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The Pub For General Automotive Related Talk |
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#1 | ||
FF.Com.Au Hardcore
Join Date: Dec 2005
Location: Christies Beach
Posts: 964
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So i get into work this arvo(3.20) and my buddy who drives a fork comes up and says that he was just talking to a truck driver, that reckons that Holden will be shutting down their arvo shift sometime this year! We conversed over this rumour for a bit and then got back to work.
Then at about 7pm another mate, who's mate works at Holden rings him up and proceeds to let on about the "BIG" rumour down there at Elizbeff, that at Christmas time 1500 jobs will be going!! And also, in 2 years time Holden plan to shut down the Elizbeff plant!! Something to do with the Exports and Interest rates. And before anyone jumps their guns, everytime a rumour of such nature comes through our work it usually ends up being true. So there you go, 1 rumour from 2 entirely not related sources. Being in the industry i wonder if this will come to fruition(sp?).
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#2 | ||
IWCMOGTVM Club Supporter
Join Date: Sep 2005
Location: Northern Suburbs Melbourne
Posts: 17,798
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Well its just a rumour at this stage. Shutting down a shift I could believe but closing production is far fetched. The industry is still viable, I'd change 2 years to 8.
And just remember if Holden shut up manufacturing, Ford will do the same and vice versa. |
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#3 | |||
FF.Com.Au Hardcore
Join Date: Feb 2007
Location: ...in the shed
Posts: 3,386
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#4 | ||
FF.Com.Au Hardcore
Join Date: Jan 2005
Posts: 14,654
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Ive been hearing for a while that GM are looking at a feasibility plan to building the G8 in the US for economic reasons. There is little viability in building this car here for export, it makes sense for us to import it from the states if they have a greater production demand for it there than us here..
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#5 | |||
FF.Com.Au Hardcore
Join Date: Aug 2006
Location: Salamander Bay
Posts: 5,427
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Quote:
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Everyone starts off with a bag full of luck and an empty bag of experience. The trick is to fill the experience bag before the luck bag is empty. "It is better to remain silent and be thought a fool than to speak out and remove all doubt." Start a new career as a bus driver Rides: FG2 XR6 stock at this stage but a very nice ride xc 4 DOOR X CHASER 5.8 UNDER RESTO |
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#6 | ||
Sales Representative
Join Date: Mar 2007
Location: Young
Posts: 5,314
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Well with all the part supplier take overs and limiting of production due to economics... i could see it happening...
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#7 | |||
Force Fed Fords
Join Date: Aug 2005
Location: Enroute
Posts: 4,050
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Large car segment is dying, Holden have found out that they can still sell cars on their reputation and advertising as proven by the rebadged Daewoo's.
Wouldn't be surprised especially as the VE numbers have suffered (as have Falcon) under the pressure of fuel price increases and the global warming mob hating anything not hybrid. Oh well, where's Dave Hughes? "Holden means Sweet FA to Austraaaayyyyia"
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#8 | ||
Donating Member
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Posts: 5,658
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Holden have been losing a lot or money recently if you look at their end of years results.
It will be interesting to see this years result. As ltd mentions above the large car segment is dying, and the total industry volume is now being spread over many more models. Something has to give soon ! BTW: Holden don't make money on G8 exports either. |
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#9 | |||
FF.Com.Au Hardcore
Join Date: Dec 2005
Location: Christies Beach
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Quote:
P.S that is just a rough estimation and my view as i i am not as smart as some people on here.
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#10 | ||
_Oo===oO_
Join Date: Dec 2004
Location: Australia
Posts: 3,305
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So how long before we start getting Chinese Statesmans and American Commodores?
Its looking increasingly like the next Falcon (2011-12) will be imported as well. |
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#11 | |||
Officially Unemployed!
Join Date: Dec 2004
Location: Heading back to the real world....
Posts: 1,199
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With mitsubishi gone we can't really afford to lose another manufacturer, so we need each of the remaining players to maintain strong sales.
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#12 | |||
Donating Member
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1 Billion dollars spent on a vehicle that is doing about 3,500 sales a month (many to fleet) and that is exported with little profit. That's what I think is fueling this rumour. Not to say Ford is doing any better - the proof will be in the profit / loss announcements. |
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#13 | |||
Regular Member
Join Date: Nov 2007
Posts: 92
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Quote:
And whilst this rumour may be true in the long term, I don’t think it would be viable in the near future, their plants are not far off capacity, and GM cant have any plants overseas producing enough to pick up the slack of the lost 2nd shift by Christmas Plus they also have new models coming in and extra export models…….so I don’t think there is much truth to the rumour at all And Holden are doing pretty good financially, better than Ford Australia, I understand they have posted some losses, but that was planned for and predicted because they just made a 1 billion dollar investment in the VE, but they are now exporting good volumes, with plenty more programs coming in, give it a while for those investments to get paid off and I think Holden will start to turnover some tidy profits, and GM in Detroit are happy with Holden's performance and that is the big indicator that everything is running as planned |
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#14 | |||
^^^^^^^^
![]() ![]() Join Date: Jan 2005
Location: online - duh
Posts: 9,634
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I just knew that getting the yanks hooked on our cars would end badly, I hope this rumour is wrong.
