The government will grant a huge $63 million to Toyota to bring production of the car manufacturers’ next-generation, four-cylinder engine for the Camry and Hybrid Camry to Australia.
The grant will be used to expand and install cutting-edge equipment at Toyota’s engine plant in Altona, Victoria.
The project will start immediately and be completed by late 2012, when the new line will start turning out over 100,000 engines a year, up to a sixth of them destined for hybrid vehicles, the government claims.
The grant — which is part of the Green Car Innovation Fund — is a substantial investment in Australian manufacturing and a substantial step towards creating an economically and environmentally sustainable automotive industry, according to the government. “The decision shows tremendous confidence in Australia’s innovative automotive sector and the capabilities of our suppliers and workers — including the 320 employees at Toyota’s Altona engine plant,” said a media release from innovation minister Senator Kim Carr’s office.
The new petrol engines built on the line will reportedly consume 4.5% less fuel and produce 5% fewer greenhouse emissions than today’s equivalent engine. This could cut carbon pollution by up to 20,000 tonnes a year.
The locally-produced hybrid engine — an Australian first — will consume just 6 litres of petrol per 100 kilometres and emit 142 grams of carbon dioxide per kilometre.
The government says it will continue to work with Toyota and the entire automotive sector to build a modern, innovative and green industry supporting high-skill, high-wage jobs.
The new grant complements the $35 million provided to Toyota Australia for the Australian-made, low-emission Hybrid Camry launched in February 2010.
