Ford no longer guarantee 2016 end: Victoria MP

Ford have been unable to guarantee they will still be producing cars in Australia in 2016, an MP whose Victorian state electorate houses one of the company's factories says.

Broadmeadows MP Frank McGuire met with Ford management yesterday and says the situation there remains perilous.

He said the company told him they don't make cars to sit on the grass.

Ford announced on Thursday 300 employees would be made redundant as it cuts production amid poor sales figures.

The company has previously announced it will end manufacturing in Australia in 2016.

"It's all about sales and they can't actually give you a guarantee that they will still be producing cars in Australia by October 2016 which was their previous announcement," he told reporters.

"So that's devastating news for the people of Broadmeadows, the capital of Melbourne's north ... and also for Geelong as well."

Mr McGuire said there were also worries in the supply chain, because if a supplier went under it would impact their ability to produce cars in Australia.

Ford Australia director of communications Wes Sherwood said the company had been transparent with its employees and workers since last May that its intent was to manufacture vehicles through to October 2016.

"We are doing everything possible to meet that commitment," he said.

"We will always take a look at our operations and the market conditions and if there are major disruptions in our ability to produce then we may need to evaluate that plan.

"Our plan is to keep producing and importantly we're on track with the plan to launch the new Falcon and Territory later this year."

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