Industry minister, Senator Kim Carr, says the transformation the Australian automotive sector is undergoing gives him cause for great optimism about future economic growth and environmental sustainability in the industry.
“Australian vehicle production volumes for 2009 have fallen to the lowest level since 1957, yet car manufacturers in Australia have emerged as survivors from the global recession.
“This is a testament to both the sacrifices made within the industry, and to the effectiveness of the support it has received from the Rudd Labor Government.
“The strength of the partnerships developed by the Government with companies and unions has allowed the Australian automotive industry to pull through the crisis with productive capacity in place and workforce substantially intact – and this is a cause for celebration.
“Australia’s automotive industry has shown a resilience that has gone unmatched by the majority of its global counterparts.
“Annual vehicle sales in the United States and Japan were down 21.2 per cent and 9.3 per cent respectively on the previous year, compared to only a 7.4 per cent drop in Australia over the same period.
“Encouragingly, automotive markets locally and overseas are showing signs of rejuvenating with end of year increases in sales, including record-highs for Australian vehicle sales in December.
“Automotive manufacturing in Australia is poised to take advantage of this upward trend with the industry already moving forward in the production of greener, more fuel-efficient vehicles.
“The Rudd Government’s $6.2 billion A New Car Plan for a Greener Future is driving this transformation and moving the industry steadily towards a stronger footing.
“The sector is a strategically important part of Australia’s economy and provides employment to 51,700 Australians directly and another 100,000 in dependent industries.
“Investment in research and development in the automotive industry accounts for 18.5 per cent of total manufacturing R&D expenditure.
“This level of commitment to innovation bodes well for the future of this important industry.
“I look forward to seeing the benefits of this investment emerge with the introduction of the Toyota Hybrid Camry, Ford’s new eco-boost technology and Holden’s new locally manufactured small car, to name but a few exciting developments in store for the sector,” Carr said.