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Dáil Éireann debate -
Wednesday, 10 Feb 1971

Vol. 251 No. 7

Ceisteanna—Questions. Oral Answers. - Vehicle Assembly Firm Closure.

42.

asked the Minister for Industry and Commerce if he will make a statement on the closure of a car and vehicle assembly firm, bearing in mind the special arrangements made at the time of the Anglo-Irish Free Trade Agreement for this industry and the requests for special arrangements made at the time of Ireland's application for accession to the EEC.

I would refer the Deputy to the answer, which I gave to a similar question last Thursday. I would like to emphasise that the considerations which led to this firm's decision to cease assembly related to its own operations and do not apply to the Irish motor assembly industry as a whole.

The case submitted to the EEC for the retention of the special arrangements under which the Irish assembly industry has been operating since 1967, is designed to ensure continued assembly here on a long-term basis.

Does the Minister not agree that at the time special arrangements were made and there was an implicit undertaking that there would not be closures here? We made things extremely easy for motor car manufacturers and assemblers from Britain to come here and assemble on the basis that there would not be any such closures but notwithstanding all we did there is, in fact, a closure. Does the Minister not feel it incorrect and improper for the industry as a whole not to have kept to this?

The Deputy's interpretation of the agreement is not quite correct.

It is not too far away.

There was an arrangement whereby the level of assembly in this country was to be maintained.

Now the situation is such that the level of assembly has not alone been maintained but at the present time it is higher than the level of assembly at the time the arrangement was made. If you like, it is across the board. This question of the closing down of a particular car assembly outfit does not mean that there will be a falling off in assembly because it is tied up, if you like, with an amalgamation where the assembly will be maintained. In fact, it is hoped that the assembly will be increased in that particular sector. There has not been a falling off in assembly. It is being maintained.

Is it not a fact that the managing director of this firm said it was Government taxation that closed it down and he is an ex-Fianna Fáil Deputy?

Is there any reality at all in talking about the EEC in relation to this matter? The EEC is just a mirage.

That does not arise on these questions.

The EEC was not responsible for closing this down. There is no point in bringing in that red herring.

What about the Anglo-Irish Free Trade Area Agreement?

They are selling out the country.

The remaining questions will appear on tomorrow's Order Paper.

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