Tasmanian automotive sector outlines priorities ahead of state election

The Tasmanian Automotive Chamber of Commerce (TACC) has called on all political parties to back the state’s automotive sector through targeted government support, releasing a pre-election submission that outlines critical infrastructure, training, and regulatory needs.

The submission sets out 18 recommendations across five core areas: workforce development, road safety, insurance reform, low-emissions transition planning, and waste tyre management. With more than 7,500 Tasmanians employed across over 400 member sites, TACC argues that the automotive industry is both economically significant and in urgent need of sustained attention.

TACC State Manager Bruce McIntosh said the sector had reached a crossroads, and immediate investment would help ensure long-term stability as the automotive landscape continues to evolve.

“Tasmania’s automotive industry is a vital part of our state’s economy, but we’re facing significant challenges that require immediate government support,” he said. “Our pre-election submission identifies the critical support needed to ensure this industry continues to thrive whilst adapting to the rapidly changing automotive landscape.”

A key issue raised is the ongoing training crisis following the December 2024 closure of TasTAFE’s Campbell Street campus, which suffered severe flood damage. The closure disrupted training for more than 200 automotive apprentices and left southern Tasmania without a dedicated facility for the trade. TACC is calling for the continuation of a $450,000 funding commitment to complete a new training centre at Cambridge. It is also seeking a broader $15 million modernisation fund to support infrastructure upgrades in Devonport, Burnie and Alanvale.

According to McIntosh, around 840 apprentices are currently enrolled in Certificate III automotive qualifications through TasTAFE, and without properly equipped facilities, the industry risks losing its future workforce. He noted that while the 2023 Automotive Industry Compact had helped lay the groundwork for long-term reform, further action was needed to maintain progress.

The submission also raises concerns over vehicle safety, with TACC renewing its call for mandatory roadworthy inspections at the point of sale or ownership transfer. Tasmania has the oldest vehicle fleet in Australia, with an average vehicle age of 13.3 years compared to the national average of 10.6. TACC cites a recent audit of 500 interstate inspections showing 38% of passenger vehicles and 50% of trailers and caravans failed their initial checks.

“These statistics demonstrate the urgent need for consumer protection through mandatory safety inspections,” McIntosh said. “We’re not just talking about roadworthiness – we’re talking about ensuring Tasmanian families are safe on our roads.”

TACC’s submission also acknowledges the shift to zero and low-emission vehicles and calls for transitional government support to help businesses adapt. It recommends financial assistance for electricity infrastructure upgrades, incentives to support consumer uptake of electric vehicles, and funding for the development of alternative fuels that could extend the life of low-emissions internal combustion engines.

“The shift towards electric vehicles will fundamentally change our industry,” McIntosh said. “Government-led policy settings must carefully consider the existing automotive retail sector. Many businesses face significant financial outlays to upskill workforces and invest in new technologies. Without government assistance, we risk losing established businesses and the jobs they provide.”

Environmental management also features strongly in the submission, particularly around the issue of end-of-life tyres. Since the end of 2021, TACC says collection and disposal costs have reached unsustainable levels, leaving many retailers unable to access accredited tyre recyclers and forcing some to stockpile waste well above regulated thresholds. In other cases, unlicensed operators have dumped tyres in public spaces, creating further environmental and safety risks.

“Industry is committed to meeting environmental obligations, but we’re facing extreme difficulty accessing waste tyre collection services from accredited collectors,” McIntosh said. “We need government support to build industry capacity for proper tyre collection and recycling.”

TACC concludes its submission by urging all parties to recognise the automotive industry’s contribution to local employment, safety and environmental responsibility. The chamber says it remains committed to working with government to deliver practical outcomes that benefit the sector and the broader Tasmanian community.