As the global recession rolls around the Earth, automakers everywhere are starting to hit their breaking points. There have already been talks of Ford and Chevy pulling out of Europe and recently, Ford announced that it was cutting 15 percent of job in Australia due to poor sales.
On the heels of that announcement comes a report from International Business Times that claims Ford is simply ramping up to end its Australia-based manufacturing altogether. The consensus is that Ford of Australia will cease production in the Outback by 2016.
Now, the Ford pull-out from Australia, much like the potential pull-out from Europe, does not mean there won’t be any Fords sold there. This simply means that the Australia-built fords, like the Territory and the fairly bad-ass Falcon sedan, will no longer exist. In their place will likely be imported Fusions and Explorers , maybe bearing different names.
Slow sales are not the only cause to Australia’s No. 3 automaker pulling out, the enactment of tough-to-meet Euro 5 emission standards are likely the straw that broke Ford’s back. Both the Falcon and Territory cannot meet these stringent regulations without expensive revisions to the driveline.
Ford has yet to make any announcement regarding its Outback exit, but it looks to be a certainty. We’ll update you if Ford finally announces this exit.