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Feann Torr29 Nov 2016
NEWS

Holden shuts Melbourne engine plant

End of an era: Final Australian-made V6 produced by engine plant in Port Melbourne

After 80 years of manufacturing in Port Melbourne, the last V6 engine rolled off the production line at Holden's Fisherman's Bend engine factory today.

Manufacturing at the large Port Melbourne facility started in 1936, with full-scale engine building starting in 1948, after which four-, six- and eight-cylinder GM engines were all made in Australia.

Holden has built more than 10 million engines at its Port Melbourne facility, which have been exported to every continent on the planet except Antarctica.

A total of 1,137,282 engines have emerged from the Fisherman's Bend HFV6 plant since the $300m facility opened in 2003, with the one-million milestone reached in early 2014.

Almost half of the Australian-built V6s were exported, with just under 700,000 powering Australian-made vehicles.

The last HFV6 engine built today will be retained by the company for Holden’s heritage collection, and the large manufacturing site will be transformed into a residential zone in the coming years.

GM Holden has laid off 175 workers from its Holden Engine Operations (HEO) plant as a result of the closure, which follows another 80 job losses linked to the cessation of the local Holden Cruze manufacturing at the company's Elizabeth plant in South Australia.

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The final factory closure for Holden will take place in late 2017 when the locally-built Commodore sings its swansong from the Elizabeth factory near Adelaide.

It follows the closure of the Ford Australia's manufacturing facilities on October 7, 2016 and, like Ford, Holden says it won't be leaving its workers out in the cold, workers who "have made an enormous contribution to our company and the entire Australian motoring industry," said Richard Phillips, Holden's executive director of manufacturing.

"The team was recognised just this year with the top prize as the Most Valuable Plant for Productivity across General Motors International, which reflects the pride and dedication of this team," he added.

The 175 workers left without jobs will have access to up to $3000 in approved training and various other transition services, says Holden.

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Although Holden's engine plant has been shut down, the company will continue to build the Commodore for another 12 months and insists that: "Appropriate numbers of V6 engines will be stockpiled to meet local Commodore production in Adelaide throughout 2017".

The General Motors-owned company released a press statement today assuring customers that 10 years' worth of "critical spare parts" have been amassed to ensure warranty and servicing needs for the final homegrown Commodore.

In 2018 Holden will import a new Commodore from Europe, the rebadged and restyled version of the new German-made Opel Insignia.

When Toyota joins Holden in shutting down local manufacturing in late 2017, the Australian car manufacturing industry and all the suppliers and some of the adjacent industries it supports will be no more.

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Holden will retain a footprint in Australia with a significant design and engineering team and a large administration workforce and dealer network, as Holden chairman and managing director, Mark Bernhard, explained.

"While it was an emotional time to see the last engine built today, we are proud to retain a significant presence in Australia for the long-term. This includes more than 300 people in our local design and engineering workforces across our world-class design studios in Port Melbourne and the outstanding Holden Proving Ground in Lang Lang.

"This is in addition to the approximately 700 corporate staff and 10,000 people employed across our dealer network."

Bernhard has the unenviable job of presiding over the termination of Holden's local manufacturing operations and it's his job to convince the car-buying public that the company will move forward, not backward.

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"We are making significant investments to ensure Holden's long-term future success," he said.

"The best way we can honour our people and their legacy is by building a bright future and that's exactly what we're doing.

"Holden is an iconic Australian brand and, with the strength of General Motors behind us, we're committed to our customers and this country for the long haul."

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