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Ken Gratton10 Jan 2012
NEWS

Ford boss calls for on-going government support

Ford supremo Alan Mulally promotes private/public partnership to foster competition

Canning the Green Car Innovation Fund has brought down upon the federal government protracted whinging from the companies manufacturing cars locally — with Ford's global CEO Alan Mulally the latest to join the outcry.


Speaking with the Australian press during the launch of the new EcoSport in India, Mulally turned the dialogue around to the need for a "private/public partnership", to conduct business in the optimal operating environment. As a factor in the difference between a company being competitive or not, Mulally argued, private/public partnerships were "the backbone of economic development".


Joe Hinrichs, Ford president for Asia/Pacific and Africa, subsequently described such a partnership - specifically with the Australian government - as "critically important".


Mulally's and Hinrichs' comments follow an official protest from the FCAI earlier in the year and passionate oratory from Holden MD Mike Devereux in response to the cessation of the Green Car Innovation Fund.


As Devereux told motoring.com.au at the time, government's withdrawal of financial support for the local industry will inevitably delay programs or those programs might even be deferred altogether. With the long lead times required by the motoring industry to introduce new models and running changes, the business case for continued manufacturing could fade without government backing.


Given the cost of updating the Falcon's inline six-cylinder (and the Territory's) to Euro 5 emissions in the next few years, Ford will be seeking commitments from the federal government to help out. That may in fact be the tipping point for the indigenous design if the federal government can't be convinced to dip a hand in the pocket.



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Written byKen Gratton
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