In the wake of General Motors’ decision to cease all manufacturing operations through Australian subsidiary Holden by 2017, the Australian government has announced that they will create a $100 million AUD ($89 million USD) fund for affected employees.
Just as TTAC predicted in earlier editorials, Holden will be receiving vehicles imported from China as part of its future product plan – the vehicle slated to be imported from China is no less than the next generation Commodore.
With the demise of Holden’s manufacturing and R&D facilities complete by 2017, General Motors is reportedly looking to kill off the Holden brand and switch over to Chevrolet instead.
Holden informed the Australian federal and state level governments that it will cease car production in Australia by 2017, citing a “perfect storm” of unfavorable exchange rates, high production costs and a small but competitive car market that has seen sales of traditional Australian-made rear-drive sedans and Utes plummet in recent years. An estimated 3000 workers are said to be directly affected by the closure of Holden’s manufacturing facilities.
Reports out of Australia claim that GM will be ending Australian vehicle production by 2016, turning Holden into a brand that sells imported cars, rather than locally produced vehicles.
If you want to see the future of Holden in Australia, this is it. Yes, it’s the same car that Jack Baruth took to the woodshed in today’s edition of TTAC, but it’s also a harbinger of things to come for the iconic Australian marque, with the announcement that Holden’s Elizabeth, Australia plant will be tooling up to produce the first ever front-wheel drive Commodore. And even that looks doubtful.
2016 will be a pivotal year for Holden’s Commodore-based Ute. Declining sales and shifting production capabilities could mean that the traditional Aussie Ute could become extinct, as both the Commodore and Ford Falcon Utes die off.
At a dealer event in Sydney, Australia, Ford CEO Alan Mulally defended the company’s decision to close its Broadmeadows and Geelong assembly plants in this country, saying it was Ford’s only option if they wanted to remain in the Australian market, what Mulally called the most competitive in the world. The Ford executive also explained that the automaker is taking three years to manage to shutdown in order have an orderly transition and to treat “stakeholders” equitably. (Read More…)
Opel’s foray into the Australian market, which began in late October, 2012, has come to an end. Having sold just under 1600 vehicles in that time period, Opel has decided that the Australian market is not viable for its wares.
Hot on the heels of a $275 million “investment”, Holden is going back to the Australian government, hat in hand, asking for more money. This time, Holden wants another $265 million to keep their assembly plants online.
In an exclusive story, Australia’s Herald Sun newspaper has announced that Australian rear wheel drive Ford enthusiasts will be getting something to help them get over the hurt of Ford’s recent announcement that it will be discontinuing local production of the Falcon along with the rest of Ford production facilities down under.
Meet the Toyota Corolla Levin ZR. Tailor made for Australia and other world markets, it’s an attractive looking design that, according to media reports, is a decent drive to boot. So why don’t we get it here? I have no idea. Mazda, Ford, Hyundai and Kia all offer hatchbacks with some degree of success. They also tend to command a price premium over the equivalent sedan. And with the Matrix apparently not long for this world, this would be an apt replacement.
Holden and HSV try their hand at the “Imported From Detroit” style car commercial. As someone who has always been partial to Aussie muscle sedans, it’s easy for me to say I’m a fan. No doubt the line about cars becoming “smaller, quieter and more vanilla” will resonate with many of us. In a country where the Mazda3 and Toyota Corolla have knocked the Commodore and Ford Falcon off the top perches of the sales leader boards, it carries extra significance.
After enduring what The Motor Report calls “a spiraling and damaging media campaign – run, in the main, by Fairfax media,” Volkswagen spoke up. According to Reuters, “Australian Managing Director John White told Australia’s Fairfax newspaper on Friday that VW “have issues” after car owners complained of transmission and engine failures causing loss of power, but did not order a general recall.” (Read More…)
Australian media is reporting that Toyota is next in line for some government cash, following Holden’s deal with the government to keep production of the Commodore and other models in Australia.
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