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$10 million to improve auto competitiveness

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25 May 2011

Australia's automotive industry will find it easier to break into global supply chains thanks to grants totalling almost $10 million as part of the Gillard Labor Government's commitment to this valuable sector.

Assistance to Ford, Holden, Toyota and the Co-operative Research Centre for Advanced Automotive Technology under the Automotive Supply Chain Development Program will provide valuable support to assist Australia's auto sector compete more effectively in global and domestic markets.

Announcing the grants at the 2011 Federal Chamber of Automotive Industries annual dinner, Innovation Minister Senator Kim Carr said the funding will improve supply chain efficiency and secure high-wage, high-skill jobs for Australian manufacturing workers.

"Australia is proud of its world-class component producers, vehicle producers and suppliers. These grants will enhance key capabilities, improve efficiencies and help Australia's auto industry reap the immense rewards that come from a stronger presence in global supply chains," Senator Carr said.

"The Automotive CRC will receive $4.09 million to continue its work under the Automotive Supplier Excellence Australia program, mentoring and supporting firms across the breadth of the automotive supply chain.

"We are providing $1.16 million to Ford, $2.03 million to Holden and $2.37 million to Toyota to foster even closer collaboration with their own key suppliers.

"And $78,000 has been awarded to EGR Automotive; $125,000 to Futuris; and $100,000 to Toyota Boshoku Australia to help them build closer relationships with their respective Tier 2 and Tier 3 suppliers."

This assistance builds on funding already allocated over the past two years - some $9.2 million dedicated to improving supply chain development initiatives being undertaken in the industry.

The Automotive Supply Chain Development Program is one of a suite of programs under the Government's vision for the Australian automotive industry, A New Car Plan for a Greener Future. It is a competitive grants-based program that provides $20 million over four years.

For more information on support for the Australian auto industry visit