Automotive Manufacturing's Downward Trend Gets a Lift

19 Jan 09

It seems almost every day since the global financial melt-down that there is another tale of factory closures and down-sizing in the global automotive manufacturing industry. In Australia the major car manufacturers have been openly talking about plant closures and the potential to not survive the crisis. Automotive component manufacturers have had to lay off staff in a desparate move to keep their companies afloat in the face of reduced orders.

Amidst the doom and gloom comes one good news story that bucks this trend. The Australian Advanced Manufacturing Network known as ManufactureLink has been making the most of the favourable exchange rate between the US and Australian dollars to bring in large export opportunities for the local automotive component manufacturers. What is even more amazing is that ManufactureLink have achieved this off their own bat with an almost zero budget and no government assistance.

Using their in-depth knowledge of online manufacturing marketplaces gained from years of running one of the world's leading online sourcing systems, ManufactureLink has caught the attention of global buyers of automotive components resulting in a steady stream of Requests For Quote for components ranging from cast iron brake parts and transmission brackets, to forged steel components for the earthmoving industry. Buyers have come from the US, UK and even Asia.

"We have had this project to tap into the global supply chains sitting on the back burner ever since the Global Opportunities Program was cancelled." says George Pofandt, Managing Director of ManufactureLink, "We don't have the resources to run the project as we originally wanted to had we had Government support, but we felt we should do what we can in light of the pain our supplier network is experiencing. So we kicked it off in a small way and it has produced almost instant results."

ManufactureLink's project hasn't just been successful in the automotive sector. Several excellent manufacturing opportunities for medical device manufacturing and orthopaedic consumables have also been sourced.

"ManufactureLink probably have one of the best networks of quality contract medical device manufacturers in the world." said George, "As such, buyers take notice when we contact them offering a fast response, US quality and strong IP protection at globally competitive prices. The current exchange rate is helping push the point about competitive pricing."

ManufactureLink intends to carry on this work on behalf of their members and hopes to get more runs on the board before expanding the project to tap into other supply chains. With most forecasting a further weakening of the Australian dollar due to lower commodity prices and falling resource demands, ManufactureLink sees opportunities for Australian manufacturers to lift their eyes and look globally for more work for their machines.

"We will certainly be doing all that we can to persuade buyers to look to Australia for their component manufacturing", said George.

About ManufactureLink

ManufactureLink is the Australian advanced manufacturing and engineering network - online. Their online community consists of more than 360 registered manufacturers, and over 1600 registered buyers. Each month over 30,000 unique site visitors use ManufactureLink's online network and intelligent sourcing system to procure the custom manufacturing and engineering services they need from Australian manufacturers.

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