I am very pleased to announce today that the Australian Government will provide $52.5 million to Ford Australia as part of a financial assistance package to help the vehicle manufacturer undertake two exciting new projects.
These projects will secure Ford's manufacturing operations in Australia over the longer term.
Ford will also receive assistance from the Victorian Government.
The Australian Government's financial assistance will involve:
$40 million being provided for the design, engineering and manufacture of the next generation Ford Falcon and Territory vehicles at Geelong and Broadmeadows in Victoria; and
$12.5 million for the design and engineering in Victoria of a light commercial vehicle architecture that will have a variety of body styles and configurations, with the truck to be manufactured overseas and marketed in more than 80 countries under the Ford Motor Company brands.
The light commercial vehicle project will involve the construction of a new RD facility by Ford Australia in Victoria. This will not only serve to position Ford Australia for the global market, but will significantly strengthen Australia as Ford's major design and engineering centre within the region.
These projects will result in the creation of 273 new jobs at Ford - and will help secure the future of more than 6000 Australian families as well as the iconic Ford Falcon.
The Australian Government's assistance is conditional on Ford undertaking to provide the Australian automotive component sector with every fair and reasonable opportunity to supply the necessary components for these projects.
I very much encourage the Australian automotive component sector to work closely with Ford Australia in order to take full advantage of these exciting opportunities.
Ford's decision to undertake these new projects in Australia is indicative of the company's confidence in the local automotive industry as well as the Australian Government's industry, economic and workplace relations policies.