Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Car Prices Set For Continuing Rise

MEDIACOM-RELEASE-MOTOR-INDUSTRY-ASSOC

The prices of both new and used imported cars have already started to rise as a result of the falling New Zealand dollar, and an acceleration in the rate of increase is inevitable, according to the Motor Industry Association.

`All the attention so far has been on the price of petrol', said MIA Chief Executive Officer, Perry Kerr. `With petrol being a weekly purchase for most people it is a much more visible expense, but the prices of new cars are subject to the same exchange rate pressure.'

The New Zealand dollar has been depreciating against all major currencies since the end of 1999, but in the past week it has plunged to new lows and is currently trading at close to a 15 year low against the US dollar and an all-time low against the Japanese Yen. With all new cars now fully imported, the entire effect of the exchange rate loss has to be reflected in pricing.

`There have been remarkable improvements in the fuel efficiency of new cars over the past few years', said Mr Kerr. `With fuel and car prices continuing to increase, now could be the most appropriate time to trade out of a less efficient older vehicle'.

Ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Wainui: Major Infrastructure Partnership For North Auckland

Minister of Housing and Urban Development Phil Twyford and Auckland Mayor Phil Goff today announced a partnership that will fund $91 million of roading and wastewater infrastructure to support the building of 9000 homes... More>>

ALSO:

NZ's Space Programme: Rocket Lab Reaches Orbit Again

Rocket Lab has continued the success of its 2018 orbital launch program with the launch of seven payloads to orbit. The mission marks Rocket Lab’s second successful orbital launch and deployment of customer satellites. More>>

ALSO:

Supreme Court: Labelling Swamp Kauri Slab A Tabletop Doesn't Make It One

New Zealand's highest court has ruled that exporting slabs of swamp kauri as "tabletops" or swamp kauri logs as "totem or temple poles" is illegal under the Forests Act. More>>

ALSO:

Starting Ending Offshore Drilling: Green Party Celebrate Passing Of Oil And Gas Bill

“This Bill is an essential first step in winding down offshore exploration for new sources of fossil fuels. We are in Government together to do this work, to create the change our people and our planet need to flourish." More>>

ALSO:

Reserve Bank: Official Cash Rate Unchanged

The Official Cash Rate (OCR) remains at 1.75 percent. We expect to keep the OCR at this level through 2019 and into 2020. More>>