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#15 | ||
FF.Com.Au Hardcore
Join Date: Nov 2005
Location: Perth
Posts: 755
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re the G8, the yanks already pay less for it than we do for the equiv SS
pretty much means they losing on it atm |
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#16 | |||
Regular Member
Join Date: Nov 2007
Posts: 92
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Quote:
Also they dont even Necessarily make less on it, the VE is budgeted to pay for all the design and tooling over a few years, where as the G8 does not include those costs (as the G8 export wasn’t guarnteed when the VE program was being developed), therefore they can ship it, and sell it cheaper the an SS and still possibly make a decent profit |
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#17 | |||
Donating Member
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They may or may not be profitable (I think we'll find out in a few months), but 'doing pretty good' ? No I don't think so. That would be a $300 + mill profit on their investments. The news within the industry is they are doing it hard also. |
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#18 | ||
FF.Com.Au Hardcore
Join Date: Dec 2005
Location: Christies Beach
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Even if they were making profit, i think and as stated earlier on, it has to do with the U.S. If they can build and sell the car over there for the same or lesser amount of dollars then why would they continue to wait for them on a boat when they can get them straight from the factory to the showroom floor.
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#19 | |||
Regular Member
Join Date: Nov 2007
Posts: 92
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Quote:
and yes $300 million profit on their investments would be doing great, but thats over the life of the investment, which is likely to be near a decade But even if they fall short of the 300 mill its not too bad as long as they make a decent profit, it doesnt have to be up at 30%! as we all know the margins in the automotive manufacturing industry aren't anywhere near as high as most industries either way, i just hope both ford and holden remain profitable in the long run. and each one needs the other in australia im not biased to either brand, im a car fan 1st and an Australian car fan 2nd but i seriously doubt that the 2nd shift will be gone by christmas, to put it simply, 1 shift isnt enough to produce their current volume, and between now and christmas isnt enough time to set up a plant and a supplier network (even if plans have begun) |
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#20 | |||
Donating Member
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Material costs. Labour and over-head. Logistics etc. Marketing & Sales. R&D. $300 would be closer to 8% I'm guessing. |
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#21 | ||
FF.Com.Au Hardcore
Join Date: Mar 2006
Location: NSW
Posts: 2,000
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Ok so we stop importing all these cheap Asian vehicles, increase Tariffs on those that get through & Charge a bit more for Falcons & Commodores.
And remove the GST on Fuel & never place a Tax on LPG. Then let Aussie Ford & Holden develop more Fuel efficient Vehicles to make up for the Loss of the Imported ones & Problem Solved ![]() Let us take it to the Asians, not let them Destroy our Industry! Aussie Aussie Aussie Oi Oi Oi |
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#22 | ||
Regular Member
Join Date: Nov 2007
Posts: 92
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hahah true i just figured because you were saying "300 mill on their investments" you were just referring to the billion dollar initial investment
also, 8% is considered pretty good in the the automotive industry |
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#23 | |||
Officially Unemployed!
Join Date: Dec 2004
Location: Heading back to the real world....
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"Who does not accept the second place, is not a sportsman. And who is not a sportsman, does not deserve respect" - Norbert Haug, Mclaren Mercedes October 2007. 5 days before his team refused to accept the judges decision and accept 2nd place at the conclusion of the 2007 Championship. |
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#24 | |||
1999 Ford Fairmont Ghia
Join Date: Mar 2007
Location: NSW
Posts: 1,162
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Screw the Asians they don't give a stuff about us. I don't want my hard earned dollars converted to Yen. |
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#25 | |||
Regular Member
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#26 | |||
Peter Car
Join Date: Dec 2004
Location: geelong
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#27 | |||
Donating Member
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Ford have "battened down the hatches" and have absolutely screwed down costs over the last 18 months (ask anyone that works there about how hard it is to get money for anything !!). Ford may not be selling many cars, but have downsized to be quite profitable at lower volumes when sales improve. I imagine Holden will be doing the same now. |
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#28 | ||
IWCMOGTVM Club Supporter
Join Date: Sep 2005
Location: Northern Suburbs Melbourne
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Swapper, the VE hasn't done well since the it's launch. The numbers that Holden budgeted in units per month well well short. So how did they try get around their increasing stockpile? Well they built more export units, but stocks have filled up and the aussie doller is strong. Holden aren't doing any better.
The VE made a loss in its first year out (Jeez even the AU I made a profit when it was released). There's inkilings going around that Toyota are having problems with the strong doller. |
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#29 | |||
.
Join Date: Dec 2004
Location: Bundoora
Posts: 7,199
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Quote:
Ford has monthly limits on Mondeo, XR5 etc which can rile up customers that wait months for their car, yet from Ford's point of view they sell every car they order from OS at a price where they can make more money from it |
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#30 | |||
IWCMOGTVM Club Supporter
Join Date: Sep 2005
Location: Northern Suburbs Melbourne
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Well apparently for a lease car the Falcon costs more then the equvilant commo, not sure how true it in the current car market. I'm sure there are others who can give this a yay or nay. |
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