Australian Motor Industries
Encyclopedia
Australian Motor Industries (AMI) was an automobile assembly firm that was significant in the early history of the automobile industry in Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...

.

Start of production

The origins of Australian Motor Industries can be traced back to 1926 when J.F. Crosby decided to invest in Eclipse Motors Pty Ltd of Melbourne. In 1929 the company secured the Victorian agency for Standard Motor Company
Standard Motor Company
The Standard Motor Company was founded in Coventry, England in 1903 by Reginald Walter Maudslay . The Standard name was last used in Britain in 1963, and in India in 1987.-1903–1914:...

's cars, then changed the company name to Talbot and Standard Motors, and began a steady period of expansion with the Standard marque through the 1930s. In 1952 the Crosby family formed a holding company, Standard Motor Products Ltd, in co-operation with the Standard Motor Company of England to assemble cars at their new assembly plant in Port Melbourne. The subsidiary company responsible for vehicle assembly was the Standard Motor Company (Australia) Limited.

Import tariff
Tariff
A tariff may be either tax on imports or exports , or a list or schedule of prices for such things as rail service, bus routes, and electrical usage ....

s on vehicles encouraged the growth of the Australian vehicle body building industry from the early 1920s. The tax concessions varied with the degree of local content.

Changes within the industry saw the consolidation of the principal manufacturers and the demise of the smaller body builders. The Port Melbourne assembly plant was one of many new facilities which were set up to meet the post war demand for new vehicles. By 1955 the assembly complex had expanded to 33 acre (0.13354638 km²; 0.051562545590219 sq mi) of land and the new engine assembly plant had a capacity of 100 engines per eight-hour shift.

Standard Motor Products Ltd was unusual in the Australian motor industry because of the high Australian shareholding of the company; 88% in 1952 when the Australian company bought out its English partner. The remaining shares were held by the Standard Motor Company UK. As a sign of the close co-operation between the two companies, Sir John Black was made president of SMP and Arthur F. Crosby remained as chairman. His brother, Clive C. Crosby, became the managing director.

In 1958 the company negotiated an agreement with Daimler-Benz
Daimler-Benz
Daimler-Benz AG was a German manufacturer of automobiles, motor vehicles, and internal combustion engines; founded in 1926. An Agreement of Mutual Interest - which was valid until year 2000 - was signed on 1 May 1924 between Karl Benz's Benz & Cie., and Daimler Motoren Gesellschaft, which had...

 to assemble and distribute Mercedes Benz vehicles in Australia. In recognition of this new agreement the company was renamed Australian Motor Industries and a new subsidiary company was formed to handle the Mercedes Benz franchise.

Through its long association with the Standard Motor Company, AMI also held the franchise for Triumph cars and assembled Ferguson
Ferguson
-Places:In Canada:* Ferguson Avenue In the United States:* Ferguson, Arkansas* Ferguson, Iowa* Ferguson, Kentucky* Ferguson, Missouri, a suburb of St...

 tractors through another subsidiary company of the group, British Farm Equipment. An extensive dealer network throughout NSW and Victoria saw Standard cars and Ferguson
Ferguson
-Places:In Canada:* Ferguson Avenue In the United States:* Ferguson, Arkansas* Ferguson, Iowa* Ferguson, Kentucky* Ferguson, Missouri, a suburb of St...

 tractors sold side by side in country areas. The most popular car sold was the Vanguard
Standard Vanguard
The car used a conventional chassis on which was mounted the American inspired semi-streamlined four-door body, which resembles a Plymouth. Suspension was independent at the front with coil springs and a live axle and leaf springs at the rear. Front and rear anti-roll bars were fitted. The brakes...

 model.

Reorganization

By 1960 AMI had also made an agreement with American Motors Corporation
American Motors
American Motors Corporation was an American automobile company formed by the 1954 merger of Nash-Kelvinator Corporation and Hudson Motor Car Company. At the time, it was the largest corporate merger in U.S. history.George W...

 (AMC) to assemble their Rambler
Rambler (automobile)
Rambler was an automobile brand name used by the Thomas B. Jeffery Company between 1900 and 1914, then by its successor, Nash Motors from 1950 to 1954, and finally by Nash's successor, American Motors Corporation from 1954 to 1969...

 range of cars from complete knock down (CKD) kits. Another deal with Fiat
Fiat
FIAT, an acronym for Fabbrica Italiana Automobili Torino , is an Italian automobile manufacturer, engine manufacturer, financial, and industrial group based in Turin in the Italian region of Piedmont. Fiat was founded in 1899 by a group of investors including Giovanni Agnelli...

 was planned to replace the Ferguson
Ferguson TE20
The Ferguson Model TE20 was a British agricultural tractor. It was Harry Ferguson's most successful design, commonly known as the Little Grey Fergie. It was manufactured from 1946 to 1956...

 tractors distributed by BFE. The Standard Motor Company had sold their tractor facility in Coventry to Massey Ferguson
Massey Ferguson
Massey Ferguson Limited was a major agricultural equipment manufacturer which was based in Canada before its purchase by AGCO. The company was formed by a merger between Massey Harris and the Ferguson tractor company in 1953, creating the company Massey Harris Ferguson. However in 1958 the name was...

 and focused on automobile production.

