry", 2/05/2013, http://theconversation.com/a-view-on-australias-manufacturing-industry-13868

I agree with the view of one of the commentators that this sounds like a grants/subsidy application, or appeal.

I think whoever argues for continued subsidies to support some ailing manufacturing industries need to consider how Singaporean and Hong Kong economies that don't have a car manufacturing industry are in general more competitive than the Australian economy.

Neither economies have a car manufacturing industry, nor mining and agricultural industries. We are luck enough to have a very strong mining sector and a significant agricultural sector with abundant natural mineral reserves and vast land. At the same time, we are heavily subsidising an very uncompetitive car manufacturing industry. It is absurd, and stupid.

This is particularly so given the current stage of the world economy where software and creativity are increasingly taking a more important role in the economy, just think about smart phones (Iphone, Samsung and so one), Google, Facebook, Youtube, etc.

Those who argue for continued supports through very costly subsidies seem to be living in the past and have not caught up with the advances of the past 20 years or so.

Unless we keep the same pace as the rest of the world and be equally be innovative and creative, we will be going down the hill no matter how much the car manufacturing industry is subsidised.