Australian auto glass supplier back in business

[vztrt]

http://www.goauto.com.au/mellor/mell...2576BA00186024

MH Group reopens Geelong glass plant in $20 million deal with governments, Toyota

29 January 2010

By TERRY MARTIN

VICTORIAN components manufacturer MH Group (MHG) reopened the former Pilkington automotive glass operations in Geelong this week and has begun supplying vehicles built at Toyota Australia’s Altona plant, including the new Camry Hybrid.

Federal industry minister Kim Carr and Victorian premier John Brumby were among the dignitaries who attended the reopening, having both contributed to the $20 million rescue package to keep the plant alive after former owner CSR Veridian announced last June that it was closing down the operations.

Toyota Australia president Max Yasuda also attended the event.

MHG, which is better known for producing plastic car components, bought the Geelong plant – the last remaining automotive glass operation in Australia – and saved 68 jobs after securing backing from Toyota and the two tiers of government.

The Rudd government contributed $4.5 million under its Automotive Industry Structural Adjustment Program, which is part of its New Car Plan for a Greener Future.

Investment from other parties has not been divulged, although the state government funds came out of the $6.7 million Victorian Automotive Manufacturing Plan.

As well as retaining the site and jobs, the total investment included new technology and equipment and a “productivity upgrade”.

“The announcement comes at a time when automotive manufacturers worldwide are seeking to trim their balance sheets in the aftermath of the worst global recession in a generation,” Senator Carr said.

“MHG’s acquisition of the Geelong plant is an important example of the supply chain consolidation we need, and a great gesture of faith in Australia’s automotive future.”

Senator Carr said all Australian car manufacturers and their suppliers needed to recognise their interdependence and to “think about how we can make sure the system as a whole stays viable”.

“That is one objective of the technology roadmap being prepared under the auspices of the Automotive Industry Innovation Council and due for release at the Shanghai Expo later this year,” he said.

“It will identify areas in which Australia has special advantages – areas in which we can achieve global leadership. It is essential that we play to our strengths. (And) one of those strengths is automotive glass. That’s why we are backing MHG.”

Senator Carr said the federal government was determined to ensure Australia had a supply base that can support the production of hi-tech vehicles – “a supply base that that will convince global producers this is where they should be designing and building the cars of the future”.

He said this would be the “key to securing new projects” and ensuring Australian car and component manufacturing continued to survive.

“2009 was a black year for the Australian car industry,” he said. “Vehicle production figures fell to their lowest levels in half a century. The industry has been sorely tested, but it has survived.

“Even better than that, in these hardest of times, we are celebrating new investments. The supply chain remains intact. Smart companies have hung on to their workers and are ready to mobilise as kinder conditions return.

“And the signs are encouraging,” he said, pointing to the Australian-built Camry Hybrid, strong December new-vehicle sales and resurgent overseas markets.

Premier Brumby added: “This is a tremendous boon for local manufacturers such as Toyota and will ensure that Victoria remains the home of Australia’s automotive industry.

“Without this plant, Australian and Australian-based automotive companies would have no choice but to import glass for their vehicles.”

[Luke Plaizier]

Come on Ford, at least give it some consideration....


Lukeyson

[Brazen]

I always was disappointed that Ford dumped Pilkington when the AU was released to go with Chinese made glass instead.

I understand that complex components like transmissions and the like have to be sourced from other countries in situations where there is no local alternatives. But come on, glass is a product we can easily make here, its good to see that Toyota uses them, especially as Im sure that the Thai and Chinese made Camrys would be using cheap foreign glass which could easily be used with the Australian made Camry.

[EDManual]

I saw that it had opened back up driving past a few days ago. Would be great if Ford would use them too!

[Bobman]

Agree with above. Pilkington was great glass. All you have to do is tap on an EL window compared to a BA one and you will easily notice the quality difference.

Support local companies!

[Raptor]

Buy local!

C'mon FOA, it just next door FFS!

That has to make sense.

[Swordsman88]

Well, i have an EF so i still have aussie made glass. One of the few benefits of driving an old crate LOL. I dont' know if there is any engineering evidence to this effect but the glass in my EF (esp rear windscreen) always seem to make a diff sound to when you tap on a AU onwards etc...

I'd say the new mob in charge will look to get the ford contract next time around....they might be more cost effective overall with more orders so the price may have come down to a point where Ford will consider them... we will see...

[jpd80]

Another cost cutting measure you can blame on Tom Gorman....

[EDManual]

I wonder if ford would give them the price they pay the chinese and see if they would match it, or tender it out next time its due? I guess if they tender it theres no chance...

[vztrt]

Originally Posted by EDManual

I wonder if ford would give them the price they pay the chinese and see if they would match it, or tender it out next time its due? I guess if they tender it theres no chance...

Just remember that there are cost associated with storing and shipping of the glass. When it comes time for tendering Ford will consider it. I just hope the benefit of being close and JIT will out way the premium required to pay for the Chinese stuff.....mind you is the consumer willing to pay the extra price.

[Kowalski]

Did my apprenticeship at the Geelong Pilks plant.
Good to see it resurrected.

[Bossxr8]

Originally Posted by jpd80

Another cost cutting measure you can blame on Tom Gorman....

As much as I hate Tom Gorman the decision to source glass from China was made long before he came to Australia, it started with AU. Gorman didn't come here until after BA.

[Fairlane]

Good news and now come on Ford using the Aussie glass again. The Chinese glass really isnt much chop. In my BA at certain angles you can see the imperfections in the glass, especially the rear quarter glass.

[US kills Falcon]

Originally Posted by Brazen

I always was disappointed that Ford dumped Pilkington when the AU was released to go with Chinese made glass instead.

It wasn't Ford Australia's decision to dump Pilkington for the AU. Ford US set up a joint venture in China (FSH) who make glass for Ford. Hence the FSH logo on all glass fitted to Falcons from the AU model.

[nstg8a]

plus now that csr is running the old pilkington into the ground the quality wouldnt be any different to the chinese stuff.