John McVeigh (Groom, Liberal Party) Share this | Hansard source

I'm pleased to have the opportunity to contribute to commentary on this motion. I say at the outset that I agree with many of the sentiments contained within the motion from the member for Wakefield. As I acknowledge the sentiments of the member for Wakefield in this motion, I particularly support the recognition of the professionalism of Holden workers, both in recent times and over the many, many decades in the history of the Australian motor vehicle manufacturing industry. I recognise at the same time the challenges for the Australian motor vehicle industry considered by successive federal and state governments across this country.

As we continue, quite rightly, to recognise and celebrate the past, given the recent decisions of Ford, Toyota and, of course, now Holden to cease manufacturing in Australia, so too are we compelled to look to the future. Is this the end of an era? Of course it is. Especially significant, I think, given the community celebration of at least those involved and supportive of Australian motor vehicle sport, is the success of Holden and Ford at Bathurst and the Gold Coast in recent weeks, respectively. I say this also as a great fan of Australian manufacturing and an investor in Australian manufacturing industries myself prior to coming to this place. I offer tremendous support to any comment of respect towards Holden workers and those who have worked in the industry more broadly over many, many decades. I say this as a true Australian motor vehicle buff myself.

But, as I say, we do need to look to the future. As a former premier of the very important vehicle manufacturing state of Victoria, Jeff Kennett, recently reflected, the challenges for successive governments under various Australian industry federal ministers—including my own predecessor in this place, Ian Macfarlane—have been there for many years to consider. Mr Kennett reflected that for years we had a tariff of almost 60 per cent protecting our car industry by ensuring imported cars were so much more expensive. The tariff began to be reduced in the mid-1980s under the Hawke Labor government. By 2015, the tariff had been reduced to about 10 per cent. The review by former Victorian Labor Premier Steve Bracks recommended a further five per cent cut, which happened in 2010. More recently that tariff has sat at about five per cent.

The Button plan of Labor in 1990 encouraged the local industry to export, quite rightly, and to reduce the number of models it sold—a move towards export and rationalisation, I guess, was his thinking—in return for ongoing financial support from the federal government. We know the history has been that, as tariffs reduced, imports increased from individual plants that produced, in fact, more vehicles each year than our entire industry did in any one year. As Kim Carr said in 2012: 'Governments don't run the car companies. It's not the government's job to tell them how to manage the plant.' As the General Motors head of international operations said at around the same time, nor was it the fault of any particular government decision that they had to face up to economic conditions on a worldwide basis.

I'm proud that our government has responded to these challenges and put in place a range of support mechanisms to help workers transition. These have been in place for some years, recognising that the decisions of Ford, Toyota and Holden were announced some time ago. The $100 million Advanced Manufacturing Fund—assistance to expand advanced manufacturing, particularly in South Australia and Victoria—leveraging a total investment of $119 million, I think has been particularly important through these difficult times and these challenges. And so the list goes on. There is $255 million in assistance to specific businesses to transition to new industries. There is some $45 million for the workers in transition programs, with 6,000 workers provided with career training advice and support. I'm advised that 75 per cent of Holden workers have found new jobs or retired.

There is a salutary lesson here for Australian consumers as well. As Jeff Kennett said, Australians changed their purchasing patterns and started buying more and more imported vehicles. If I had the opportunity, I would buy Australian vehicles forever more. I cherish the '67 six-cylinder Ford sedan through to the 2015 V8 Falcon I've purchased, and I cherish the Australian industry. I look forward to its future, particularly with Ford and Holden, looking at international engineering activities.

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