Australian Powder Metallurgy producers set to get boost from $1 billion automotive investment

March 27, 2012

March 27, 2012

General Motors has announced that it will invest over US $1 billion in its Australian GM Holden operations over the next 10 years after securing Australian government support to help it keep its plants open until at least 2012.

The Australian government will invest A$275 million into GM Holden’s car plant in Adelaide and engine plant in Victoria, states a report in Automotive News. This will be good news for Australia’s struggling PM producers including the ACL Group based in Tasmania which went into administration in 2009.

Australia’s three carmakers – GM Holden, and the Australian arms of Toyota Motor Corp., and Ford Motor Co., have all cut jobs in recent years after falling sales and exports, blamed on the global downturn and a record high Australian dollar.  

The latest government figures show that the three car companies produced nearly 250,000 cars in 2010, falling steadily from about 320,000 in 2008 and more than 400,000 in 2004.   

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March 27, 2012

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