John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, Senator Carr. Can the minister explain how GMH, a beneficiary of over $140 million from the government's Green Car Innovation Fund, is benefiting local Australian industries by withholding access to its products from Blade Electric Vehicles while providing the same access to the predominantly foreign owned Better Place, which has also benefited from $3½ million of funding for an affiliated company through the green car fund?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I thank the senator for his question and I acknowledge his ongoing interest in this matter. I trust the senator is aware that Blade Electric Vehicles are currently in negotiations with General Motors Holden and, as I understand it, there has been no suggestion by General Motors Holden that Blade Electric Vehicles have been denied access to its products. I thank the senator for giving me the courtesy of advising me that he was going to ask this question, so I ensured we contacted General Motors Holden to ask the direct question: are you denying access? I have been advised that General Motors Holden has offered Blade access to its vehicles on the very same basis that it offered access to its vehicles to the EV consortia. As we know, these are matters of commercial negotiation between the respective companies. It is not a matter that the government seeks to involve itself in directly. However, if the senator is aware of evidence to the contrary with regard to restrictive commercial practices by any party, I trust he will refer them to the proper authorities.

John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Can the minister explain how granting funds to companies that restrict trade from innovative Australian companies in favour of foreign owned consortiums such as EV Engineering benefits Australian business or the Australian economy?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

When the senator speaks of innovative companies, I assume he is referring to Blade Electric Vehicles. I am not aware of any evidence that that is occurring. Again, I repeat the suggestion that, if I am mistaken, please refer the matter to the rele­vant authorities. If the senator is actually concerned about the issue of foreign owner­ship in relation to the Australian automotive industry, I can assure him that that issue has been very much part of the automotive industry in this country since its earliest days. This is essentially an international industry. If ever there was an international manufacturing industry, it would have to be the automotive one. We understand that there are significant investments which actually require— (Time expired)

John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. In light of the minister's statement that China doubles its investment in research and development every five years, can the minister explain how the granting of $63 million from the government's green car fund to Nexteer, a company owned by the Beijing government through Pacific Century Automotive, advances the competitiveness of Australian owned and operated companies or is in keeping with the government's commitment to a level playing field?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I trust the senator is aware of the 250 new jobs that will flow directly from this program. Our strategy has been to encourage higher levels of integration of the Australian automotive industry into global supply chains. Not only are we providing co-investment support for Chinese companies and companies that are directly working with the Chinese industry, we are also doing it in India, the United States and Germany. In fact, the whole approach is to ensure that we are able to maximise job opportunities for Australian workers by building the international competitiveness of the Australian automotive industry, opening up new products, opening up new industrial processes and opening up new markets. That is at the core of the New Car Plan for a Greener Future, about the transformation of the industry. That will not happen by us concentrating on just trying to develop a totally indigenous industry, trading entirely within Australia. This is an international industry. (Time expired)