The Coalition Government has asked the Productivity Commission to deliver a pre-Christmas interim report on Australia’s automotive industry, so it can continue helping to keep Holden afloat.
The AFR reports that Industry Minister Ian Macfarlane “is prepared to give GM Holden a ‘blood transfusion’ of funding” this year, as the government and industry work to deliver a long-term plan next year.
Macfarlane visited Holden in Adelaide last week. ABC News reported on Thursday that the Government was “more open to doing a deal than not”, but had yet to make a decision on federal funding.
Holden has previously warned that the Government would need to commit to a funding deal by mid-November, or it will stop making cars in Australia.
Minister Macfarlane told the AFR that the Government had set aside about $1 billion to support the car industry, although any further funding would need to be approved by Treasurer Joe Hockey and cabinet.
There’s more on the Fin.
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