Holden Says It will Continue to Build Cars in Australia despite Ford’s Exit

Following Ford’s announcement that it will stop making cars in Australia in 2016, the country’s other major car manufacturer, GM-owned Holden, said it remains committed to making cars in the country.

Holden CEO Mike Devereux said in a statement that Ford’s announcement is a reminder of “just how tough it is for manufacturers in Australia, even the most committed, like Holden, which is bringing out the most technologically advanced car ever made in Australia.”

Devereux was referring to the new Holden Commodore, a car that he said “plays a critical role in Holden’s long-term future in Australia and it is expected that Commodore will continue to be one of the top 10 selling cars in the country.”

The executive added that although Ford’s decision is a major blow for Australia’s car manufacturing sector Holden believes the industry can survive in the country and has already adjusted in large part given Ford’s relatively low production volumes.

Holden announced a 10-year manufacturing plan in 2012 which was agreed with the Australian Government based on the economic and market conditions at that time. “That plan would see Holden invest a billion dollars in this country and secure production of two all-new global vehicles out to 2022,” Devereux said.

Holden warned that the industry needs swift action to make Australia’s automotive policy settings “clear, consistent and globally competitive as quicly as possible.” Devereux added Holden is working closely with the Australian Government, Federal Coalition and the State Governments “to ensure the viability of the industry in the face of the historically significant economic challenges facing the country.”

By Dan Mihalascu



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