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I certainly understand to some extent the struggle of manufacturing locally vs manufacturing or sourcing components from low cost overseas centres.
Our business will be affected by Holden ceasing manufacture of the Commodore here.
I'm not sure when we will feel the effect. But it could be as early as a few months time or we might not feel the affect for a year or so.
At the moment we quantity source quite a few GM components from Holden. We don't use any Australian specific parts, but global GM parts sourced locally and used in Commodore product line. Holden provides us with competitive pricing and much shorter lead times compared to overseas. And I am sure they are making a good buck in the process and also employing people to supply these parts to us.
When we are forced to source these parts from the USA it looks like our purchase pricing at that time will increase substantially.
I am also concerned about other Australian based component manufacturers we use. With the changes we are seeing to local production from Ford and Holden, will local Toyota manufacturing plant be enough to keep them viable. As I am sure low volume customers like myself won't be enough . Even if just the pricing increases as a result of Holden/Ford ceasing production, I and many others will need to purchase the parts directly from the USA, UK etc to stay competitive.
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