Tariffs mean US won’t see Holden Ute

In another disappointing story for Australian car manufacturers, news.com.au reports that plans to export the Holden Commodore Ute have been scrapped due to high US tariffs.

The original plan to sell the Ute in 2009 – as the Pontiac G8 ST – was ruled out due to the GFC. Last year there were hopes it may have been sold as a more fuel-efficient alternative to American tradesmen looking to trade in their SUVs, but Holden has announced that it’s “not a serious option” any more.

“The tariff triples when you go from Commodore to Ute. It's under a light commercial heading, so it's a 35 per cent tariff,” said Sean Poppitt, the Holden SA corporate affairs manager.

Holden says that the crippling tariff combined with the strong Australian dollar would make export unprofitable.

The news comes at the same time as Nexteer, an automotive parts supplier based in Michigan, announces that it will not be opening a factory in Campbellfield, Victoria.

The ABC reports that the factory would have created 150 jobs.