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  #1  
Old 06-04-2011, 09:39 AM
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Default Parts prices here vs the US (Warning essay within)

Why do parts manufactured in Australia, cost us so much more than in the USA?

All prices taken from performance part websites.

Example 1 DBA: lets look at DBA 4000s slotted for 07 STI.
In Australia Front (pair) = AUD$440
In USA Front (pair) = AUD$296 (US$306)
That is around 33% cheaper after being shipped to the USA.

Example 2 Whiteline: lets look at 22mm adjustable rear swaybar again for 07 STI
In Australia = AUD$230 (normally around AUD$250)
In USA= AUD$162 (US$167)
Again around 30% cheaper after being shipped to the USA.

I know the Australian dollar is good vs the US dollar so all their prices look good at the moment. However, they are buying them from us therefore currency value should be irrelevant. If our dollar is worth more, it costs them more. They should have to sell them for more.

I have thought of some of the possible reasons:

1. They buy lots more, bulk buy= cheaper price? (I believe DBA have a major distribution company in the US but I donít think they manufacture)

2. They stocked up while the US dollar was strong and havenít changed their prices?

3. Retailers here are shafting us? Because there is not as much market competition so they can?

4. Companies are shafting the retailers here and therefore us?

Anyone know why?

If it wasnít so expensive to ship heavy/large items, you could just buy from the US.
Anyone know any cheaper ways to ship items out other than the usual UPS and USPS?

I was quoted around 500 to send F+R discs and pads, for some reason itís cheaper to send tires from tirerack than dics etc. I would have thought weight would be in the same ballpark but discs would be a much smaller.

End essay/rant
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Old 06-04-2011, 09:43 AM
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Taxes, middle man charges, shops needing to cover costs of running a retail store vs selling from a industrial unit/shed etc etc
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Old 06-04-2011, 09:45 AM
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taxes yes, but these prices are both from websites I would assume just selling out of warehouses.
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Old 06-04-2011, 09:50 AM
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99% of the issue is a lot of manufacturers will sell overseas for a very cheap price. Usually because the overseas distributors will buy in bulk. But they won't even consider selling it locally at that price.

For instance, I can buy australian made steel sections from BHP or Onesteel for local crack money. Or I can buy it overseas, ship it here, pay the taxes on it and have the exact same product for half the price. Downside is local stockists disappear.

Or you can buy a holden commodore / hsv cheaper overseas than the local market. And it is a lot cheaper than the 'taxes' crap they try to sell to the local customers.
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Old 06-04-2011, 10:17 AM
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because the australian government looks at every way possible to rip us off
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Old 06-04-2011, 10:28 AM
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Hence why I bought all my rebuild parts from the US...
The Acl race bearings were 45% cheaper than I could buy at wholesale inside Aus. Piston kit 40% less, genuine Subaru parts 50% less.

Australia needs to get with the global program..........All local business suffer when the Aussie importer/distributors appear to be price gouging....
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Old 06-04-2011, 12:32 PM
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You've got plenty of cash Bro... Just buy the parts already...?
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Old 06-04-2011, 12:38 PM
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This is why I started doing GB's etc as the prices here are ridiculous and it's much cheaper for me to buy wholesale from OS and so I pass on the savings to pwrx members.
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Old 06-04-2011, 12:54 PM
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Might have a bit to do with the social structure as well. A lot Americans happily to work 3 jobs all on minimum wage barely scraping enough to live on. Try getting an Aussie to work just the single job on minimum wage ($18 an hour now? compared to about $10 in America) Most will tell their boss what a tight cnut they are and go live happily on the dole which the government is more than happy to dish out.

With all the middle men involved, even in a warehouse, this can add up quite quickly.

Still doesn't explain the crack pipe prices here.
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Old 06-04-2011, 04:06 PM
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It might be a case of the base wholesale price being the same while the local retail prices are based around RRP's to protect the agents even though the parts are coming direct from factories. RRP's are set to give attractive and attainable margins to the agents based on what the consumer is prepared to pay.
Basic rules apply. Price around. If people cant shift their products prices come down. If companies are going out of business and still selling cheaper products overseas then more fool them I say.
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