AUSTRALIA’S top luxury car dealer, Carvana, has been approved to receive federal government support to run its operations.
The Victorian government has allocated $500,000 for the business and the federal government has committed $1.5 million to help it achieve a high-performing operating profile.
The government has also committed $100,000 to the business’s Australian operations and another $100k to expand its distribution network.
Carvana has a number of suppliers across Australia including BMW, Mercedes-Benz, Holden, Ford, Hyundai, Nissan and Renault.
Carve’s Australian CEO Mark Pritchard said the company had had to do some tough decisions in the past year but that the government had not discouraged the company.
“We’ve always been focused on the future,” he said.
“The fact that we can bring some of the best suppliers to Australia has really enabled us to get into a position where we’re able to scale.”
This is a really important step forward for the Australian luxury car industry, especially with the recent announcement from the Australian Competition and Consumer Commission (ACCC) that they are reviewing all car brands and all car parts suppliers.
“The government’s commitment to the industry was confirmed by Senator Scott Ludlam in the Senate yesterday.”
It is an absolute game changer for the car industry in Australia,” he told the ABC.”
They’re investing in a whole new industry in terms of building better car parts and in the automotive manufacturing sector, which is one of the biggest jobs in this country.
“Mr Ludlam said it was vital the government acted to ensure a safe and reliable supply chain.”
As the chief minister of Victoria, it is my duty to make sure that our industry is thriving, our consumers are happy and our taxpayers are getting their money’s worth,” he added.”
That’s why I’m absolutely committed to ensuring that the car parts that we buy from Carvana are of the highest quality and we have a safe, reliable supply network.
“There are some of these parts that have been known to have safety issues, and I’ve seen people in the car dealership industry who have been injured and have had their cars replaced.”
So we need to be doing everything we can to protect the people who work there.