Supplier Collapse Threatens GM, Ford Australian Output
General Motors and Ford could be forced to suspend production in Australia as early as this week because the country's largest auto parts maker has entered administration.
General Motors and Ford could be forced to suspend production in Australia as early as this week because the country's largest auto parts maker has entered administration.
Autodom Ltd., which supplies body panels and other metal parts to Ford, GM and Toyota, has indefinitely closed its seven plants in Australia.
Ford says it has enough parts to keep building the Falcon fullsize sedan and Territory crossover vehicle through mid-week. GM's Holden unit could run out of Autodom parts for its locally made Commodore fullsize sedan and Cruze small car sometime this a week, according to the company.
Toyota says it has enough components to keep making the Camry midsize sedan in Australia for the "short term" and is scrambling to find alternate suppliers.
Autodom blames the carmakers for failing to provide enough financial support. The three companies, which are among Autodom's largest creditors, say they offered financial aid by means of parts prices and terms of payment.
Court-appointed administrators are trying to reorganize Autodom. Government officials urge carmakers and unions to join talks about rescuing the company.