Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Hansard source

No, no. It has given me an opportunity to engage with issues in the car industry. You cannot have it both ways: when he is here, you say he is a disaster and, when he is away, you say he is not. The important thing is that there is an understanding that this is a capital grant to assist Toyota in the development of a hybrid Camry in Australia. We have indicated that as part of that development we will contribute $35 million as a capital grant. The conditions around that will be negotiated, milestones set et cetera. We have announced that it will be invested in research and development, and it will be invested in retooling the plant and equipment to produce the hybrid.

It will obviously be a commercial negotiation between the government and Toyota, but it is clear also that Toyota are going to have to invest a great deal themselves in order to facilitate this project. There is going to be huge investment by Toyota in Australia in developing the hybrid Camry. I think that is a good thing. It is a commercial decision by a major car manufacturer and it is a decision to develop this in Australia. I am surprised that the opposition are so critical of a significant measure, which allows us to provide for the longer term success of the Australian car manufacturing industry in this country.

In answering the question, I direct the senator to a press release released by Toyota on Wednesday 11 June, which said:

... Toyota’s decision to build a hybrid Camry in Australia was based on various business considerations, however the government support was a critical factor in securing local production.

So I think it is very clear that this has been a decision by the government, which will provide a large investment into the future of car manufacturing in this country. We will be negotiating the terms of the contractual arrangements, but it is very much focused on research and development. It is focused on developing car capacity that is more environmentally friendly, uses less fuel, emits fewer carbon emissions and provides benefits to consumers through lower fuel costs. We think it is an important development. I think it is clear that Toyota are making a long-term commitment to the Australian car industry, and they have publicly acknowledged that the Australian government’s commitment has been a critical factor in securing that local production. I hope that the opposition decide to rethink their position and support the future of the car industry in Australia.