All sorts of rumours and speculation around potential closure of the local Australian arm of General Motors in Australia (Holden). Ford announced they were closing earlier this year, if General Motors pulls out it will leave only Toyota. It is thought that feeder industries such as automotive parts makers would lack the necessary scale to continue viable production, leading to higher input costs and most likely resulting in Toyota’s closure as well.
As one economic commentator put its:
While it may not seem apparent at the moment, these are desperate times for the Abbott Government, with Australia facing the prospect of both the failure of its biggest manufacturing industry and a steep and prolonged decline in mining investment from record highs.