It has been announced that Australia’s automotive industry is also losing out from the global financial crisis. This became apparent when the Federal Chamber of Automotive Industries (FCAI) announced their latest sales figures. It is hoped that the RBA’s recent interest rate cut will help to boost car sales.

In FCAI’s VFACTS bulletin, around 79,000 cars where claimed to be sold in October. This figure is almost 11.4% lower than October 2007. Chief executive of FCAI, Andrew McKellar stated that “These figures confirm that the global financial crisis is having an impact on broader economic activity, including the new vehicle market”.

This comes moments after Toyota, Japan announced their profits will be half that of prior expectations. There is no doubt, the financial crisis has hit the automotive industry hard. This places the Australian Automotive Industry at risk of collapse. Holden are still have the top selling car, the Commodore, while Toyota remain Australia top car seller.