Walkinshaw plans expansion

The Walkinshaw group is keen to obtain the distribution rights of other brands in Australia apart from Tata Motors.

Walkinshaw division Fusion Automotive will formally re-launch the Indian brand at the National 4x4 & Outdoors Show this Friday, where it is expected to confirm the Xenon light commercial utility will go on sale from October.

But Fusion Managing Director and Walkinshaw veteran Darren Bowler told motoring.com.au that potentially was only the start.

“The group is very open to any other opportunities,” he said.

Bowler said Fusion would be Tata-exclusive, but is negotiating to expand its distribution rights beyond Australia into New Zealand and potentially other markets in the region.

“There’s a vision that is bigger than Australia, but our focus is on Australia at the moment,” he said.

“There are opportunities in New Zealand. There are discussions that have taken place about that but we have said let’s do Australia and do that well before we move into any other market.

“There is a vision for us to do that and there is a vision from Tata Motors for us to do that, but for the moment let’s walk before we run.”

While Bowler wouldn’t say it directly, it is clear that Walkinshaw group’s move to create Fusion and link with Tata is at least in part an effort to reduce reliance on the Holden Special Vehicles hot-rod Commodore business.

Large vehicle sales are diminishing and the traditional rear-wheel drive V8 appears to have only a few years of life left in it, whether Holden continues as a manufacturer or not.

As well as HSV and HSV Individual, the Walkinshaw group of businesses in Australia includes motorsport, tuning and golf equipment distribution divisions, as well as the Walkinshaw Automotive Group engineering and design business.

It turns over $160 million annually and employs 250 people in Australasia.

“When we looked at the Australian market and the opportunities that were there we thought there was an opportunity to do more than just what we do,” Bowler explained. “There was an opportunity to expand our business as a group and look at the future and what other opportunities exist.

“The opportunity was ‘what is not is not here in Australia that we could bring in and start selling?’ And India is the future in many ways. A lot of people have turned to India as the next big thing beyond China.”

The Walkinshaw group was established by the late Tom Walkinshaw in Australia in 1987 when he was called in to take over Holden’s performance Commodore business from Peter Brock.

Since Tom’s death in December 2010, his eldest son Ryan has taken on the role of chairman with mother Martine also providing strong input.

Ryan has developed significant business interests in India separate to the Tata involvement and WAG has clients in India and China.

“Fusion was an idea that a couple of people had within the group and I was challenged with the task of going out and seeing around the world what opportunities there were,” explained Bowler. “That came from Martine, it came from Ryan, it came from a few of us within HSV.

“We went on a few trade missions with the Australian government and the Victorian government, we looked at some opportunities in China and in India. There were a lot of things that opened our eyes up to the opportunities for design and engineering assistance, but also in reverse, things we could take that weren’t in Australia.

“And for us Tata was that opportunity.”

Tata Motors is the fourth largest truck and bus manufacturer globally and is part of the massive Tata Group, which employs 450,000 people globally and generated more than $100 billion revenue in 2011-12.

Previously, Tata utes were distributed in Australia by Queensland-based Upton’s Motors.

Bowler revealed the Fusion name emerged from a discussion he had with Ryan Walkinshaw.

“Fusion is about the atoms that are out there and fusing something together to create one. For us Fusion Automotive was an opportunity to create one strong distribution or import business that could be something very strong.”

Read the latest news and reviews on your mobile, iPhone or PDA at carsales' mobile site...

Don't forget to register to comment on this article.