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Civil engineering - Chris rokos blog
Melbourne is among the few cities that can state they design, engineer and manufacture an automobile, sometimes this is certainly forgotten globally. However the automotive design industry in Australia looks set to grind to your slow halt. In December 2013 Holden's parent company, General Motors, announced they might be stopping the neighborhood production of automobiles in 2017. They blamed high costs in production, bad exchange rates, and also the local market size for that decision.
Three more transportation design companies have announced or already enforced closure in their Australian branches. Mitsubishi closed its site in Adelaide way back in 2008. Ford announced it is going to close its Geelong factory in 2016. Toyota too has announced it is going to stop building cars around australia in the end of 2017.
Soumitri Varadarajan, deputy dean of Industrial and Interior Decorating at RMIT University in Melbourne said, "Car manufacturing is an extremely complex and extremely difficult industry to sustain and sustain, and what unfortunately has happened around australia in the last countless decades is we've embraced an open borders policy [to vehicle imports], in Thailand and in Malaysia you will find huge taxes on vehicles which are four litres [...] which means you can't essentially sell Australian cars in Malaysia anymore, and when you can only sell locally then 25 million is not really a significant population to sustain an incredibly complex industry”.
The position losses sustained is going to be huge. At least fifty thousand jobs are likely to vanish due to Holden close alone - 2000 nine hundred directly, but considerably more from companies supplying parts for them. That’s because few of these businesses produce anything besides car parts. The roll on effect could be disastrous for Australia's design and manufacturing industries. The transportation design sector has previously been a springboard for creativity and invention, using new materials and technology that have helped create improvements over the manufacturing industry.
Losing the automotive industry therefore goes past the immediate repercussions of jobs, to the loss of Australia's design 'brain'. If Australia is usually to continue growing their design sector, greater thought has to be put in what differentiates the products or services being designed there, and where their future lies regarding local market and worldwide trade.