AMI ran into financial trouble during the Australian credit squeeze of 1961 and the company was forced to sell off many assets and vehicle stock to remain solvent. Part of the restructure resulted in the sale of their share in the Mercedes Benz franchise to the German parent company.

In 1963 the company secured the Australian franchise for Toyota cars and began assembly of the Tiara range. From this point the financial position of the company steadily improved and by 1967 AMI were assembling 32 different models for the Australian market and providing fully imported Toyota Corollas for their dealer network.

Other cars assembled by AMI included the Rambler range from American Motors
American Motors
American Motors Corporation was an American automobile company formed by the 1954 merger of Nash-Kelvinator Corporation and Hudson Motor Car Company. At the time, it was the largest corporate merger in U.S. history.George W...

 and Triumph cars from Leyland Motors. Leyland had inherited shares in AMI when it had merged with Standard-Triumph International in 1961.
During the early 1960s the foreign share of the automobile motor vehicle market was estimated to be 95%, and as the only sizeable producer with a local equity, AMI continued to manufacture overseas designs.

AMI assembled the Triumph Herald
Triumph Herald
The Triumph Herald was a small two-door car introduced in 1959 by the Standard-Triumph Company of Coventry. Body design was by the Italian stylist Michelotti and the car was offered in saloon, convertible, coupé, van, and estate models....

 from 1959 to 1966 and produced some unique Australian models. The Triumph 2000/2500 range was assembled in Port Melbourne from 1964 to the mid-1970s.

Operations with AMC

AMI assembled a broad range of AMC cars, all with right-hand drive and carried the Rambler
Rambler (automobile)
Rambler was an automobile brand name used by the Thomas B. Jeffery Company between 1900 and 1914, then by its successor, Nash Motors from 1950 to 1954, and finally by Nash's successor, American Motors Corporation from 1954 to 1969...

 brand name. This meant that Australians could purchase a Rambler Javelin
AMC Javelin
The Javelin was a production version of one of the AMC AMX prototypes shown during the 1966 AMX project nationwide tour. Intended to rival other pony cars such as the Ford Mustang and Chevrolet Camaro. American Motor's Javelin debuted on 22 August 1967, for the 1968 model year...

, AMX
AMC AMX
The AMC AMX is a two-seat GT in style and approach sports car that was produced by American Motors Corporation for the 1968 through 1970 model years. The AMX was also classified as a muscle car, but "unique among other American cars at the time due its short wheelbase"...

 (a total of 24 were assembled, all with 343 CID V8
AMC V8 engine
American Motors Corporation produced a series of widely-used V8 engines from the mid-1950s before being absorbed into Chrysler in 1987. Chrysler kept the AMC V8 in production until 1991 for the Jeep Grand Wagoneer....

s), Hornet
AMC Hornet
The AMC Hornet was a compact automobile made by the American Motors Corporation in one generation beginning with the 1970 model year and continuing through the 1977 model year. The Hornet replaced the compact Rambler American marking the end of the Rambler marque in the American and Canadian markets...

, or Matador
AMC Matador
The AMC Matador is a mid-size car that was built and sold by American Motors Corporation from 1971 to 1978. The Matador came in two generations: 1971 to 1973 and a major redesign from 1974 to 1978...

 long after the Rambler marque was dropped from use on the equivalent U.S.-made models.

Complete knock down kits were shipped from AMC's Kenosha, Wisconsin
Kenosha, Wisconsin
Kenosha is a city and the county seat of Kenosha County in the State of Wisconsin in United States. With a population of 99,218 as of May 2011, Kenosha is the fourth-largest city in Wisconsin. Kenosha is also the fourth-largest city on the western shore of Lake Michigan, following Chicago,...

 facility (all knock-down kits to all assembly operations were from Kenosha), but the Australian cars were assembled with a percentage of "local content" to gain tariff
Tariff
A tariff may be either tax on imports or exports , or a list or schedule of prices for such things as rail service, bus routes, and electrical usage ....

 concessions. This was done using parts and components (such as seats, carpet, lights, and heaters) from local Australian suppliers. AMI specified what parts were not to be included in the unassembled kits sent by AMC. The door tag on an AMI assembled car has no trim number because AMC did not know in advance how it would be trimmed inside. The color selection was limited in Australia because the bodies were painted at the body plant just like all the bodies going for final assembly at the Kenosha factory. Specific colors had to be ordered by AMI in advance and there was only had a limited supply of each in Australia. The body had the engine, trans, front suspension, and rear axle installed (as well as a few other parts such as door latches), and then was pulled from the line in Kenosha, Wisconsin. Other necessary parts specified by the assembler were boxed and shipped inside the car for assembly at the final destination in Australia. It is unknown exactly how many parts were included to be installed by the assembly operation, that varied with each operation.

