Driverless Cars to Boost Manufacturing Industry in Australia

Published By : 05 Nov 2015 | Published By : QYRESEARCH

South Australia’s manufacturing industry could be saved by driverless cars. Premier Jay Weatherill aims to transform South Australia into an advanced manufacturing state and a global leader in self-driving cars. He stated that in the next 15 years, South Australia’s manufacturing industry has the potential to emerge as a US$90 billion global industry. He hopes that the state’s expertise in automotives, obtained through manufacturing Mitsubishi and Holden cars for years would help in positioning South Australia as the global driverless cars manufacturing hub. 

At the International Driverless Cars Conference in Adelaide, Mr Weatherill stressed that South Australia’s expertise on car manufacturing makes it an active player in the global car manufacturing industry. Though the Holden production plant in Elizabeth will soon shut down, he mentioned that the state has not lost its potential to emerge as a driverless car manufacturing hub. However, he pointed out that the manufacturing of driverless cars is required to be viable in a high-wage economy such as Australia. Hence, rather than focussing on high volume and low value manufacturing, the state would work on small and niche operations.

The driverless cars conference will look at the infrastructural and technological needs and opportunities in South Australia. A driverless car will be also tested on Adelaide’s South Expressway this weekend. This would be the first on-road trial of a driverless car in the southern hemisphere. Last month, a Senate inquiry revealed that more than 90% accidents and crashes resulting to deaths and injuries on road were due to human error. Autonomous vehicles can largely eliminate human error. Further, driverless vehicles can improve congestion and reduce freight costs.

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