BUSINESS

General Motors axes Aussie car brand Holden

February 17, 2020
General Motors announced on Monday it would scrap struggling Australian car brand Holden, with engineering, design and sales operations to be wound down in the coming months. — AFP
General Motors announced on Monday it would scrap struggling Australian car brand Holden, with engineering, design and sales operations to be wound down in the coming months. — AFP

SYDNEY — General Motors announced on Monday it would scrap struggling Australian car brand Holden, with engineering, design and sales operations to be wound down in the coming months.

The more than 150-year-old company created Australia's first local mass-produced vehicle and was a dominant brand in the country for decades, becoming a cultural touchstone Down Under.

In 2017, it followed Ford and Toyota in moving production offshore, marking the end of car manufacturing in the country.

GM's senior vice president of international operations, Julian Blissett, said about 600 people would lose their jobs in the coming months as a result of ending the brand in Australia and New Zealand.

"This was an agonizing decision for us and one we didn't make lightly or easily," he said.

Blissett said GM had come to the realization that it was unable to make the "significant investment" required for Holden to be competitive and profitable in the long term.

"With the global consolidation of the automotive industry, it's becoming increasingly challenging for us to support a brand and a business that operates in just two markets," he said.

GM said it would honor all after-sales commitments such as warranties and offer servicing and spare parts to Holden owners for at least 10 years.

With 1.6 million Holden cars still on the roads, about 200 people are expected to be kept on staff to carry out that work. — AFP


February 17, 2020
60 views
HIGHLIGHTS
BUSINESS
9 hours ago

Jeeny Launches the Month of Goodwill’s CSS Initiative

BUSINESS
20 hours ago

Infinix Note 40 Pro 5G - The gaming powerhouse at a JAW dropping price of SR999

BUSINESS
day ago

Xiaomi: Chinese smartphone giant taking on Tesla