Holden Cruze local production by 2011, says Devereux

By George Skentzos | June 07th, 2010

Holden’s managing director, Mike Devereux, has today announced that he expects to resume the second production shift at the brand’s Adelaide plant in the coming months, including production of an Australian-built Holden Cruze.

Having recently taken the reigns from Alan Batey, who has been appointed Vice-President of Sales and Service for Chevrolet in the US, Mr Devereux has indicated that production of a four-cylinder model would be critical for the viability of the Elizabeth plant over the next decade.

Although reinstating the second shift is still some way off, as Holden is only planning to begin discussion on the idea next month.

“Given that the Cruze is the number five-selling car already in Australia – we sold over 2,500 units just last month – we’re going to be building tens and tens of thousands of these cars so yeah we’ll need a second shift,” said Mike Devereux.

A specific date for the start of production of the locally-built Holden Cruze will be announced in the “not-too-distant future” according to Mr Devereux, although it is unlikely to begin until early next year.

The second shift at Holden’s Elizabeth plant was cancelled last year as a result of the looming global financial crisis which saw sales drop to records lows, forcing Holden’s parent company, General Motors, to file for bankruptcy.

Source: ABC News

Andrew M

Ive got to wonder if the cruze will see a price jump once Aussie production starts.

I know its mosty an assembling process here, but there will still be aussie labour involved, and that will certainly be much higher than the rates Daewoo pyas its assembly line workers.

Im not saying it will be good or bad, just saying watch for the jump

filippo

Exactly! Korean manufacturers have made inroads into world automotive markets by being price-competitive. Unless Holden are willing to make a loss, a locally-built Cruze is likely to cost Astra-money, and I’m not sure even the die-hard Holden fans would be willing to pay high-20s for a car that is more “good for the money” rather than “good full stop”.

Micky

heya
Micky

Sorry, was just testing. Look, all small car manufacturers stopped making cars in Australia back in the 1990s – the Corolla, Pulsar, etc. There just isn’t enough profit in $19,990 cars. However, things have changed a little since then. Back then, most people bought base model while now, many more people are willing to fork out extra on the top of the line (and more profitable) models. Also back then size of Aus new car market was 650k , now it’s 940k+. But there’s more competition now…

http://carAdvice The Salesman

I would prefer my Cruise to be made in Korea. Have you ever seen the quality of staff at the Elizabeth plant?

Smithy

Look we know you harbour some sort of grudge here, but that sort of generalised stereotyping is just plain disgusting.

Score -10 for Kia salesmen everywhere today you scum.

(No I don’t work there, but I do know plenty who do, and they are all far better quality people than anyone who would make a statement like the Kia salesman did).

The Oracle

I can only but agree with you. What an ignorant statement he made. Calls himself a salesman, with those people skills! The only thing he has probably sold is his sister, when the navy’s in town.

http://carAdvice The Salesman

Sorry. No grudge. A statement of fact! I went to high school with most of the drop out boffins who now screw Holden’s together. Most of them were sourced directly from the detention room.
The Korean manufacturer workers had to do a 5 year university degree on turning screws and compete against 20 other highly qualified applicants to secure the job.
Please don’t tell me you would prefer some knuckle dragging, pie judge who’s highest achievement was building a miniature monster truck he bought his son for his 5th birthday building your next car!

The Oracle,

I don’t have a sister. Like everyone else in the Navy my brother fooled I am sorry but you are not entitled to a refund. I don’t care how drunk you were…..
Smithy

That’s a bit rich, a high school dropout who became a car salesman being critical of a high school dropout who got a job in a factory.

I know where I would place more trust and honesty!
Andrew M

T/S,
I dont think you are able to appreciate the different levels of society.
If everyone was a rocket scientist, who would change your bed pan when you get old and cant help yourself.

If you avoid holden car because you claim their workers werent the best at school, I have to ask if you eat australian meat??
I can tell you there are a lot more so called “drop outs” at the meat works around australia

Able

Finally it’s not Korean-made! Let’s hope the 1.4T and a similar-to-new-Astra hatchback version will join the lineup! I also want the Cruze hatch to be sold by no other GM brand anywhere, it should be a unique proposition to Australia, as the Commodore once was. Holden already sell masses of Cruzes, I am looking forward to the results of the hatch and Aus-made version arriving – hey it’s better than Corollas!

Able

How could I get ELEVEN thumbs down!?

http://www.facebook.com/profile.php?id=1285962287 Declan Collins

everyone likes korea made vehicles lol.

Able

Far out, how annoying! Asif the Aus-made one won’t be better!?

TomJ

Why would General Motors only sell the Cruze here? Its plain stupidity. Considering we didn’t design the car its no more ours than it is north americas.
nickdl

Why do Toyota build the Camry here?

