Jobs saved as Ford decides to keep Geelong engine plant open
AAPNovember 20, 2008 12:42pm+-PrintEmailShare
CAR giant Ford will keep its Geelong engine plant open beyond 2010, despite the global economic turmoil.
The announcement reverses the company's decision last year to close the engine plant by 2010 - cutting 600 jobs.
Ford Australia today said it would invest $21 million in the plant developing an engine that would meet Australia's first European emissions standards.
Today's announcement added to the $200 million Ford had previously invested in facilities and product development at Geelong since 2006, the company said.
"This decision is good news, not only for our employees in Geelong, our suppliers and the surrounding community, but also for the many fans of our I6 engine, which will now be re-engineered to achieve Euro IV emissions standards,'' Ford Australia president and chief executive Marin Burela said.
"This is the first step in a broad product investment strategy to reduce emissions and deliver improved fuel economy across our locally built vehicle line-up, including Falcon, Falcon Ute and Territory.''
Ford said the retention of the engine plant was expected to provide an on-flow of business to local service providers, in addition to the direct employment boost for the Geelong region.
It also said the Federal Government's new Green Car Innovation Fund provided a framework for the company to investigate additional environmentally-oriented product investment initiatives to increase future competitiveness.
