Opel car brand to quit Australia

[IJ.]

Like I said, every other country that manufactures cars protects the industry so that the local manufacturers tend to make it. Why do you think the US with 200+ million people has fewer manufacturers selling cars than Australia with a 10th of the population?

The Government don't care they get Tax either way...

[Evman]

The Government don't care they get Tax either way...

LOL of course they care. No government wants to be the one in power when a major manufacturer shuts their doors

[VYBerlinaV8]

Like I said, every other country that manufactures cars protects the industry so that the local manufacturers tend to make it. Why do you think the US with 200+ million people has fewer manufacturers selling cars than Australia with a 10th of the population?

Yes, the US protects its car manufacturers, but Australia decided in the late 80's (under Hawke/Keating) that our economic prosperity meant having more open markets. And to be fair, our economy is much stronger, partly because of this.

[blackvussii]

Us had much bigger problems than the fact they protected their car makers,
Over expenditure on miltary, likes of Enron and the whole sub-prime real estate shitfight was really bit them in the ass...
They protected local industry all the way down to wheat farmers and it worked for a long time..,
Meanwhile in our country citrus farmers plough crops back into the ground because they can't compete with tankers of oranges coming in from California and the Chinese and Arabs are buying our farms from under us to support themselves in the future.
It's unregulated, it stinks and we will pay the price later on

[VYBerlinaV8]

Us had much bigger problems than the fact they protected their car makers,
Over expenditure on miltary, likes of Enron and the whole sub-prime real estate shitfight was really bit them in the ass...
They protected local industry all the way down to wheat farmers and it worked for a long time..,
Meanwhile in our country citrus farmers plough crops back into the ground because they can't compete with tankers of oranges coming in from California and the Chinese and Arabs are buying our farms from under us to support themselves in the future.
It's unregulated, it stinks and we will pay the price later on

The price we will pay is that some industries die because they are uncompetitive on a world stage. We should be focussing on what we do well, not just keep doing the same thing because that is what we did in the past.

[Brett240]

The price we will pay is that some industries die because they are uncompetitive on a world stage. We should be focussing on what we do well, not just keep doing the same thing because that is what we did in the past.

The problem is there isn't a lot we do better than other countries. How many products can you think of where you can say "well its made in Australia so you know its the best of its kind"

We are sensational at importing products, our cargo import process is second to none.

[Party Pete]

The problem isn't necessarily that our industries are uncompetitive, it's that they often don't have a level playing field to compete in. Where a lone sheep in a paddock of wolves wondering why we are getting eaten.

[VYBerlinaV8]

The problem is there isn't a lot we do better than other countries. How many products can you think of where you can say "well its made in Australia so you know its the best of its kind"

We are sensational at importing products, our cargo import process is second to none.

There's a lot more to economic prosperity than manufacturing, although it is important. We have many world class professional services, our tourism is unique and then of course there is mining and energy, which have now ramped up to the point where the exports are bigger than ever.

Consider also that despite protecting manufacturing, the US is far poorer on a per capita basis, and their unemployment is far higher.

[Ausmartin1]

There's a lot more to economic prosperity than manufacturing, although it is important. We have many world class professional services, our tourism is unique and then of course there is mining and energy, which have now ramped up to the point where the exports are bigger than ever.

Consider also that despite protecting manufacturing, the US is far poorer on a per capita basis, and their unemployment is far higher.

I work in manufacturing and as I keep saying to people - by the time I retire

- bet my last job will be carrying luggage for Chinese tourists as that will be the only thing left in town.


It's not just loosing employment, it's loosing a skill set with many engineering w/shop related business that also service other Australian world competitive industries still going.
Once the companies turn into glorified distribution centres (or close up completely) odds are they are never coming back and the successful ones left find it more and more difficult.

After all China and others can deliver finished products for what it costs for materials here, as to other industries / services most can be done from any where in the world as it's not "really" a level playing field.

Look at the free trade agreement with USA - For Australia that is the biggest slap & punch in the face for a fellow "mate".
Australians could build the cheapest Aluminium fabricated boats - free trade - not allowed to USA, that industry should have been Australia's #1 success.
Free trade agreements, my backside.

We have to understand that all countries are working in only their interest, so loosing car manufacturing is bad but not as bad as loosing our clean / quality local food supply.

