IVECO shuts assembly line

A Stralis AT model being locally-produced at IVECO's Dandenong South plant in 2017.

By Cam Lucadou-Wells

Dandenong South-based IVECO Trucks Australia has announced an end to its full-scale local manufacturing.

In a statement, the company stated it would fully import its heavy duty vehicles from Madrid, Spain.

The transition was expected to start from June 2022.

Meanwhile, IVECO announced the creation of a Customisation & Innovation Centre at Dandenong South.

The new centre would “leverage engineering expertise” by helping customers and vehicle body-builders to customise and specialise their vehicles.

The CIC would also work closely with Europe and local partners on innovation, such as alternative propulsion solutions, digitisation, connectivity and autonomous driving.

The overall future of the site’s manufacturing plant was yet to be finalised, a spokesperson said.

“IVECO will continue to follow best-practice procedures in managing the workforce as the transition is made.

“We will be working with employees and the unions to keep them fully informed.

“While we won’t be continuing full scale vehicle production in Australia, the CIC will leverage our engineering expertise.”

IVECO Australia managing director Michael May said moving to local customisation of fully imported vehicles was a “natural progression” of IVECO’s Australia-New Zealand “transformation”.

“Given our brand’s long history of manufacturing in Australia, this next step towards customisation strengthens our ability to remain agile and responsive to demanding regional requirements.”

The new S-WAY model, to be launched in Australia next year, will be tested on local roads and have input from local engineers and select partners.

The CIC would help strengthen one of IVECO’s “key selling points”, Mr May said.

“Historically, our most unique value proposition has been our ability to customise and specialise vehicles for our market, leveraging the expertise of our local engineering team and the local facility.”