Wednesday, December 11, 2013

Australia's GM Division Dead

The concept of "Too Big to Fail" holds no water in the land of Oz ...

Holden Motors Shutting Down ...

Australian Broadcasting Corp ... ABC (the equivalent of CBC in Canada) Blames the Conservative government ... of course.

They fail to mention that in spite of decades of taxpayer funded subsidies Holden Motors was losing money and losing it big time. Holden just waited out the end of the subsidies and once it was clear that there was no more coming ... pulled the plug.

Other factors include, UAW style compensation and benefits (unsustainable) and pension plans.

Never mind of course, government environmental restrictions that are beyond absurd.

Australia is a tiny domestic market and there is NO place for manufacturers to export to.

Ford had already announced that it was shutting down Australian operations in 2016.

Toyota remains the only manufacturer in Australia.

Labour governments have effectively wiped out 20 years of economic prosperity in the three year term of Julia Gillard. I'm sure Australians thank her for her service.


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