Thread: The end of the Australian Ford

My D2 and Defender are of questionable heritage,more german than Indian.
Anyhow,I love curries and Fords

Ford apparently made a $141 million loss last financial year, $600 million over the last 5 years.
The comments about the giving of or paying back government grants & subsidies always makes me laugh. Ford themselves have lost millions, the losses are increasing and finally they have made a business decision to stop local manufacture.
The question is whether it was only market forces or partly due to some of their own mistakes....

The diesel Territory took about 4 years too long to get to market. They have ecoboost diesel Falcons & Terri's on test but again it's taken them too long to get to market. I remember the GM of Ford Australia being asked a few years ago why they had no diesels in the range, he commented that you'd be mad to go for diesel when LPG is so cheap in Australia.

Last year Holden announced the closing of the design department in Australia. As already mentioned, Opel dealers are opening here so Holden probably won't be too far behind Ford.

It's sad, and I feel for the workers losing their jobs. Problem is that most Australians are buying lower cost imported vehicles

I drive a diesel Territory and my wife has a petrol Territory (needed because we have 5 children and my car passes to her when I replace). Build quality has been OK, diesel version has been excellent.

Another nail in the coffin for manufacturing in Australia. The knock-on effects in the supply chain will cause many more job losses.


Colin

Originally Posted by gromit

Ford apparently made a $141 million loss last financial year, $600 million over the last 5 years.
The comments about the giving of or paying back government grants & subsidies always makes me laugh. Ford themselves have lost millions, the losses are increasing and finally they have made a business decision to stop local manufacture.
The question is whether it was only market forces or partly due to some of their own mistakes....

The diesel Territory took about 4 years too long to get to market. They have ecoboost diesel Falcons & Terri's on test but again it's taken them too long to get to market. I remember the GM of Ford Australia being asked a few years ago why they had no diesels in the range, he commented that you'd be mad to go for diesel when LPG is so cheap in Australia.

Last year Holden announced the closing of the design department in Australia. As already mentioned, Opel dealers are opening here so Holden probably won't be too far behind Ford.

It's sad, and I feel for the workers losing their jobs. Problem is that most Australians are buying lower cost imported vehicles

I drive a diesel Territory and my wife has a petrol Territory (needed because we have 5 children and my car passes to her when I replace). Build quality has been OK, diesel version has been excellent.

Another nail in the coffin for manufacturing in Australia. The knock-on effects in the supply chain will cause many more job losses.


Colin

Interesting contrast in point of view. comments like yours makes me very sad.
Tax money have given to allow business managers to subsidize their bad practices.
In your comment you agree that they took to long to come with new models.
Of course the politicians in present and pass governments are at fault as well to support manufacturing of models of cars that were not suitable for the local market.

Our high value AU$ has a lot to do with making imports cheap.

As to efficiency, GM-H employed 26,000 in 1970 and 8,000 today probably making more cars.

What is required is enforced Australian manufacture. A system of import quotas that are reduced every year until the make starts at least CKD assembly in Australia. High unemployment will never be reduced until there are plenty of low skill/unskilled manufacturing jobs.

What most of the "fully imported" car snobs don't appear to know is that Ford and GM-H are making damn good cars. Europeans are gobsmacked when they see how much car we get for the money. They drive Fiats, Renaults and such rubbish that don't fit four full grown adult males.

Originally Posted by Brian Hjelm

They drive Fiats, Renaults and such rubbish that don't fit four full grown adult males.

And in Australia the "average" driver does not want to drive a vehicle that will fit our full grown adult males but the Japanese and Korean equivalents of Fiats, Renaults and such rubbish.

Yes Ford has similar cars but they do not make them here.

Garry

As someone who employs people, I can tell you that it just costs too much. Workers comp, super, sick pay, holiday pay, long service....don't get me wrong, I'm for them all, but the rest of the world are on lower rates without the benefits in most cases. We are suffering from being ahead of the curve as far as workers rights are concerned. I know some European makers are similar but they get more government support. I've travelled a lot overseas, almost everything is too expensive in Australia compared to elsewhere. I reckon it's all labour costs at every link in the chain.

Originally Posted by mikehzz

As someone who employs people, I can tell you that it just costs too much. Workers comp, super, sick pay, holiday pay, long service....don't get me wrong, I'm for them all, but the rest of the world are on lower rates without the benefits in most cases. We are suffering from being ahead of the curve as far as workers rights are concerned. I know some European makers are similar but they get more government support. I've travelled a lot overseas, almost everything is too expensive in Australia compared to elsewhere. I reckon it's all labour costs at every link in the chain.

Good point.
I wouldn't want to lose them though. With what happened in Bangladesh still in the recent memory.

Originally Posted by Mick_Marsh

There is something very wrong somewhere.

and that my friend is what all the anti tariff / protection / subsidy guys don't want to get their heads around..

it aint about protecting fat kids