|Photo taken on Dec. 11, 2013 shows a car sales store of General Motors Holden in Sydney, Australia. Australia's carmaker Holden with a history of 157 years announced on Wednesday it will cease operation in 2017, resulting in job loss for 3,000 employees. (Xinhua/Jin Linpeng)
SYDNEY, Dec. 11 (Xinhua) -- An Australian business expert warned on Wednesday that Australia's automotive manufacturing sector could disappear within a few years.
There was a real chance of the entire automotive manufacturing sector vanishing in the country, said Stephen Clibborn, a lecture with the Business School of the University of Sydney, following famous carmaker Holden's announcement it will stop making cars in Australia by the end of 2017, which has left the future of the nation's auto industry in doubt.
The announcement came just a few months after Ford Australia confirmed its decision to end local vehicle production by October 2016.
"In the short to medium term, there's a very real chance that Toyota will follow suit," Clibborn said, quoted by the Australian Associated Press.
"There's a very real chance of the entire automotive manufacturing sector disappearing from Australia within the next few years."
Clibborn said throwing money at the sector wouldn't save the industry due to complicated factors.
"It's a much more complicated picture. There are so many pressures at play," he said.
"The Australian dollar appreciating greatly; fuel prices rising significantly; the reliance of Ford and Holden on large vehicles for much of the last few decades; tariff protection has dropped from a high of 57.5 percent in the 80s to five percent now."
Australia's famous carmaker Holden to shut down in 2017
MELBOURNE, Dec. 11 (Xinhua) -- Australia's carmaker Holden with a history of 157 years announced on Wednesday it will cease operation in 2017, resulting in job loss for 3,000 employees.
Acting Prime Minister Warren Truss and Victoria State Premier Denis Napthine have both said "it's a sad and difficult day for Australia." Full story