Government will use car industry report to scrap subsidies: Opposition

The Federal Opposition says the Government will use a report on the car industry to justify scrapping industry subsidies by the end of the decade.

The Productivity Commission released an interim paper yesterday on industry policy which recommends ditching taxpayer handouts by 2020.

Opposition spokesman Tony Zappia says the Government will use the report to justify an end to support for the industry.

"[It is] a predictable, baseless attack on Australian automotive manufacturing clearly intended to provide political cover for the Abbott's government's failure to support Australian auto workers," he said.

Industry Minister Ian Macfarlane says the Government will respond to the carmakers after the final report has been completed.

More

  1. Productivity Commission report calls for an end to car industry bailouts
  2. Opposition accuses Federal Government of abandoning car industry
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