Say what's with our Building industry these days? many people I know have had shocking renovation / building experiences even after sourcing supposedly good builders.
The builders are blaming the delays on the trades skill set? But I wonder if its a combination.....

[VYBerlinaV8]

Say what's with our Building industry these days? many people I know have had shocking renovation / building experiences even after sourcing supposedly good builders.
The builders are blaming the delays on the trades skill set? But I wonder if its a combination.....

I've done a number of building projects in the last few years, and the main problem with builders I can see is that they are disorganised, and don't want to take responsibility for work done by their tradies, whom they selected.

[planetdavo]

The reason Opel came here is because Holden had no say in it.
Europe was (and in many ways still is) a financial basket case that wasn't buying anywhere near the amount of cars they normally would, so ALL the manufacturers were looking for ways to move their excess capacity, as opposed to shutting down a large percentage of their production.
This is EXACTLY what VW did to this country too, "dumping" large volumes of fairly cheap product here (and elsewhere) to keep the plants producing. Same with Mazda too, even reaching number 1 in this market. They were immensely helped by our strong dollar too, it must be said. A "perfect storm" of conditions to rock the Australian market...
VW had a huge advantage over their natural European competitor Opel though. People in this country actually know who VW is, and, rightly or wrongly, think of them as a "premium" brand. Only a small minority of "car people" know who Opel is. Trying to advertise off the back of the previous (Holden badged) Astra would only go so far.
Not far, as it worked out. Opel was stuck between a rock and a hard place. A slightly premium Euro at a higher price but virtual unknowns, so they were forced to fight amongst the sharks of the mainstream "driveaway" brands everyone already knew.
As for an earlier suggestion that Opel using the same platforms as their cheaper Holden bedfellows was part of their "problem", that doesn't rate. Many of Audi's products use VW group platforms. Most people out there wouldn't know they used the same, and frankly, probably don't really care. The badge is what they buy.

[Jamolad]

There goes Melbourne's major sponsor - can't work out which of them performed worse this year, Opel or the Dee's.

[XUV]

The reason Opel came here is because Holden had no say in it.
Europe was (and in many ways still is) a financial basket case that wasn't buying anywhere near the amount of cars they normally would, so ALL the manufacturers were looking for ways to move their excess capacity, as opposed to shutting down a large percentage of their production.
This is EXACTLY what VW did to this country too, "dumping" large volumes of fairly cheap product here (and elsewhere) to keep the plants producing. Same with Mazda too, even reaching number 1 in this market. They were immensely helped by our strong dollar too, it must be said. A "perfect storm" of conditions to rock the Australian market...
VW had a huge advantage over their natural European competitor Opel though. People in this country actually know who VW is, and, rightly or wrongly, think of them as a "premium" brand. Only a small minority of "car people" know who Opel is. Trying to advertise off the back of the previous (Holden badged) Astra would only go so far.
Not far, as it worked out. Opel was stuck between a rock and a hard place. A slightly premium Euro at a higher price but virtual unknowns, so they were forced to fight amongst the sharks of the mainstream "driveaway" brands everyone already knew.
As for an earlier suggestion that Opel using the same platforms as their cheaper Holden bedfellows was part of their "problem", that doesn't rate. Many of Audi's products use VW group platforms. Most people out there wouldn't know they used the same, and frankly, probably don't really care. The badge is what they buy.

yep, it's what happens when you've got a good economy and people with disposable cash.

It's why we're getting all these bands/musos ( ones who would bulk at a 14hr flight ) coming here to cash in .

I say play them at their own game and squeeze down their prices.

[BLK 1T]

Yep too many manufacturers cashing in on the high $Aus.

Opel leaving will be first of several to go. How many depends how far the $ falls.
Im thinking Alfa, Fiat, Dodge, Renualt, to begin with.

Phil

[andrewslr]

I haven't read the whole thread but I believe Australia's population is not large enough to support another brand, we are already overmarketed and Opel's demise was a matter of time I believe. I do believe that brands such as Fiat, Alfa Romeo, Dodge, Infinity to name a few may well follow in Opel's footsteps.

What defies logic to me is how VW has created the perception of a prestige Euro brand. Sure marketing has a lot to do with it, but what makes them more special than a Mazda of equal or arguably better build quality?