Sevag Parseghian, who is in the third year of his mechanics apprenticeship at Mercedes Benz Melbourne, is competing against seven apprentices from Australia and New Zealand.

The award celebrates excellence among third and fourth-year auto electricians, motor mechanics, spray-painters and panel beaters.

Entrants are judged on their ability to excel in their chosen field by industry experts, including car builder and three-time Summernats grand champion Howard Astill.

Mr Parseghian, 23, said he had been interested in the automotive industry for as long as he could remember, and his hero was formula one driver Michael Schumacher.

Describing himself as passionate, outgoing and a perfectionist, he said: "I should win the apprentice of the year award because cars are my passion and I want to inspire others."

The winner, to be announced next month, will receive more than $9000 worth of tools and a gold pass to the 2012 Summernats car festival.

Mr Parseghian said apprentices should be passionate about their profession.

"The best advice I could give to any upcoming apprentices would be to always have pride in their work, have an open mind and be positive because you never know what opportunities may appear. Do what you love and you'll be good at it."

Snap-on Tools national sales manager Steve Jones said the competition recognised the vital role young people played in the industry.

"Apprentices are a fundamental part of the automotive industry's future and will ensure that high levels of trade skills are retained locally."