About the automotive industry

The Australian automotive manufacturing industry comprises three passenger motor vehicle producers and approximately 130 component, tooling, design and engineering firms who are registered for the Automotive Transformation Scheme.

Closure of the motor vehicle producers

The three passenger motor vehicle producers, Ford, Holden and Toyota, have each announced they will cease manufacturing in Australia over the coming years.  Ford will cease manufacturing in October 2016 while Holden and Toyota will cease manufacturing at the end of 2017.  Each of the motor vehicle producers have cited the high cost of manufacturing, a highly competitive and fragmented domestic market and changing consumer preferences as reasons for why they will no longer manufacture vehicles in Australia.

Government initiatives and assistance

Automotive programmes include:

  • Automotive Transformation Scheme (ATS)
    The ATS is a legislated entitlement scheme which encourages competitive investment and innovation in the automotive industry.  The ATS will provide up to $2 billion in assistance to the industry between 1 January 2011 and 31 December 2017.

    More information is available at
  • Automotive Diversification Programme (ADP)
    A $20 million programme to assist Australian automotive supply chain companies to diversify out of the domestic automotive manufacturing sector and thereby retain manufacturing capability in Australia

    More information is available at
  • Automotive Industry Structural Adjustment Programme (AISAP)
    AISAP provides labour adjustment funding for training and assistance to displaced automotive workers.

    More information is available at

Productivity Commission's Report on Australia's Automotive Manufacturing Industry - Government's Response

In October 2013, the Australian Government asked the Productivity Commission to undertake an inquiry into public support for Australia's automotive manufacturing industry, including passenger motor vehicle and automotive component production.

On 26 August 2014, the Productivity Commission's final report was tabled and the Government's response  | was released.



Department of Industry and Science

GPO Box 9839




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