The New Industry Minister Has Some Tough Love In Store For Australia's Car Makers

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Yesterday Prime Minister-elect Tony Abbott announced his cabinet, with Ian Macfarlane confirmed as industry minister.

Macfarlane has told the Australian Financial Review salvaging the ailing domestic car industry was one of the biggest challenges in his new portfolio.

“There’s got to be improvement, not just throwing money away. We’ve got to build a car people will drive both here and overseas. We’ve got to build a car that the world wants to drive,’’ Macfarlane told the AFR.

Both Holden and Ford have received generous government subsidies to help prop up their Australian operations, which are a major employer in the areas in which they are located.

Approximately 1200 jobs are expected to go when Ford shuts its Australian manufacturing plants in October 2016.

In 2012 Ford received $34 million from the Federal Government to keep production going until at least the end of 2016.

There is more at the Fin.

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