The Australian government is to restore hundreds of millions of dollars of funding to the ailing autos se

[aussiblue]

http://www.bbc.com/news/world-australia-31810731

The Australian government is to restore hundreds of millions of dollars of funding to the ailing autos sector.

Industry Minister Ian Macfarlane said that A$500m ($384m; £254m) of the taxpayer assistance which was cut in last year's budget would be renewed.

Mr Macfarlane said the move would ensure the car manufacturing sector would survive until at least 2017.

Australia's car industry has been in decline for decades, with only three manufacturers left in the country.

In recent years, Ford, General Motors' Holden unit and Toyota all said they would stop manufacturing cars in Australia by 2017, effectively marking the end of the country's car production industry.

[Spammy]

http://www.smh.com.au/federal-politi...10-13zto3.html

[aussiblue]

Yes; but the BBC were earlier with the story; perhaps they were less sceptical than our Oz media :-)

[Rockape]

Bit late now isn't it ?

[Hemihunter]

So they still need government assistance (tax payers money) to close down the manufacturing plants WTF are we doing.

[Bossxr8]

Before everyone jumps to conclusions here, read it properly and get the FACTS. The money is to help the suppliers who would otherwise close, diversify and find export opportunities so that they can survive and possibly expand.

Don't see the problem with that, and the reality is the money will not all be spent anyway, it's just sitting there in the pot in case it needs to be used.

The money does not go to Ford, Holden or Toyota.

[Hemihunter]

Wish my business had that opportunity as well. I need to lobby harder.

[Bossxr8]

Employ tens of thousands and then try.

[blackf6]

Plenty of jobs related to manufacturing going to be lost unless they diversify. Good on the government.

[mik]

The thing that burns me, if they had of put in place honest fair trade policy that evened up the playing field in the first place ...........
A. we would not be having this discussion.

B. car manufacturers may not have needed hand outs in the first place.

C. There would be a crap load less of people on the dole now.

[danzvtil]

Hang on, the suppliers have seen the writing on the wall for years, but now they see the urgency in finding new markets.......are govco trying to win back some votes? this smells fishy to me.

[bobthebilda]

Originally Posted by Bossxr8

Employ tens of thousands and then try.

You mean tens of hundreds.

[buggerlugs]

Originally Posted by danzvtil

Hang on, the suppliers have seen the writing on the wall for years, but now they see the urgency in finding new markets.......are govco trying to win back some votes? this smells fishy to me.

Yes, a person wouldn't want to be cynical re this article, would they........

[Spammy]

Re read the smh article....the BBC version is not correct and numbers are way overstated.

[Bossxr8]

Originally Posted by bobthebilda

You mean tens of hundreds.

No I don't. Something like 50,000 last a heard.

[XR5]

Originally Posted by Bossxr8

Before everyone jumps to conclusions here, read it properly and get the FACTS. The money is to help the suppliers who would otherwise close, diversify and find export opportunities so that they can survive and possibly expand.

Don't see the problem with that, and the reality is the money will not all be spent anyway, it's just sitting there in the pot in case it needs to be used.

The money does not go to Ford, Holden or Toyota.

Actually, the money does go to the car makers. That's how the ATS works. The car makers are paid from the ATS fund per vehicle produced. This has a flow on effect to the suppliers in that they are kept in business supplying parts to the car makers.

That was always the way the ATS was supposed to work. The money only went to carmakers. Component suppliers were listed in the ATS but only to the extent that it was assumed that they would be responsible for supplying parts needed for new vehicles designed and built under the ATS scheme, which would thereby ensure their survival as well. That was the only way they benefitted from the ATS. They never had access to ATS funding directly. It was a way of trying to ensure our car manufacturing industry was sustained until at least 2021 which was when the allotted funds for the scheme ran out with a new agreement to be decided upon before that time ran out.

All the Government has done is provide the incentive for Toyota and Holden to definitely continue their production until 2017 and Ford to go until planned in 2016. They have just dangled a carrot to keep them around until they said they would for want of better words. It is not really costing the Government much in the grand scheme of things and removing the ATS funding was announced in last years budget and had still not been passed through the Senate nor was it likely to ever be so it is no skin off their nose.

The rough averages of recent production numbers is where the articles are getting the 100 million dollar mark to be used from the total five hundred million dollar allocation.

The remaining 400 million and extra 400 million allocated for the period of 2018 to 2021 will then just be classed as savings, divested somewhere else and the ATS shut down as there will be no Automotive manufacturing after 2017.

[vztrt]

Originally Posted by danzvtil

Hang on, the suppliers have seen the writing on the wall for years, but now they see the urgency in finding new markets.......are govco trying to win back some votes? this smells fishy to me.

I'm sure there are plenty of opportunities in Manufacturing in Australia. The opportunities are endless....especially in the automotive field.

[cheap]

Perhaps Rick Muir could provide some insight as to what these additional funds will to towards supporting the remnants of the automotive industry.

Over to you Ricky, say/do something.

[Work Horse]

Originally Posted by cheap

Perhaps Rick Muir could provide some insight as to what these additional funds will to towards supporting the remnants of the automotive industry.

Over to you Ricky, say/do something.

Did you miss this?

http://parlinfo.aph.gov.au/parlInfo/...8cae%2F0145%22

Originally Posted by Senator MUIR

Do not judge me by what I say; judge me by what I do. Thank you"

We will have to wait and see I think.

[cheap]

Originally Posted by Work Horse

Did you miss this?

http://parlinfo.aph.gov.au/parlInfo/...8cae%2F0145%22



We will have to wait and see I think.

That is his first (and only) official speech, months and months and months after becoming a senator. That speech was BEFORE the recent announcement. Given his track record of infrequent communications, we may have to wait months and months and months...

[Hulsty]

Originally Posted by XR5

Component suppliers were listed in the ATS but only to the extent that it was assumed that they would be responsible for supplying parts needed for new vehicles designed and built under the ATS scheme, which would thereby ensure their survival as well. That was the only way they benefitted from the ATS. They never had access to ATS funding directly.

No, I work for a component supplier, we fill out our ATS diary and receive the $$$$ for OE development work.

[XR5]

Originally Posted by Hulsty

No, I work for a component supplier, we fill out our ATS diary and receive the $$$$ for OE development work.

There you go. Cool then. I see this as a good thing then if it keeps you guys going or eases the pressure a bit till the close of manufacturing date at least. Thanks for pointing that out to me.

[2011G6E]

Yay!!!!
Pour hundreds of millions of our taxpayers dollars into supporting compnies building cars no one wants anymore!!! Well done!!! Sound economics!!!!

[Syndrome]