From 1971, Australian assembled AMC Matador
AMC Matador
The AMC Matador is a mid-size car that was built and sold by American Motors Corporation from 1971 to 1978. The Matador came in two generations: 1971 to 1973 and a major redesign from 1974 to 1978...

s were equipped with standard column shift automatic transmissions, power steering, power windows, air conditioning, and an AM radio. The engine in the later years was AMC's 360 CID V8
AMC V8 engine
American Motors Corporation produced a series of widely-used V8 engines from the mid-1950s before being absorbed into Chrysler in 1987. Chrysler kept the AMC V8 in production until 1991 for the Jeep Grand Wagoneer....

. Options included exterior sunvisor, vinyl roof
Vinyl roof
Vinyl roof refers to a vinyl covering for an automobile's top. This covering was originally designed to give the appearance of a convertible to models with a fixed roof, but eventually it evolved into a styling statement in its own right. Vinyl roofs were most popular in the American market, and...

 cover, tow hitch
Tow hitch
A tow hitch is a device attached to the chassis of a vehicle for towing or a towbar to an aircraft nose gear, or paired main gears....

, and mud flaps. Registrations for AMC vehicles dropped after 1974. A total of 118 Hornets and 145 Matadors (118 sedans, 27 wagons) were sold during 1974. Registrations for 1975 were 136 Hornets and 118 Matadors (85 sedans 33 wagons). In 1976 there were 88 Matadors (78 sedans, 10 wagons), while 1977 saw just 24 Matador sedans and 3 wagons. Additionally, Matador coupe CKD kits arrived in late-1974, and the assembly of 80 cars began in 1976. One fully assembled AMC Pacer
AMC Pacer
The AMC Pacer is a two-door compact automobile produced in the United States by the American Motors Corporation between 1975 and 1980.Its initial design idea was started in 1971. The car's unusual rounded shape with massive glass area greatly contrasted with the three-box architecture with "square,...

 was imported for evaluation purposes.

American Motors cars were assembled in Port Melbourne by AMI up to 1978. The company retained a niche market
Niche market
A niche market is the subset of the market on which a specific product is focusing; therefore the market niche defines the specific product features aimed at satisfying specific market needs, as well as the price range, production quality and the demographics that is intended to impact...

 as the sole U.S. sourced cars available in the Australian marketplace. For example, the Government of New South Wales
Government of New South Wales
The form of the Government of New South Wales is prescribed in its Constitution, which dates from 1856, although it has been amended many times since then...

 selected the Rambler Rebel
AMC Rebel
The AMC Rebel is a mid-size car produced by American Motors Corporation from 1967 to 1970. It replaced the Rambler Classic. The Rebel was replaced by the similar AMC Matador for the 1971 model year...

 and the Matador as official vehicles in the 1970s.

Toyota and buyout

The first Toyota ever built outside Japan was assembled by AMI in April 1963, the Toyota Tiara. The AMI production of Toyotas expanded in the 1960s to also include the Crown, Corona, and Corolla assembled at AMI's Port Melbourne factory. Toyota Motor Corporation of Japan purchased 10% of outstanding AMI shares. As a fast growing company, took a controlling interest
Controlling interest
Controlling interest in a corporation means to have control of a large enough block of voting stock shares in a company such that no one stock holder or coalition of stock holders can successfully oppose a motion...

 in AMI in 1968 as a contract with the British Leyland ended. Toyota also purchased a 40% share in Thiess Holdings, an importer of light commercial vehicles, which it renamed Thiess Toyota.

Recognizing the majority owner of the company and the products that it manufactured and marketed, AMI renamed itself as AMI Toyota Ltd in 1985. The company continued to be listed on the Australian Stock Exchange
Australian Stock Exchange
The Australian Securities Exchange was created by the merger of the Australian Stock Exchange and the Sydney Futures Exchange in July 2006. It is the primary stock exchange group in Australia....

 with a minority
Minority interest
Minority interest in business is an accounting concept that refers to the portion of a subsidiary corporation's stock that is not owned by the parent corporation...

 Australian shareholding until 1987, when Toyota moved to acquire the shares held by the remaining shareholders.

The Japanese company then amalgamated the company with its other Australian operations in 1989 to form two arms. Toyota Motor Corporation Australia which was responsible for passenger vehicles and Toyota Motor Sales Australia which was responsible for both Toyota commercial vehicles and Hino trucks.

Toyota vehicle production was transferred from the historic Port Melbourne factory to the company’s new $420 million facility at Altona, Victoria
Altona, Victoria
Altona is a suburb in Melbourne, Victoria, Australia, 13 km south-west from Melbourne's central business district. Its Local Government Area is the City of Hobsons Bay. At the 2006 Census, Altona had a population of 9685....

 in 1994. In an interesting turn of operations, the Australian facility now exports CKD kits to assembly plants in Thailand
Thailand
Thailand , officially the Kingdom of Thailand , formerly known as Siam , is a country located at the centre of the Indochina peninsula and Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the...

, Malaysia, Indonesia
Indonesia
Indonesia , officially the Republic of Indonesia , is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 13,000 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an...

, Vietnam
Vietnam
Vietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...

, and the Philippines
Philippines
The Philippines , officially known as the Republic of the Philippines , is a country in Southeast Asia in the western Pacific Ocean. To its north across the Luzon Strait lies Taiwan. West across the South China Sea sits Vietnam...

.

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