Chevrolet Corvette future uncertain

The Australian arrival of the Chevrolet C8 Corvette remains subject to the successful completion of negotiations between General Motors and the Walkinshaw Group.

Finalising the deal to set-up General Motors Specialty Vehicles (GMSV) in Australia has been slowed by the coronavirus pandemic.

GM, which axed Holden in February, appears likely to take full control of the new business.

Under that structure the Walkinshaw Group would be contracted to provide its engineering and ‘remanufacturing’ skills to convert various left-hook Chevrolet models to right-hand drive.

At this stage only the Chevrolet Silverado 1500, which the Walkinshaw Group already converts in Melbourne and sells under the HSV banner, is a confirmed part of a future GMSV line-up.

The Tahoe SUV has been strongly pushed as a local contender, while the Camaro coupe is also a big chance to return to local showrooms, both following local RHD conversion.

The new mid-engined C8 Corvette was going to come to Australia in right-hand drive ex-factory and be sold by Holden dealers. But the axing of Holden threw that plan out the window.

Back in February GM executives said the right-hand drive Corvette would still “exist”, without ever explicitly confirming it was coming to Australia.

Since then it’s been reported the COVID-19 outbreak has forced GM to halt a bunch of development programs, including the right-hand drive Corvette.

So if GM doesn’t resume that program and doesn’t build the RHD model at Corvette’s legendary Bowling Green base in Kentucky as planned, right-hand drive conversion could become the responsibility of GMSV and the Walkinshaw Group.

Asked about that scenario, Walkinshaw Group chairman Ryan Walkinshaw responded: “All we are doing is Silverado and I can’t comment on anything else.

“I am not going to put a date around it [an announcement of a GMSV deal] because it’s a negotiation and you might have noticed there’s quite a lot of unusual stuff happening at the moment,” he added.

“The ambition and focus of all parties in this is still very strong and things are progressing and I hope we will be able to give you something in due course that is positive.”

As an ex-factory model, the Corvette was expected to cost about $140,000 in Australia. But local remanufacturing would push that price up.

How much would depend on the level of support GM was prepared to provide and how much investment from Walkinshaw would be required by the conversion process.

Holden veteran Peter ‘PK’ Keley, who has been leading negotiations with Walkinshaw over GMSV, would not comment on the matter.

If GMSV does become its customer it will be a familiar position for Walkinshaw Group, which is already contracted to American Special Vehicles (ASV) to convert RAM trucks to right-hand drive.

With a new-generation RAM truck due soon and the GMSV deal looming, Walkinshaw was bullish about his company’s future.

“As it stands we are Australia’s largest automotive manufacturing company.

“We will be doing north of 10,000 units by next year at our facility in Melbourne with ambitions to grow that even further over the next three years.

“We employ over 600 people currently with more likely in the future.

“We’ve got an enormous amount of capability with our design, engineering and manufacturing expertise.”