Future of Ford and Holden Could be Revealed in Detroit this week

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The future of Australian motoring and the homegrown Ford Falcon and Holden Commodore could be revealed in Detroit this week.

Decisions are needed soon on the future replacements of both cars, which are set for a total overhaul within five years. Australia's third maker, Toyota, is already committed to a new - generation Camry that will hit the road later this year. It is also investing more than $300 million in a local engine factory and will have a replacement for its current Camry hybrid in 2012.


But there are more questions than answers on the Falcon and Commodore - which will each cost more than $500 million to renew for sales beyond 2015. Ford's global boss Alan Mulally will face a grilling at the opening of the North American International Motor Show and his counterpart at General Motors, Mark Reuss, will get similar questions.

Both men are well connected to Australia - Mulally has been guiding the blue oval brand for more than five years and has visited Broadmeadows, while Reuss is a former president of GM Holden - and know the critical importance of their local heroes.

Holden is already hinting through its current chief, Mike Devereux, that it sees an ongoing future for a large, rear-wheel drive replacement for the Commodore. He tells Carsguide yesterday that Holden has a solid plan and is tracking towards another year of profitable sales in 2011.

"My goal is to be the best car company in Australia. A very profitable, great car company. I think there are outcomes to being great," says Devereux.

But Mulally rocked the Australian motor industry exactly a year ago - at the opening of last year's Detroit motor show - when he refused to confirm a future for a local Falcon. Since then, two potential paths for the Falcon have emerged - some sort of joint-venture development with the next Mustang in the USA or a twinning with a global Taurus sedan under the worldwide One Ford program.

In either case, Mulally has said repeatedly that there will not be an 'orphan' car in Australia without some sort of global synergy. Ford Australia also faces a major crunch this year on local sales, with the Falcon continuing to lag below sustainable levels and needing a significant boost from the much-updated Territory SUV that hits the road in the first quarter.