IvanM

http://m.smh.com.au/business/death-o...411-2hoim.html

Costing us billions for rubbish cars. What viable industry do we replace car manufacturing with?

hoofie2002

Don't worry - according to the govt and the previous one ( the Greens ) we are now on the sunny uplands of a 'Green' economy where all those dirty, carbon polluting jobs such as making cars, steel etc will be replaced with higher paying green jobs...such as...er..well theres...um.....

IvanM

The subsidies are way more than just the carbon tax. What do we pay to stop industry moving?

Zen10

First, they are not "rubbish" cars. Second, if they are to die then it is the fault of the consumer. When you go France all you see is French cars, literally everywhere you look, especially in the rural areas away from class-snobbery. You might have experience of this. The French could opt for a sunroof with 17 setting from Toyota rather than one with 3 settings from Peugeot, but they choose not to because they understand it means local jobs. The Australians, like the British, want the 17 settings at any cost, bugger the local economy.

So what they have is a buggered local economy. QED.

Gjn200

Compared to the competition the Cruze is crap. Go test one.

Amazulu

Compare the UK car industry today to how it was in the '70s. Back then it was destroyed by militant unions, bad management, poor government and crap cars. It was also highly subsidised. Look at it today. Although not locally owned, there are now several highly successful operations over there, like Mini and Nissan. Now they have minimal unions, highly skilled and motivated workforce, good management and decent products ie cars that people want to buy. They went through a lot of pain to get there, but they got there.

Our industry displays many of the facets of how it was in the UK in the '70s.
Lessons to be learnt.

IvanM

Cars people want a produced in a scale that is profitable is key.

GarryP

Ford and GM will stumble on.

Ford Australia and Holden have been dead men walking for years now. High manufacturing costs in the midsts of a low labour priced SE Asia - about as viable as a snowflake in the sahara.

Can it be replaced?

Yes

Put the money into local companies, with government golden shares, that look to the future and exploit new ideas to redefine the market (which with cars is long overdue). Personally I don't think Australians stereotypically are innovative enough to do the whole job, but there is scope for an 'axis of high priced competence' - with nothing left to lose - to do the job.

RedDragon2008

Britain had Thatcher

OZ has Gillard

Pondering the lady is not for turning?

BadgeIsBack

I don't think Holden or Ford are rubbish cars and you get a lot for your money. I would gladly drive one if one was given to me. In my (shallow) opinion based on looks, I actually think the Holden is the best looking family sedan I've seen in quite literally, years far better than any other car from other manufacturers in it's class. You're not getting a Toyota or a German marque. Obviously there is fall out from the subsidies and it all needs looking at.

scottishcelts

Hubby has a Saab, I have a Challenger. I must say, even though I prefer to drive 'up high' , the Saab is a luxury business car and is overly comfy.

Holden?

Never.

The Bloke

Badge, I never thought that I would have ever said that Holden Commodore (specifically the SV6) were better than the Falcon, but after driving both the newer models, I have to agree you are right......and that's coming from a longtime Ford driver. However, saying that Ford and Holden both have been on the ropes before, and they have bounced back, but need to do more to combat the cheaper imports from Asia, particularly India (shich seems to be bringing in a lot more models lately).

IvanM

The problem with both makers is the large sedan is a shrinking market. The merits of Ford vs Holden are lost amongst CRV vs CX5 vs ix35.

BadgeIsBack

True, of course, in fact I wonder who does buy a sedan now adays - only 5 people just (in a larger model) and not much space for toys and not much off-road ability. (The answer is of course, still, 'stacks').

We have a Ford Falcon (just because) and actually, it turned out to be the car for us, as with 3 kids growing up, anything smaller (as a first 'straight' car for Chief) would have been too small and we would now be on her second car. As it happens our '95 falcon has now done 210k in almost 9 years (from 88k bought) and still gets all the stuff in.

Mr Grumpy

Another factor that no one seems to mention is that car ownership is declining in Australia. With increasing densification of Sydney and Melbourne there are now large chunks of the heavily populated inner cities that do not own cars. In my street there is no car parking and none of the townhouses or apartment blocks have dedicated car parking. There is simply less demand for more cars.