On May 4, Holden slashed the Commodore's production of its in half at its in Elizabeth plant in South Australia in response to slow sales and a shift in Australian buyers taste to smaller vehicles. Matthew -Wilson told AAP that this move 'signaled the beginning of end for Holden'.
"Globally, there's a glut of new cars at bargain prices, yet Australia, which produces a small number of high cost cars, is trying to compete with countries like China, which produces ten million cars a year and pays its car workers as little as one dollar per hour. The Australian government can throw $6 billion or $600 billion at these car plants, but they still won't be economically feasible," he said.
In concern of Holden, we'd also add that, even if the future of the Australian auto industry as a whole wasn't so pessimistic as portrayed by Matthew-Wilson, with the reorganizing - bankruptcy -call it whatever you want of GM that is already trying to get rid of many brands like Hummer and Saab, Holden's outlook would still be seen challenging.
source: http://carscoop.blogspot.com
