The story of Holden and Chevrolet is a fascinating journey through Australian automotive history, beginning long before cars even existed. From humble beginnings as a saddlery in the mid-19th century, Holden rose to become an iconic Australian car manufacturer, deeply intertwined with the American giant, Chevrolet and General Motors.
1856 – Saddlery Origins of Holden
In 1856, James Alexander Holden established his saddlery business in Adelaide, South Australia. Initially focused on crafting high-quality horse saddles, harnesses, and equestrian equipment, Holden quickly gained a reputation for excellence. The company’s commitment to quality even saw them supplying equipment for the Boer War, showcasing their early manufacturing prowess. James Holden’s dedication laid the foundation for a business that would eventually steer Australia into the automotive age.
By 1887, the reins of the business passed to James’s son, Henry James Holden. It was Henry who began to pivot the company’s direction, recognizing the burgeoning potential of the automotive industry. This transition marked the first step in Holden’s evolution from crafting equestrian gear to becoming a cornerstone of Australian car manufacturing, eventually solidifying its partnership with Chevrolet.
1917 – Entering the Automotive World with Chevrolet
Holden’s foray into the automotive industry began in 1917, not by manufacturing complete cars, but by crafting car bodies for imported chassis. Significantly, their first major automotive contract was building bodies for Chevrolet chassis. This partnership with Chevrolet was a pivotal moment, establishing a connection that would define Holden for decades. Holden became the first company in Australia to assemble bodies for Ford vehicles as well, demonstrating their early capabilities. By 1924, Holden had solidified its position as the exclusive Australian body supplier for General Motors (GM), Chevrolet’s parent company in the United States. This deepened relationship with GM and Chevrolet was crucial for Holden’s growth and expertise in automotive manufacturing.
1931 – The Merger: General Motors-Holden’s
The deepening ties between Holden and General Motors culminated in a significant merger in 1931. General Motors Australia merged with Holden to form General Motors-Holden’s Ltd (GM-Holden’s). This merger solidified the Holden Chevrolet partnership and created a dominant force in the burgeoning Australian automotive market. Alongside Ford, GM-Holden’s effectively controlled the Australian automotive industry during this formative period. This era saw the rise of mass car ownership in Australia, with Holden Chevrolet vehicles becoming increasingly popular.
1948 – “Made in Australia”: The Iconic FX Holden
1948 marked a watershed moment for Holden and Australian manufacturing. GM-Holden’s launched the FX 48-215, the first car that was proudly “made in Australia, for Australia.” Prime Minister Ben Chifley himself launched the production, famously hailing the FX as a “beauty.” This vehicle was not just a car; it was a symbol of Australian post-war industrial capability and national pride. The FX Holden was an instant success, with demand far outstripping supply, leading to waiting lists that stretched for almost a year. Over its six-year production run, an impressive 120,402 FX Holdens were manufactured. Throughout the 1950s and 60s, Holden Chevrolet continued its dominance, releasing a string of successful new models that captured the hearts of Australian drivers.
1980 – The Tide Turns: Challenges for Holden
The 1980s brought a shift in fortunes for Holden. The Australian automotive industry began facing increasing challenges. Holden was forced to close its Pagewood production plant in Sydney in 1980, a sign of the changing economic landscape. The federal government introduced the “Button car plan” in an attempt to rationalize the struggling automotive industry through reduced import tariffs, further intensifying competition.
2006 – Mounting Losses for Holden Chevrolet
While the 1990s saw a market resurgence, the early 2000s brought renewed difficulties for Holden. The company faced significant financial losses. Between 2005 and 2006, Holden Chevrolet recorded a combined loss of $290 million. In response to these pressures, Holden continued to reduce its workforce, cutting 1,400 jobs after ceasing operations on its third-shift assembly line.
2008 – Global Financial Crisis Impacts Holden and GM
The Global Financial Crisis of 2008 delivered a severe blow to Holden and its parent company, General Motors. Holden experienced another 500 job losses in Australia, while GM in the US saw a dramatic 86% decline in exports. In 2009, further restructuring led to the closure of four-cylinder engine factories and another 500 job losses, compounding the challenges for the Holden Chevrolet operations.
2010 – Government Support for Local Production
In an effort to support local manufacturing, the federal government provided Holden with a $159 million grant to produce a local version of the Chevrolet Cruze. The South Australian government also contributed $30 million in support. This government assistance aimed to bolster Holden Chevrolet’s production capabilities and maintain jobs within Australia.
2013 – Holden Announces End of Australian Manufacturing
Despite government support, in 2013, Holden made the devastating announcement that it would cease all Australian manufacturing operations by 2017. This decision meant the loss of 2,900 jobs. Ford had made a similar announcement months prior, signaling a broader downturn in Australian automotive manufacturing. The end of Holden Chevrolet production in Australia marked a significant shift in the nation’s industrial landscape.
2017 – The Final Australian-Made Holden
On October 20, 2017, the final shift at Holden’s Elizabeth plant marked the end of Australian car manufacturing for the company. Approximately 950 workers were directly affected on this last day, with another 800 having already left since the 2013 announcement. The last car to roll off the production line was a red VFII SSV Redline Commodore sedan, a poignant symbol of the end of an era. A large gathering of former employees and Holden enthusiasts attended a farewell event at Adelaide Oval, featuring a performance by Jimmy Barnes, to commemorate the Holden Chevrolet legacy. While manufacturing ceased, around 700 Holden employees remained in Melbourne, including designers and engineers, to continue designing cars for the Australian market, albeit no longer manufactured locally.
2019 – Farewell to the Commodore
In December 2019, GM quietly announced the discontinuation of the iconic Commodore after 42 years of production, citing further declining sales. Interim Holden boss Kristian Aquilina acknowledged the heritage of the Commodore, stating that the decision was not taken lightly. The retirement of the Commodore nameplate marked another step in the winding down of the Holden Chevrolet story in Australia.
2020 – The End of the Holden Brand
Finally, on February 17, 2020, General Motors announced the complete end of the Holden brand. GM cited the decision to exit the “highly fragmented right-hand-drive market” and retire the Holden brand by 2021. This final decision resulted in approximately 600 more job losses out of the remaining 800 Holden employees in Australia and New Zealand. Kristian Aquilina expressed the company’s exhaustive efforts to save the brand, while Australian Prime Minister Scott Morrison criticized GM for allowing Holden to “wither away” despite receiving substantial taxpayer subsidies. The closure of Holden marked the definitive end of a significant chapter in Australian automotive history, concluding the long and storied partnership between Holden and Chevrolet.
