federal government to fund ford development?

[TheForgotten]

dunno if anyone's heard, but on the radio news about 5pm today I heard that the federal gov't is set to sponser ford development, and it cut to lil johnny explaining why but I missed it.

anyone else heard about this?

[kirkson]

Na mate ..................... but ya can understand that fords would need a lot of developing lol regards kirk

[ef_classic]

The Government has given them 52.5million to help develop the next falcon and territory, conditons are that Ford are to export to other markets, money well spent!!!

[mattman]

Sounds good to me

They need all the help they can get lol... but if it helps aus .. then sounds good..

[1vngal]

http://www.news.com.au/story/0,10117...-29277,00.html

Why can't this money be used for more practical things like, securing jobs for Australian Workers? (Oh thats right, John Howard took that privilage away from us.) Or even use the money to do something about the price of petrol?!

[NHS]

http://www.news.com.au/story/0,10117...-29277,00.html

Why can't this money be used for more practical things like, securing jobs for Australian Workers? (Oh thats right, John Howard took that privilage away from us.) Or even use the money to do something about the price of petrol?!

Read the article...

PM gives $52.5m incentive to Ford

PRIME Minister John Howard today announced a $52.5 million financial assistance package for car giant Ford.

Mr Howard said Ford Australia would use the money for two new projects, which would help secure its manufacturing operations in Australia.
He said the projects would help create 273 new jobs at Ford.

Ford would also receive assistance from the Victorian Government, he said.

Mr Howard said $40 million would be used on a project involving the design, engineering and manufacture of the next generation Ford Falcon and Territory vehicles at two Victorian plants, in Geelong and Broadmeadows.

The other $12.5 million would go on a project involving the design and engineering in Victoria of a light commercial vehicle, which would then be manufactured overseas under the Ford name.

"The light commercial vehicle project will involve the construction of a new R&D facility by Ford Australia in Victoria," Mr Howard said.
"This will not only serve to position Ford Australia for the global market, but will significantly strengthen Australia as Ford's major design and engineering centre within the region."

Mr Howard said the government assistance was conditional on an undertaking by Ford that it would give the Australian automotive component sector every fair and reasonable opportunity to supply the necessary components for the projects.

"I very much encourage the Australian automotive component sector to work closely with Ford Australia in order to take full advantage of these exciting opportunities," he said.

[VS Omega]

They should have given the money to Holden in an effort to keep them using locally made parts. The VE is going to have the least Australian manufactured parts of any Commodore ever to keep the price for the customers competitive..

Holden's has been an Australian company since the 19th century, even before Ford invented the affordable car.. I think this is a load of crap, especially since GM is already losing so much on car sales (they make their money on commercial vehicles!!!)

[TheForgotten]

I agree that the gov needs to assist in employment, and this alone is a good idea, but 52mil can provide a shitload more than 273jobs.

and why won't they strike up a similar deal with holden? it's not like they don't need extra assistance, considering the VE is sourced from overseas and bolted together here

I give up. this country is going to the dogs

[VS Omega]

Thread: "PM to give $52.5m to Ford?! WTF??" has been merged into Thread: "federal government to fund ford development?" Because they're about the same thing, and the latter was the first to post about it

[vztrt]

They should have given the money to Holden in an effort to keep them using locally made parts. The VE is going to have the least Australian manufactured parts of any Commodore ever to keep the price for the customers competitive..

Holden's has been an Australian company since the 19th century, even before Ford invented the affordable car.. I think this is a load of crap, especially since GM is already losing so much on car sales (they make their money on commercial vehicles!!!)

While the money is going to be used to secure ford's manufacturing (5500 jobs + contractors) its also there for the new reaserch facility being built over there. Ford actually do alot of R&D and are creating jobs.
At least the I6 is still developed in Geelong.

[NHS]

I agree that the gov needs to assist in employment, and this alone is a good idea, but 52mil can provide a shitload more than 273jobs.

and why won't they strike up a similar deal with holden? it's not like they don't need extra assistance, considering the VE is sourced from overseas and bolted together here

I give up. this country is going to the dogs

Both Holden and Toyota have received similar assistance from the government already.

This investment in Ford not only adds 273 new jobs (on top of their existing workforce) but it also so secures Ford’s place in Australia for the next 10 years.

Would you rather see these jobs go to China or Korea?

Some very unfair posts in this thread

[Kickars2]

ford suck.
and johny is a loser.
what pull throughs

[VS Omega]

Would you rather see these jobs go to China or Korea?

Some very unfair posts in this thread

Fair enough the jobs can go to Aussies instead of another country, my point is the money should be going to Holden who are already starting to use other countries to build components instead of Ford who as far as I know are still using mostly local content, this can bring the jobs taken away from Australians back to Australians (Holden laid of a lot of people recently).. Holden is more of an Australian company than Ford, and they're pretty Iconic which is why I don't understand the gov'ts thinking by giving the money to Ford..

But who knows, Ford could have already decided there's no future in Australia with large V8s and RWD cars and were contemplating changing things, and this is to stop them.. Or is this just a thing for the gov't to get massive discounts on fleet cars?

[Kickars2]

273 jobs wow.
52.5 million dollars for 273 jobs wow watchout that will drop the unemployment rate. losers

[vztrt]

273 jobs wow.
52.5 million dollars for 273 jobs wow watchout that will drop the unemployment rate. losers

273 extra jobs, on top of keeping the 5500 jobs that are already there. Plus the contractors that Ford uses (these are perminant people that work at there). Plus keeping Australian suppliers in business, they do use alot of Australian content in their cars.

The run on effect of Ford stopping production in this country is huge. If you reckon Holden would stay in this country if Ford stopped building cars, than your very delusional.

[Daza]

Bring back the button plan! Stuff the free trade agreements!
We need Industrial diversity in this country. Ford have been using a lot more imported components lately as well as Holden. Does any one know the Aussie content on these cars? I would be surprised if they were over 80% now.

[vztrt]

Bring back the button plan! Stuff the free trade agreements!
We need Industrial diversity in this country. Ford have been using a lot more imported components lately as well as Holden. Does any one know the Aussie content on these cars? I would be surprised if they were over 80% now.

Both cars have more than 50% aussie content but it's very close to the 50% mark now.

[Kenster84]

ford suck.
and johny is a loser.
what pull throughs

could say about your VX commodore electric fault not to mention Ecotec engine.

But this isnt about which car is better and etc its more that people are able to keep they jobs and a few open for people which is a good thing

[gumbs]

273 jobs wow.
52.5 million dollars for 273 jobs wow watchout that will drop the unemployment rate. losers

Ok so its going to make another 273 jobs imediately. Now 52 500 000/ 273 = 192 307. The average dole payment after rent assistance and all that is around what 20K per year. 192 307/ 20 000 =9.6 So provided ford keeps these jobs open for atleast 10 years at the very worst the government will break even.

Not counting the extra money that would be brought into the economy by exporting the territory/falcon.

Now I'm by no means a genius when it comes to economics but I can garunte the guy that signed off this decision sure as hell is.