The Federal and Victorian governments have announced $103 million in co-funding to boost the fuel efficiency and emissions performance of the Ford Falcon and Ford Territory models being manufactured in Australia.

 

The Federal Government will provide $34 million of the investment, which will see the Falcon produced at Broadmeadows in Melbourne to at least 2016.

 

The funding is aimed at countering the negative effects of the rising dollar while insulating the sector from  competition from other countries in the Asia-Pacific region.

 

Making the announcement with Ford Asia Pacific and Africa President Joe Hinrichs and Ford Australia President and CEO Bob Graziano, the Federal Minister for Manufacturing, Senator Kim Carr, said the introduction of  new improved aerodynamics and transmission technology would improve the fuel efficiency and emissions performance of the Falcon by more than 5 per cent.

 

"We are working with the company to ensure its future in Australia. This announcement is an important step in our ongoing commitment to strengthen the sector."

 

Victorian Acting Premier Peter Ryan said the Victorian Coalition Government was also providing financial support to Ford's 2014 upgrade project at Geelong.