Ford thinks small as big car sales slide
Ford considers small car assembly line at CampbellfieldWith high petrol prices and sluggish Falcon sales forcing Ford Australia to abandon its Geelong engine plant, the company is pinning its hopes on a small car to help boost sales.
Ford will cease manufacturing its locally-designed in-line, six cylinder engine, fitted to its Falcon and Territory range, and will import a more fuel efficient V6 motor when it closes its Geelong engine plant in 2010.
Unions have warned the closure could also cost as many as 3000 additional jobs in and around Geelong, Victoria's second largest city, from the flow-on effects of a downturn in the local car parts and services industries.
But Fairfax newspapers said Ford was considering adding a small car assembly line at its Campbellfield plant in Melbourne's north.
Industry speculation suggested the Ford Focus, currently imported to Australia from South Africa, could be assembled in Australia, the Fairfax report said.
Ford Australia president Tom Gorman said on Wednesday that the company was "relatively close" to announcing a small car plan.
"We would be looking at what we could do to basically add another product to our build capability with all the additional benefits that may drive to us," he said.
Federal Industry Minister Ian Macfarlane said the government would consider proposals from Ford for assistance to launch an Australian-built small car.
Source: AAP 2007
To comment on this article click here
VIDEO:
Please see our Editorial Guidelines & Code of Ethics (including for more information about sponsored content and paid events). The information published on this website is of a general nature only and doesn’t consider your particular circumstances or needs.
