The decision that GM's bankruptcy will not affect Holden in Australia “also reflects Holden’s confidence in the capabilities of its Australian suppliers,” Mr Barry Comben, Acting Chief Executive of FAPM said.
“The vehicle and component manufacturing industry in Australia is working through the difficulties imposed by the global financial crisis and the investments that have already been secured by Holden and other key industry stakeholders will underpin the recovery and the competitiveness of the Australian industry in the future,” Mr Comben added.
Mr Comben was also pleased that GM Holden will be part of the new GM as its restructures and emerges from the Chapter 11 processes in the US.
“This reinforces the view that GM Holden, supported by Federal and State Governments in Australia and by its Australian suppliers, is seen to be making a valuable contribution to the global GM business.”
Mr Comben said they it was a big relief for those Australian suppliers who deal directly with General Motors in the US that the Obama Administration has agreed to ensure normal payment to suppliers is maintained for deliveries of product shipped to the United States during the bankruptcy period.