Australian Governments and Automotive Manufacturing, 1919-1939

In recent years the progressive lowering of tariff barriers in Australia has produced a predictable backlash from those who are directly affected. The reaction, however, extends to academics and others who have no pecuniary interest in the outcome, and who have argued that the tariff represented a policy consciously designed to promote the economic development and defence capacity of this country. On the basis of experience in the motor vehicle industry, we argue that these factors had very little to do with interwar tariff policy. Rather, it was the outcome of an interplay between the Commonwealth government's need for revenue, the activities of "the lobby" in seeking rents, and the practices of the Customs bureaucracy.