Pyne pledges support for Dumarey's Holden bid

Federal Industry Minister Christopher Pyne has pledged his support to Belgian businessman Guido Dumeray for Punch Corporation's bid to purchase and keep running Holden's Elizabeth production facility.

Speaking to ABC Radio National Breakfast's Fran Kelly this morning Pyne stated he had written a letter of support for Dumarey and also clarified the project's access to Automotive Transformation Scheme (ATS) monies.

"I think it's important that people's expectations aren't too overheated... But a lot of things have to happen for that to work, and the primary one is General Motors in Detroit have to decide that they want to sell it to Guido Dumarey's business. And that is what I'm trying to help Guido with, in terms of working with General Motors in order to make that happen," Minister Pyne stated.

"The Automotive Transformation Scheme is legislated until 2021, but it requires a car manufacturer to access it – that produces... 30,000 vehicles a year. If there is a car manufacturer in Australia producing 30,000 units a year the Automotive Transformation Scheme will continue to at least 2021, because that's what legislation says.

"If a car manufacturing continues, like for example Punch Corporation taking over the Holden plant, and they could produce 30,000 units, which is what they [Punch] propose to do, then they'll be able to access the Automotive Transformation Scheme," he said.

motoring.com.au exclusively broke the news late last year that Dumarey's Punch Corporation business was seeking to take over the South Australian GM facility and re-energise the Commodore range as an export project.

Minister Pyne said a green light for the project "would be great for the jobs of workers in Australia, and for growth in the economy".

"The automotive industry has that important knock-on effect throughout the economy in terms of innovation and research and development. So I think everybody in the government would like there to be a car manufacturing business in Australia," Pyne stated.

A full recording of the Pyne interview can be heard at RN's website.

Since motoring.com.au broke the news of the bid, various politicians and interest groups have begun to offer support for the project. Pyne's comments are the first strong evidence of the Federal Government's desire to see the bid succeed.

Independent SA senator Nick Xenophon is also a strong proponent of the Dumarey bid.

motoring.com.au has asked both Pyne and Prime Minister Malcom Turnbull's office for interviews on the Dumarey project but to date both have declined.

According to a report that led the Guardian Australia website yesterday, Dumarey met with GM executives during the Detroit auto show armed with Pyne's letter.

Holden has refused to comment on the matter beyond issuing the following statement:

"The future of our Adelaide plant remains a work in progress. If a party is interested in the ongoing use of one our sites, Holden and GM will assess any detailed plans should they be submitted. Holden has not received any proposal from Punch."

At the Detroit auto show last week global GM executives were obviously warned there would be queries made about Dumarey and offered minimal comment or no comment at all on the matter.
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Pictured: Christopher Pyne (right) with Prime Minister Malcolm Turnbull, courtesy of facebook.com/christopher.pyne