Automotive Transformation Scheme (ATS)

Tell me about the assistance

Automotive Transformation Scheme aims to encourage competitive investment and innovation in the Australian automotive industry. Applications for 2017 close 31 December 2016.

  • Status: Open (accepting applications)
  • Delivered by: AusIndustry

Overview

The Automotive Transformation Scheme (ATS) commenced on 1 January 2011 and will run until 31 December 2020. It aims to encourage competitive investment, innovation and economic sustainability in the Australian automotive industry.

The ATS will achieve this in a way that:

  • improves environmental outcomes and
  • promotes the development of workforce skills.

What support or funding is available?

Participants can claim assistance for:

  • 50% of the value of eligible investment in research and development
  • 15% of the value of eligible investment in plant and equipment and
  • allowable production of motor vehicles, engines and engine components for local and export markets (Motor Vehicle Producers only).

 Registered participants will receive quarterly cash payments.

The ATS has two stages as follows:

  • Stage 1 – capped assistance of $1.5 billion from 2011 to 2015 and
  • Stage 2 – capped assistance of $1 billion from 2016 to 2020.

Yearly funding allocation:

  • 55% will be available for Motor Vehicle Producers and
  • 45% for non-MVPs (being the Automotive Component Producers, Automotive Machine Tool and Automotive Tooling Producers and Automotive Service Providers).

Payments will be adjusted to ensure that the ATS year cap is not exceeded.

ATS participants won’t be able to receive assistance exceeding 5% of the sales value of their previous year’s reported automotive goods and services. If the ATS participant is in an eligible startup period, funding will be no more than 15% of its eligible start-up investment.

A further $337 million is available in uncapped assistance to Motor Vehicle Producers.

Who can apply?

Applications for registration in the ATS is open to:

  • Australian Motor Vehicle Producers (MVPs)
  • Australian Automotive Component Producers (ACPs)
  • Australian Automotive Machine Tool and Automotive Tooling Producers (AMTPs) and
  • Australian Automotive Service Providers (ASPs).

Businesses including individual companies or a group of companies can apply.

What are the eligibility criteria?

Motor Vehicle Producers must:

  • produce at least 30,000 motor vehicles or 30,000 engines annually in Australia.

Automotive Component Producers must:

  • produce at least one kind of automotive component in Australia for use as original equipment in at least 30,000 motor vehicles or 30,000 engines annually and
  • the production value of that component must be at least $500,000 in the previous 12 months.

or

  • produce in Australia automotive components for use as original equipment with a production value of at least $500,000 annually and
  • is at least 50% of the production value of all automotive components produced by it in that period.

 Automotive Machine Tool and Automotive Tooling Producers must:

  • produce in Australia automotive machine tools or automotive tooling with a production value of at least $500,000 annually and
  • at least 50% of that production value was for automotive machine tools and automotive tooling used to produce original equipment.

 Automotive Service Providers must:

  • provide in Australia, automotive services with a production value of at least $500,000 annually and
  • at least 50% of that production value was for services related to the production of motor vehicles or original equipment.

Applications for registration may also be assessed on forward sales and production values.

If you do not meet the normal eligibility criteria, you may seek Ministerial permission to apply for registration in the National Interest. The details of how to apply for the Minister’s permission to register in the National Interest is in Customer guideline 4.

How do I apply?

You must complete the Application for registration form as a MVP, ACP, AMTP or ASP and submit it to us. You will need to provide a business plan with your application that contains:

  • the strategies your business will undertake to carry on sustainable operations in the Australian automotive industry for five years starting on 1 January of the year you are registering
  • operational plans, details of financial commitment and controls, financial projections and assumptions that establish the forecasts in your business plan
  • details about how you will place the industry on an economically sustainable footing, in a way that will improve environmental outcomes and promote the development of workforce skills and
  • current employment information.

You must apply before 1 January to register for that year. For example, to register in 2017 you must apply by 31 December 2016.

You can lodge your form and business plan by:

  • emailing ATS@industry.gov.au
  • post to AusIndustry, GPO Box 85, Melbourne VIC 3000 or
  • delivery to any AusIndustry office during business hours.

The application form is available in the I’m ready to apply tab or call us on 13 28 46 for a hard copy.

Customer guideline 3 will help you to complete the application form.

To apply for permission to be registered where you do not meet the normal criteria, you must complete the ATS Registration in the National Interest form.

How will I know if I am successful?

We will write to you within 60 days of receiving your application and business plan. If we need further information to process your application, we will let you know. The timeframe for giving you notice about your application will increase if we need more information from you.

If we approve your application, we will confirm the registration and provide your ATS Registration Number.

If we do not approve your application, we will advise you and include the reasons why.

How will payments be made?

To receive a payment registered participants must lodge a Quarterly Return within 45 days after the end of each quarter.

A cash payment will be made directly to your bank account once we process your Quarterly Return.

Key documents

Guidelines

Fact sheets

Forms


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