Holden strategy needs bipartisan approach

03-November-2011

This morning’s news on the future of the Commodore has created a great deal of uncertainty and concern for the South Australian manufacturing sector.

“Manufacturing is a high value industry with strong export returns and private investment in research and development" Shadow Minister for Industry and Trade Martin Hamilton-Smith said.

“Holden is an Australian icon that has been at the centre of South Australia’s manufacturing industry for decades, providing jobs and creating wealth for their workers and their long chain of small contract suppliers.

“Holden’s design centre is the perfect example of the type of cutting edge scientific centres of excellence that will be the backbone of the SA economy now and in the future.

“Australian industry can no longer compete on cost factors of production because of our high wages and strong environmental, occupational health and safety standards.

“Emerging industrial economies have much lower wage, logistics and regulatory costs and will always beat us on simple manufactured goods.

“This morning’s news demonstrates the need for an urgent response from both the Commonwealth and South Australian Governments to shore up our current manufacturing capabilities and to continue our rapid evolution towards industry driven by advanced science and innovation.

“The State Liberals will work collaboratively with Holden and Manufacturing Minister Tom Koutsantonis on a strategy to ensure Holden remains a pillar of the state economy.

“While the worst case scenario for the Commodore is still hypothetical, today’s news demonstrates the need for foresight and planning from government and policy.

“There has long been a real risk that Holden’s Adelaide plant will go the same way as Mitsubishi, and we need to work on a comprehensive long term plan for the company’s presence in the state by strengthening our position as a innovative economy,” Mr Hamilton-Smith said.