Holden: Hatch sure to catch on

Cruze is securing great success in the New Zealand and Australian markets. Photo / Supplied

Holden has begun production of the all-new Cruze hatchback ahead of its launch in Australia this month and New Zealand in January.

The five-door joins the assembly line in Adelaide alongside the Cruze sedan, which has been in production since March this year.

Holden chairman and managing director Mike Devereux said the shift to producing the smaller Cruze sedan and hatch range alongside the Commodore was a sign of the times.

"As global economic conditions changed, we set ourselves a clear goal to be profitable first and foremost on our domestic business," he said.

"This means building in Australia the large and small cars that our customers really want to drive.

"This strategy is seeing dividends with Cruze securing great success in the New Zealand and Australian markets."

Holden received A$149 million ($195 million) from the Australian Government's now-defunct Green Car Innovation Fund and a further A$30 million from the state government to produce the Cruze in South Australia.

Cruze programme engineering manager Peter Siablis said the hatch had been specifically engineered for Australian and New Zealand driving conditions.

"We clocked up a further 140,000km testing the new Cruze hatch on our roads which helped us develop a number of enhancements for the hatch that we've also applied to the model year 2012 Cruze sedan," Siablis said.

"When customers get behind the wheel early next year, we think they'll feel the suspension changes we've made which improve steering response, ride quality and add a sense of refinement to the overall driving experience."

Holden also said these adjustments would apply to model year 2012 Cruze sedans. Powertrains in the hatchback will also mirror the sedan line-up, with two petrol engines (1.8-litre and 1.4-litre turbo) and one diesel (2.0-litre turbo) option.

Earlier this month, the Australian New Car Assessment Programme (ANCAP) awarded the hatch the same five-star safety rating as its sedan sibling without crash testing it, after it was deemed it to be the same in all critical structural and safety aspects as the four-door model.

At present, the Cruze is the second best-selling vehicle in Australia's small-car segment year-to-date, despite not having a hatch in its stable.

Industry records show that the small Holden holds a 14.9 per cent segment share, placing it behind the recently facelifted Mazda3 sedan and hatch range on 18.1 per cent.