ABMPSV

Maybe the prcie will go up but quality could be better and no shipping charge from Korea.

Andrew M

Fair comments, but I wonder what Margin there will be on a small car for low 20K with all the bells and whistles.

Thats about half what a Commodore retails for.
Either we are getting totally ripped on our large cars $ wise, or they will be skinning their knuckles on the cruze

rentakeyboard

Why would Holden bother to build a car they could barely
make a profit on?

Jack

To retain market share and presence. Holden have acknowledged this with the Opel sourced Barina’s which were sold at a loss. Eventually, it proved unsustainable hence the switch to the Daewoo based TK Barina. Similar story with the Astra.

Bent 8 Brigade

Quality could be better?

Please enlighten us on Cruze’s ‘quality issues’
NasalExplorer

If it’s only being assembled here, then parts still have to be shipped here, so some shipping costs still need to be factored in.

Jabba the Hut

I took the diesel auto for a test drive and the quality is very good. Power is very good. Ride is very good. Value for money is very good.

After owning a holden vu series 2 ute from new I vowed never to own another holden. This car changed my mind and I intend to purchase one in the coming weeks. This is not a daewoo. It is a GM designed and built vehicle. It is simply assembled in daewoo factory that is majority owned by GM.

This car won’t be getting built in Australia. Not initially anyway. The hatch version will be . Those of you that keep labelling this car as a daewoo are showing that you have little knowledge of the product.

They have listened regarding the performance issues with the petrol and will be bringing it out in a 1.4 turbo version alongside the existing motor. The current petrol engine was sourced with economy in mind not performance. Hence the diesel fitment.

The anti-holden brigade should go and do some proper research before shooting their ill-informed mouths off. This is a very good vehicle for the money. Take one for a test drive and I am sure you will be as surprised as I was. Prior to the test I was certain I would be driving an i30 diesel. There is no denying Hyundai’s value for money but this car takes it so much further.

Mad max

Glad you like the car. I’m also looking to replace my wifes 4 year old Golf and we are considering a diesel. My only dislike is the fabric inlays on the dash, but that aside, its a great car and from our test drives plus 2 friends that have them, they seem to be well screwed together.

filippo

That’s a unique woman you married Mad Max, I’m serious! Most women I know care a lot about brands (even if they don’t admit it), so to suggest to one that they go from a Golf to a Cruze would induce the same kind of cold stare as if you’d suggested they start buying their underwear at Kmart.

PS: Ask your friends about their Cruzes’ fuel economy before you sign on the dotted line. Many owners are unable to get anywhere close to the official figures.

Jabba the Hut

Much better to soil K-mart undies than Kelvin Klein

Michael

Or little care for the product

SSV

No way will the price stay the same because it will cost more to make here than in Korea. Its really only an average car hence the cheap price ….but being built here it wont be very good value because it will be too expensive for what it is……..a cheap Korean car built to a price, not quality. Oh, and it will inherit Holdens renowned poor built quality as well……..Bonus !!!!

Mad max

SSV, where do you get your information “no way price will stay the same…” from? So you think Holden are going to spend the money on localising production and then price themselves out of the market? Are you serious? Please also explain the poor quality comments because all of the Cruzes I’ve driven show the quality levels to be evey bit as good as most other cars in this class. As the article says, the Cruze is selling in large numbers and so by any measure its a success and looks like it will continue to be so.
Frenchie

Poor build quality? What model holden are you quoting from? More importantly what year?

AAA

Hope that the quality is better than the Korean 1.

Mad max

Another one! AAA please tell us about the poor quality. Have you ever driven one? I have drive at least 5 different cars and cannot fault the quality. Please explain what your talking about and give some examples because I’m curious.

AAA

I’ve sat in the current MIK Cruze and the quality was quite good. I hope that the quality won’t go south when production moves to Aust.

Shak

you know it will. My korean one is top class. better than the pastics in the golf, but i like the Golf desing better
Andrew M

Only around 30% production is coming down under to start with

nickdl

The Cruze is a very appealing small car. I’d say it would be getting close to one of the best if Holden introduce the 1.4T and keep the low pricetag.

However I can only see one of those happening.
handshandy

Id say the quality will go down once its built here, and it want that good to start with
Shak

I dont care when it gets Aussie Citizenship, i just want it to get the 1.4T, so that i can trade in my CDX Diesel. I disagree with the first few comments on pricing. of course the price will go up, but not to Astra levels. the Astra had high labour rates and high transport costs against it. The Cruze will only have the former playing against it. As many have said its a admned good car and the proposed wagon and hatch variants will only serve to increase sales to above the 3000 mark.

svd

Shak – What don’t you like about the Cruze Diesel or what has happened to it that you want to trade it in? I drive a Hyundai i30 diesel and love the torque. It reminds me of my other car an old VS Commodore as regards power up hills without the high fuel consumption.

