• NGK-logo-banner.jpg

    Major global manufacturer of OE and aftermarket spark plugs and ignition components

  • Blue-Print-logo-banner.jpg

    Leader in the supply of a huge range of parts for Asian and American vehicles

  • OESAA-logo-banner.jpg

    Original equipment parts suppliers dedicated to the promotion of OE brands in the

  • AYCE_logo_2017_banner.jpg

    Suppliers of smart repair, equipment, consumables and training

  • FAG-logo-banner.jpg

    Manufacturer and innovator in the supply of OE and aftermarket bearing technology

  • shaftec_logo_2018_220x50.jpg

    Offering a wide range of new and remanufactured transmission, steering and braking

  • logo-caroliner_logo_banner.jpg

    Car-O-Liner is an innovator and respected supplier in the field of body repair equipment

  • AD_J&S_Logo_2019_220x50.jpg

    Long-established premier vehicle component distributor

  • HBA-Distribution-logo-banner.jpg

    An all-Ireland supplier of components, consumables & garage equipment

  • Carcessories_logo_220x50.png

    Leading wholesale distributor in the field of car accessories, car care products and

  • Revive-logo_banner_new.jpg

    A simple and effective turbo cleaning solution that restores power and reduces emissions.

  • Mirka_logo_banner.jpg

    Supplier of abrasives and equipment for automotive refinish

  • Meyle-logo-banner.jpg

    German parts manufacturer with an emphasis on quality and innovation

  • Liqui-Moly-small-banner-logo.jpg

    German manufacturer of oils, additives and car care products

  • COMLINE_Auto_Parts_Banner_Logo.jpg

    A fast growing full range aftermarket component supplier

  • INA-logo-banner.jpg

    OE and aftermarket supplier of bearing technology and other automotive components

  • 96384Gates-logo-banner.jpg

    Major global supplier of automotive components including its renowned belt drive systems

  • Induction-Innovations-Logo_banner_copy.jpg

    A leading supplier of induction heating equipment for safe and reliable garage use

  • rnh-logo-banner.jpg

    Specialist software provide to the motor trade and Irish agents for MAM

  • Banner_220x50.png

    A leading supplier of high quality tools and equipment to automotive workshops

  • Continental_ContitTech_horizontal_banner.jpg

    Global supplier of power transmission products to OE and aftermarket

  • Strongline-logo-banner.jpg

    Long established wholesale distributors of leading brand automotive components

  • Dayco-logo-banner.jpg

    Leader in the design and production of power transmission systems for OE and aftermarket

  • Bosch_Logo_2018_50x220.png

    Leading OE and aftermarket supplier of components, equipment and services

  • FAI_Logo_2018_220x50.png

    All makes components supplier with over 40 year's market experience

  • Febi-logo-banner.jpg

    Leading aftermarket brand of components for cars and commercial vehicles

  • LUK-logo-banner.jpg

    German OE and aftermarket supplier of clutch and transmission components

  • 65769Pierburg_logo_small_web_banner.jpg

    A long established OE and aftermarket supplier of specialist engine components.

  • Somora-logo-banner.jpg

    Importer and wholesale distributor of automotive panels, parts and lighting

  • Serfac-logo-banner.jpg

    Leading Irish automotive components distributor and part of Temot International

  • Nissens_Logo_2017_220x50.png

    A major supplier of thermal management, cooling and air conditioning products and

  • mannol_logo_2017_strip_banner.png

    MANNOL suppliers of vehicle specific lubricants, additives and SCT components

  • 94825ZF_logo_2018_220x50.png

    A high respected OE supplier with many leading aftermarket brands

  • 65646Sealey-logo-banner.jpg

    A major international supplier of a huge range of garage and workshop equipment

  • Brembo_logo_2018_220x50.png

    A prestige supplier of high performance braking components.

  • Sata-logo-banner.png

    Supplier of high quality spray equipment and air accessories

Challenges for the Irish Motor Industry

Home
Economist Jim Power with key players in the Irish Motor Industry

Economist Jim Power with key players in the Irish Motor Industry

Tuesday, September 17, 2019

This week the Society of the Irish Motor Industry (SIMI) held a press conference, with many of Ireland’s leading Car Manufacturers in attendance.

During the Conference, economist Jim Power highlighted the stark challenges facing the Irish Motor Industry in the face of both Brexit and Budget 2020. SIMI Director General, Brian Cooke underlined the importance of no increases in VRT on new cars in the upcoming Budget.

The Minister for Finance has already confirmed preparing his overall Budget on the assumption of a no deal Brexit. Jim Power Economist commented “The Motor Industry is currently in its most vulnerable place since 2008, with any VRT increases in conjunction with Brexit likely to undermine new car sales and place as many as 10,000 jobs at risk. When you are looking at any taxation changes for next year you can’t ignore the issue of Brexit for the Motor Industry. For the Industry, car sales have been reducing for the last 3 years and used imports have been on the rise, much of which is down to Brexit and the collapse of Sterling. VRT increases now will only further reduce new car sales.”

In this overall business environment and in the context of Brexit its hugely important for the Consumer, the Environment, the Exchequer and the Industry that VRT is not increased again next year. There has been a flood of used imports since 2016, substituting for new car sales. This is also impacting negatively on used car values for Irish Motorists thus increasing their cost to change and creating a barrier to their ability to trade up to a new or newer lower emitting vehicle. Among these used imports have been some 250,000 cars that do not meet the latest EU emissions standards, which has proved hugely negative for Ireland from both a climate change and air quality viewpoint. In addition, as a new car generates on average over €6,000 euro more tax than a used import, the Irish Exchequer is losing out on vital tax revenues.

Brian Cooke Director General SIMI commented “As Jim Power highlighted, increased taxes in Budget 2020 will only lead to a further reduction in new car sales and potentially a further increase in used imports, which could be exacerbated by a further devaluation in Sterling in the increasing likely event of a no deal. This is bad for the Exchequer, the consumer and for employment in the Industry. But it is more than that. The Motor Industry is key to providing solutions to reducing emissions from transport in the years ahead, but this can only succeed with a strong new car market replacing the oldest cars in the Irish fleet. By allowing older polluting imports into the Irish car fleet we are only adding to our environmental challenge. In this regard the surcharge introduced in last year’s Budget, which had a much greater impact on new cars, should be replaced by a charge that is focused on older imports.”


Categories: