Manufacturing News

Albanese government would ‘absolutely’ welcome a Tesla manufacturing plant

Infrastructure and Transport Minister Catherine King says the Albanese government would “absolutely” welcome Tesla opening a manufacturing plant in Australia.

Her comments come after the company’s most senior executive in Australia hinted the electric vehicle giant could expand its manufacturing capabilities here.

Board chair Robyn Denholm told the National Press Club in Canberra earlier this month the company wanted to have manufacturing capability on every continent.

She said Tesla needed to “be in all of the major markets” in order to compete in a world moving towards the widespread use of electric vehicles and lithium-ion batteries.

Ms King said on Wednesday the “incredibly disappointing” winding down of the Australian car manufacturing industry had implications for research and development across the manufacturing sector.

The Albanese government has been enthusiastic about ramping up local manufacturing and indicated this could include making cars once again.

Camera IconEnergy Minister Chris Bowen speaks as the Albanese Government releases its electric vehicle strategy. NCA NewsWire / Gary Ramage Credit: News Corp Australia

But Energy Minister Chris Bowen was noncommittal when asked on Wednesday if he thought it was realistic to expect cars to be made in Australia again.

“We’re very excited as (Ms King) said, right up and down the supply chain,” he said.

“The economics of electric vehicle manufacturing are very different to traditional internal combustion engines, whether it’s full vehicles or those components of vehicles along the way.

“And as I said at the outset, the more we have an electric vehicle market in Australia, the more that will support electric vehicle component and indeed, potentially in due course, manufacturing.”

Mr Bowen and Ms King made the comments as they unveiled the federal government’s consultation paper, outlining the framework for a new national electric vehicle strategy.

More to come

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