NBNMyths wrote on Jul 21
st, 2012 at 11:13pm:
I don't have a problem with Govt investing in the automotive industry, sensibly. It employs many people both directly and indirectly and contributes to advanced skills in engineering etc. We are one of only 15 countries worldwide with the capability to produce a vehicle right through from design to production, and we are certainly not alone in providing Govt assistance to automotive industry. IIRC, there are only 2 or 3 car manufacturing countries that don't provide assistance to the industry. The industry in the US, UK, Germany, Sth Africa, Sweden, Thailand (and many more) all get major Govt assistance.
There's nothing wrong with Australian made cars. On a value basis they are the equal of anything else in their class anywhere in the World. The problem is that they are not made by Australian companies and so they have little to gain by maintaining an Australian manufacturing operation. eg: The Falcon and Territory would be perfect for the US market. But they would decimate the sales of the Crown Vic and Exploder, so Ford does not want to export them there.
The key to getting value for the investment dollar is to tie it to exports. Only Toyota currently has a large export program for its vehicles, while Ford (especially) and Holden only have small export programs. The Govt should get serious about the industry and offer them major assistance. But only on the condition that they meet KPIs on exports of the vehicles.
All the vehicle manufacturers now are moving towards a worldwide standardised product line. There is no reason why Ford Australia could not be the production source of, say, the mid-size SUV for the World market (ie the Territory). Toyota have done it, Holden/GM have made a half-hearted attempt, Ford have done nothing.
The Govt needs to give the manufacturers an ultimatum: Take our money and export or get nothing and go away.
RUBBISH !!
What about any all Australian business that gets nothing ?? Are they supposed to take it up the arse each time Holden and Ford gets bailed out ?
And how do countries like Germany have their OWN car industries which export premium quality cars all over the world whilst not having to continuously subsidize foreign car corporations ??
It's about time the Aussie gov grew a pair of balls and told these Holden and Ford scammers to f.ckoff. And they can leave all of their equipment behind because we have well and truly paid for that many times over !! It belongs to the Australian tax payer now.