Ford Australia has announced that they will be ceasing all production operations at their engine plant in Geelong and at the vehicle assembly plant in Broadmeadows by 2016.

The closure of the plants in 2016 will mean the loss of 1200 jobs and will likewise affect parts suppliers and manufacturers. The decision will terminate 88 years of Ford manufacturing in Australia, and effectively ends the production of two Australian-developed Fords: the Falcon and the Territory SUV.

Ford Australia posted a $141 million loss in 2012 alone, accounting for a total of $600 million in losses for the last 5 years.  The move shifts Ford Australia from a vehicle manufacturer to a vehicle distributor.

R&D operations are unaffected. This is of particular importance to the Philippine automotive industry as Australia serves as the R&D hub for models sold by Ford ASEAN like the current Ranger T6.

Last year, Ford Group Philippines ceased operations at their Santa Rosa, Laguna assembly plant, closing the facility that produced the Lynx, Mazda3, Focus and Escape. Currently Ford Philippines imports their vehicles from Thailand or the United States.