Southern Hemisphere Proving Grounds' international vehicle and tyre testing facility, on the Pisa Range, has automotive clients booked throughout the winter season and remains fully staffed, despite the woes of the global car industry and New Zealand's recession.
Southern Hemisphere Proving Grounds (SHPG) had suffered only a slight downturn - four clients - compared with winter last year, and between late June and early September had 30 manufacturer bookings, SHPG managing director Tom Elworthy said when contacted this week.
"They [auto manufacturers] are, after all, in the business of making cars. We are at full strength, compared to last year, but there have been a couple of cancellations and some scaling back," Mr Elworthy said.
The highly secretive proving ground caters for the world's premier vehicle and tyre manufacturers, offering northern hemisphere clients an off-season winter facility for testing new products on a variety of icy, snow-covered race tracks and road surfaces.
Most of the manufacturers will this year spend between a week and three weeks at the testing facility, attended by about 50 staff, including seven full-time employees.
The debt-ridden United States motor industry is in a state of flux, and Japanese manufacturers have posted their largest losses in more than a decade, however car, tyre and parts testing remains a big-budget requirement.
"A lot of companies have put testing on hold. But there are new emissions rules coming in," Mr Elworthy said, meaning testing must go ahead at some time.
Mr Elworthy said some two-year negotiations had recently come to fruition, with five-year contracts signed with some clients.
Only maintenance was carried out at the testing grounds during the past off-season, and some small capital expenditure projects were "put on hold", but Mr Elworthy was confident those projects would be undertaken "sooner rather than later".
Founded in 1991 by Cardrona Valley farmer and entrepreneur John Lee, the testing ground was sold in 2005 to the Christchurch-based SHPG, reportedly for more than $20 million. It has since been upgraded and its snow-making facilities increased.
In 2008, SHPG purchased the Snow Farm lodge from Mr Lee.
