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Australian Automotive Industry
&
A New Car Plan for a Greener Future
Adil Mohamed
Australian Government
1896 Shearer
1904 Ohlmeyer
1919 Australian Six
1938 Oldsmobile – body by Holden
Automotive Industry
• Manufacturing cars since 1949
Heavy vehicle assemblers
Australian automotive industry
• Australia is:
– one of 15 countries capable of taking a vehicle from concept to production
• 51,700 employees (August 2009)
• Auto exports $4.4 billion (2008-09)
– Amongst Australia’s top 10 export earners
• One million vehicles sold annually (2007, 2008 and 2009)
• Currently produce large passenger motor vehicles
– 324,000 vehicles (2009)
– roughly 50:50 local sales/exports (2009)
• About 200 component producers
• But…industry is under severe pressure
– local production, market share & exports have fallen
A New Car Plan, $6.2 billion
• A New Car Plan for a Greener Future
– attract new investment
– green the industry
– strengthen local supply chain and boost skills
– link local and international supply chains
New Car Plan programs
• A New Car Plan for a Greener Future
– Automotive Transformation Scheme, $3.4 billion
– changes to Automotive Competitiveness and Investment Scheme
(ACIS), $79.6 million
– Green Car Innovation Fund, $1.3 billion
– Auto Industry Structural Adjustment Program, $116.3 million
– Auto Supply Chain Development Program, $20 million
– Auto Market Access Program, $6.3 million
– Auto Industry Innovation Council
– expanded LPG Vehicle Scheme, $10.5 million
– auto tariffs reduce to 5% from 2010
GREEN CAR INNOVATION FUND
The AUD$1.3 billion fund over ten years.
Grants are provided at a ratio of $1 of government funding for every $3, (25%), of eligible
expenditure, contributed by the grantee.
Supports Australian companies for projects that
• Enhance the research and development and
• commercialisation of Australian technologies that significantly reduce fuel consumption
and/or greenhouse gas emissions of passenger motor vehicles.
The program will support:
research and development (R&D)
proof-of-concept
early-stage commercialisation
pre-production development
Merit Criteria • Extent of reduction in fuel consumption and/or greenhouse gas
• Contribution to a competitive Australian automotive industry
Foreign investors?
For foreign companies this provides opportunities to:
– establish an Australian presence
– partner with Australian entities, or
– further develop existing Australian operations/subsidiaries.
CASE EXAMPLE
A collaborative project / joint venture with an Australian partner where there is technology exchange.
Conditions:
• where overseas collaborators are involved the lead applicant must be an Australian entity
• funding contributions from collaborative partners must be made available to the applicant to demonstrate capacity to fund share of costs
Automotive Market Access Program (AMAP)
• Automotive Market Access Program was announced as part of the ‘New
Car Plan for a Greener Future’ on 10 Nov 2008.
The Program includes:
• Appointment of Automotive Envoys:
– The Hon Steve Bracks (Americas and Europe)
– Mr. John Conomos AO (Asia)
• Funding for Team Australia Automotive activities
- Targeting US market for OE components and technology
• Expanded Austrade network in Asia.
Hon Steve Bracks Mr. John Conomos
AUSTRALIA INDIA CHINA THAILAND KOREA
Automotive Mission to India
• A very successful and comprehensive
Automotive Mission to India in Feb 2010
- 10+ Group meetings, 50+ Individual 1-1 meetings and 3
Networking receptions across 5 cities in India
Australian Automotive Companies
Australian Auto companies with
Investments in India
- Advance Engine Components - Orbital Corp - Race Torque - Reymer Australia (OKA)
- EGR Group - Rhino Linings
- FAT Systems - Tridon Australia - Turbosmart
- Air International - Autoliv Australia - Carter Industries - Carsales.com.au - Davies Craig - Dockland Science - Drivetrain syst Int - Futuris utomotive - MtM Auto - Pedder Suspensions - PAC Group - Toll Holdings - Redbook
- ai Automotive - Diemould Tooling - Sage Automation - T-Mag
Australian Auto companies
Engaged / doing business in India
Australian automotive capabilities
• Key capability areas
• Steering technology
• Brake and chassis systems
• Magnesium alloy casting
• Gear boxes and drive trains
• Electrical switches and other
electronics
• LPG and CNG technologies
• Interiors and logistics
• Heating and air-conditioning
• Electric fans and pumps
• Design and tool-making metal pressing
and stamping
• High performance vehicles
• Automotive technology capability
• Batteries
• Brake-by-wire
• Advanced mirrors
• Lightweight wheels
• Advanced seating
• Lightweight vehicle development
• Driver drowsiness detection
• Advanced computing
• Design, development and prototyping of
hybrid-electric vehicles
• Light metals and hard coatings
Australian automotive footprints in India
• 'Ford Figo' engineered, designed and developed at Ford of Australia.
• Presence of 6 Australian Automotive Companies in India.
• Passenger safety airbags for Tata Indica and Indigo
• Engine Management Systems to Bajaj Auto for three wheelers.
• CNG kits to Tata Motors for buses used for CWG 2010.
• ABS / ECM’s for various models of Tata Motors & Mahindra
• Auto transmission system for Mahindra Scorpio
• Gear Transmission levers for Mahindra Scorpio.
• Aftermarket supplies of High Performance parts
Austrade Presence in India
Automotive Contact:
Adil Mohamed
Senior Business Development Manager – Automotive (India)
AUSTRALIAN TRADE COMMISSION – CHENNAI
Email: [email protected]
Phone: +91- 44 -42970004, Mobile: +91- 9840290802
Thank you !