Click it and Unblock the Notifications
Ford Decides To End Production In Australia
At a press conference held earlier this week Ford Australia president and CEO, Bob Graziano announced the company's decision to completely end production in the country from October 2016.
Graziano said this tough decision was taken after all consideration were made. But the huge losses being incurred by the automaker in the last few years has made it non viable to continue producing vehicles in Australia. The automaker reported a loss of $141 million during the last financial year and over $600 million in the last five years.
Another major factor that contributed to the downward trend, Graziano said, was the raising value of the Australian dollar against other currencies. Australia is an extremely dense automotive market where buyers have the option to choose from 65 brands and 365 models, making it extremely competitive.
"Ford vehicles have been part of the automotive landscape in Australia for almost 110 years and we have manufactured here since 1925. We are proud of that history. We are proud of our role in Australia and we haven't made this decision lightly," Graziano stated.
The decision to end production will result in 1,200 employees losing their jobs. The remaining 2000 or so strong workforce will continue to maintain a strong presence in Australia as an import only brand, with the help of its 200 strong dealer network. The automaker will also maintain its R&D programs in Australia as well.
Continue with Google