Sunday, February 16, 2014

No More Car Industry in Australia


TOYOTA has announced it will cease making cars in Australia in 2017, blaming the cost of manufacturing and the high dollar.
Toyota announced the closure of its Altona plant this afternoon and was briefing workers on the withdrawal. The company has been making cars in Australia since 1963.
Toyota’s move follows the decisions of Ford and Holden to quit manufacturing in Australia by 2016 and 2017 respectively.
It means that from 2017, Australia will not have a local car manufacturing industry.

Over the last six months three of our major car manufacturers, Ford, General Motors Holden and Toyota have announce that they will cease building cars in Australia. Really it means Melbourne and Adelaide where the plants are located. Further to the actual employees at these plants there is the flow-on to the suppliers to the big three. Over the next two to three years there will tens of thousands workers looking for employment.
It's estimated that there will be over 30,000 jobs lost by 2017.
The Taxi industry supported local cars - Silver top taxi in Melbourne during the 1950s.
The recently installed Government have denied any further subsidies to the car manufacturers although there are other reasons for the closures. The high Australian dollar makes manufacturing uncompetitive in the global market and the Australian Market has changed. The general Australian population are not wanting big cars anymore - well they are but not as much as they once did. With more choices out there, Australians have discovered more economical cars.





I've only had Holdens and Fords as company supplied cars over the years. As personally owned cars, I've had British, Japanese, French and Italian cars, all of them smaller and more versatile or just that little bit different to be a bit more interesting.
During the 60s, most Australians drove a Ford or Holden, then the Japanese cars gave us an alternative choice. In more recent times, the likes of the Korean cars have improved to the extent that bang for buck, they are excellent value.



http://youtu.be/RSp7bxgca_Q






29 comments:

  1. These companies will be quite happy to sell you cars made elsewhere, though.

    How long before they raise the prices to you on the basis that the cars have to be shipped in?

    ReplyDelete
    Replies
    1. Gaynor - we had tariffs which which assisted the local car manufacturing industry but subsequent governments reduced tariffs which put the locals under pressure. I don't expect imported cars to increase in price - in fact the opposite with no need for tariffs any more to protect non-existing local auto industry

      Delete
  2. Good point GaynorB! I am so sorry about all those people being unemployed pretty soon. We are having the same problem with the movie industry here. Other states and countries are subsidizing the industry so much that they barely shoot movies in California. It wouldn't be for TV, I would be in big trouble. This whole "global-one world order economy" sucks!

    ReplyDelete
  3. Nadege - I'm looking forward to retirement - not so much that I don't enjoy my work, because I do. I just can't cope with the idiots that form or future.
    Ddi I say that? just another disillusioned baby boomer.

    ReplyDelete
    Replies
    1. It is just GREED that I cannot take anymore!

      Delete
  4. I think there will be far more than 30,000 jobs lost by 2017. Not just in the three Adelaide and Melbourne car plants themselves, but in all the industries that supply the car parts, feed the workers, build homes for the workers etc. What a total tragedy :(

    I don't care if the government has to pay half the wages of the workers to keep the overseas companies from destroying the Australian economy. Our workers deserve good jobs.

    ReplyDelete
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