Shak

Im just saying. Nothing is wrong with my car, i just like updating cars alot, and i reaally liked the 1.4 in the US. And wouldnt you like more choice in the Cruze line up, such s a hatch with the 1.4T and 6spd Auto. All im trying to say is Holden will soon have a diverse small car range and then sales will soar.

http://www.facebook.com/profile.php?id=1435885244 Yani Hendriawan

redesign the rear lights and front bumper and it will look insane
Gms

Who’s going to want one of these when the new focus arrives? Crazy people that’s who!

OzProud

No Gms, for starters & to steal a Clarkson quote: “Anyone blessed with the gift of sight!”

Jeremy

I’ve had my Cruze for 27’000kms now (CD diesel, automatic).
Not a single fault so far, no rattles (apart from the engine that is…..), and it’s a fantastic everyday commute car with more than enough torque for most situations.
My only complaints are that the 6 speed auto isn’t terribly responsive (it’d be great to have a ‘sport’ mode on the gearbox, or at least get the tip-shift the right way ’round), and the turbo lag does occasionally frustrate, but the 320nm is rather satisfying in rolling acceleration if you’re willing to work around the lag.
Handling is nothing fabulous nor as dismal as many other cars in that price bracket. I regularly get 7.8-8.1 l/100kms, and given my company fuel card, I pretty much cane it everywhere. To all it’s detractors, I say drive one before you judge.
No, it’s not an enthusiast’s car (I have a Peugeot 205 GTi and a Jag XJR for that), but as bread and butter everyday transport, I find it hard to fault.
Michael Read

Jeremy……. i ahve had my cruze for 13000k and i have had nothing but trouble with it. It broke down the second day I had it……battery flat overnight. The fit and finish of the interior had given me grief from the day I took delivery. Poorly fitted door trims that rattle fan switch stopped working and the front right suspension had a bad knock in it, all of which have not yet been fixed by my useless Holden Dealer. The fue economy is nothing to brag about either. The car itself is ok to drive but it doesnt exude quality in any area against its opposition. Focus Golf Lancer etc…..are all much better cars.

Jeremy

Wow, that really sucks…. it sounds like the Aussie-built wagon that my Cruze replaced. I’d be majorly peeved in your shoes. I guess it goes to show that Friday cars still exist in an industry increasingly reliant on robots and electronics. You are right about the Holden stealerships – once you drive out, you’re on your own, which is fine as long as the car works.

Paul Doubya

Very ordinary car, even in CDX trim, the petrol engine is a joke and the leather seats are just awful, seems to be reasonably well screwed together, but forget sitting in the back unless you are a small kiddie, the i30 has much more room and in petrol its a better car to drive, hanlding is nothing spectacular, this car is just basic transport.

Aussie manufactured 4 cylinder holden, sounds like history repeating itself, I wonder if we can build it as well as the Camira, I mean as badly as the Camira, anyone remember them, they were fabulous on paper, even won car of the year, age was their limiting factor, there engines smoked more than mangnas of the time, I wouldn’t trust GM with my hard earned.

Jabba the Hut

You got caught out as a bull**** artist when you claimed the i30 has more rear leg room. We just tested both and they are line ball. The i30 wagon has more legroom but not the sedan.

The leather seats in the Cruze are very comfortanle and the leather quality is very high. Making judgement against the Camira (20 plus years old now) exposes your underlying motive. The Cruze has had excellent reviews and long term tests.

Regarding the fuel economy mentioned above, the petrol engine was fitted for economy at a time when prices were heading north of $1.80 per litre. If people buy the car to ring its neck they will never match the official figures. The petrol version was always intended as a city car.

I have also done a fair bit of hunting of forums for faults in the car and the general consensus appears to be a happy ownership.

Michael Read

Jabba……anyone knows those forums are corrupt. Holden load the Ford ones rent a crowd false comments and they monitor the Holden ones to keep the bad comments from appearing……didnt you know that? Its well known in the car industry itself, like the paid Holden bogans on here who make false comments about Ford. and you didnt know that? Are you serious? lol
The Cruze is a cheap Korean car and it is not an Aussie made car and never will be…..it will only be assembled here, thats all.

Mad max

So Holden and Ford pay people to sit and gie good comments to their cars and poor comments to their competitors? So that means that all other brands do the same. Yeah right Michael! You also hae been probably taken by little green men and flown off for scientific tests in their spaceships, or at least think you have! So this claim of yours is “fact and everybody knows it”. What an absolute load of total and utter crap. Please if this is the best you can then stay off the CA site and go play some where else. How do you explain all of the negative comments posted on all of the sites about cars and brands.
You total tool!