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NEWS

Australian RV production plunges

Big drop in Australian caravan production as manufacturers deal with tough market

The number of caravans, camper trailers and motorhomes built in Australia has dropped dramatically in recent times, according to latest figures from the Caravan Industry Association of Australia.

The CIAA said a total of 1755 recreational vehicles were built in Australia last month – 223 fewer or an 11.5 per cent decrease compared to June 2018. It follows a 3.8 per cent year-on-year decline in Australian RV production in May.

“This monthly decline is the most significant since March 2018, which fell by 13.1 per cent,” the Association said in its monthly production report.

“Part of this decline can be attributed to less working days in the month compared to the previous year, which accounted for 95 less units reaching the market.”

Australian manufacturers are being forced to cut back with fewer buyers in the market

The CIAA said RV production for the first six months of 2019 was down slightly (0.6 percent) compared to 2018. A total of 9974 units had been built until the end of June, of which 6784 (68 per cent ) were caravans.

Pop-top production continues to slide, with just 302 pop-tops built in June, compared to 1083 caravans. Production of larger, six metre plus caravans is also declining, while the number of smaller caravans (4-5 metres) built last month increased.

Motorhome production in 2019 is slightly down, at 725 until the end of June, with the biggest growth in B-Class motorhomes.

The CIAAA blamed a drop in “consumer confidence” for the tough trading conditions forcing many manufacturers to cut back staff and production lines, which is also significantly impacting retail sales of cars, motorcycles and trucks.

The growth in the imported RV market is also having an adverse affect on local RV production. According to the CIAA 4096 caravans and camper trailers were imported to Australia in the first five months of 2019 – up 2.5% up on the previous year.

While Queensland remains the biggest importer of RVs in Australia, Victoria has seen the most significant growth recently, with an additional 419 imported RVs reaching the southern state in the January-May period – up 60%.

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Written byCaravancampingsales Staff
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