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Manufacturing in Australia

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Manufacturing in Australia

Manufacturing in Australia peaked in the 1960s at 25% of the country's gross domestic product, and has since dropped below 10%.

Contents

History

The contribution of manufacturing to Australia's gross domestic product peaked in the 1960s at 25%, and had dropped to 13% by 2001–2 and 10.5% by 2005–6. In 2004–05, the manufacturing industry exported products worth $67,400 million, and employed 1.1 million people

In 2000–2001, $3300 million was spent on assistance to the manufacturing industry, with 40% going to the textile, clothing and footwear industry and the passenger motor vehicle industry. At that time, manufacturing accounted for 48% of exports, and 45% of Australian research and development.

In 2007, the breakdown of manufacturing by state, and the fraction of gross state product (GSP) which it contributed, were as follows:

Between 2001 and 2007, the approximate breakdown by industry changed as follows:

Food processing

The food and beverage manufacturing industry is the largest in Australia. The sectors include the following:

* Before the 2010 closure of the Port Lincoln Tuna cannery

Textile industry

Until trade liberalisation in the mid 1980s, Australia had a large textile industry. This decline continued through the first decade of the 21st century. Since the 1980s, tariffs have steadily been reduced; in early 2010, the tariffs were reduced from 17.5 percent to 10 percent on clothing, and 7.5–10% to 5% for footwear and other textiles. As of 2010, most textile manufacturing, even by Australian companies, is performed in Asia.

Motor vehicles

As of 2012, four companies manufacture cars in Australia: GM-Holden, Ford, Toyota and Tomcar. Mitsubishi Motors Australia ceased production in March 2008.

Holden bodyworks are manufactured at Elizabeth, South Australia and engines are produced at the Fishermens Bend plant in Port Melbourne, Victoria. In 2006, Holden's export revenue was just under A$1,300 million. In March 2012, Holden was given a $270 million lifeline by the Australian government. In return, Holden planned to inject over $1 billion into car manufacturing in Australia. They estimated the new investment package would return around $4 billion to the Australian economy and see GM Holden continue making cars in Australia until at least 2022. However, Holden announced on 11 December 2013 that Holden cars would no longer be manufactured in Australia from the end of 2017.

Ford has two main factories, both in Victoria: located in the Geelong suburb of Norlane and the northern Melbourne suburb of Broadmeadows. Both plants will be closed in October 2016.

Until 2006, Toyota had factories in Port Melbourne and Altona, Victoria. Since then, all manufacturing has been at Altona. In 2008, Toyota exported 101,668 vehicles worth $1,900 million. In 2011 the figures were "59,949 units worth $1,004 million". On 10 February 2014 it was announced that by the end of 2017 Toyota would cease manufacturing vehicles and engines in Australia.

In March 2012, a new Australian auto maker, Tomcar, announced they are to build a new factory in Melbourne.

Chemical industry

Australia has a chemical industry, including the manufacture of many petrochemicals.

Many mining companies, such as BHP Billiton and Comalco, perform initial processing of raw materials. Similarly, Australia's agriculture feeds into the chemical industry. Tasmania produces 40% of the world's raw narcotic materials; some of this is locally converted into codeine and other pharmaceuticals in Tasmania by Tasmanian Alkaloids, owned by Johnson and Johnson, while GlaxoSmithKline processes some of the resulting poppy straw in Victoria.

Companies with manufacturing facilities in Australia

A partial list of companies operating manufacturing facilities in Australia, with their most important products.

Australian-owned:

  • Breseight Group Advanced Manufacturing
  • DuluxGroup Paints, chemicals
  • Bradken Metal castings
  • Boral Building materials, timber, cement
  • BlueScope Steel Steel
  • UGL Limited Engineered products, rolling stock
  • Downer Group Rolling stock
  • aussieBum Clothing, underwear
  • SPC Ardmona (Coca-Cola Amatil) Processed food
  • Hedrena Clothing
  • Tomcar Cars
  • Arrium Steel
  • Orica Chemicals, blasting equipment
  • Timberlink (NewForests) Timber, forest products
  • BHP Billiton Smelted metals
  • RØDE Microphones Microphones and accessories
  • Incat Catamarans
  • Forgacs Group Ships
  • Rio Tinto Aluminium, smelted metals
  • CSR Building materials
  • Tassal Processed food
  • Rosella (Sabrands) Sauces, processed food
  • Sutton Tools Cutting Tools
  • Stratco Sheet Metal
  • International:

  • Holden (General Motors) Cars, engines
  • Toyota Cars, engines
  • Ford Cars
  • WD-40 Lubricants
  • Ingredion Food Ingredients
  • Nyrstar Smelted metals
  • Iveco Trucks, rolling stock
  • Australian Paper (Nippon Paper) Paper
  • Cement Australia (Holcim) Cement
  • AB Volvo Trucks
  • Kenworth Trucks
  • Apex Tool Group Hand Tools, Soldering Equipment
  • Companies that no longer manufacture in Australia

    Companies that closed down, or moved manufacturing offshore.

    Australian Owned:

  • Pacific Brands Clothing
  • South Pacific Tyres (Ansell/Goodyear) Tyres
  • International:

  • Sidchrome (Stanley) Tools
  • Bridgestone Tyres
  • Mitsubishi Cars
  • Nissan Cars, engines
  • Electrolux Ovens, refrigerators
  • Golden Circle (Heinz) Processed food
  • References

    Manufacturing in Australia Wikipedia