Opposition Leader Tony Abbott has reiterated on Thursday his plans of pulling out some $500 million worth of subsidies committed by Prime Minister Julia Gillard to the Australian car industry if the Coalition assumes government power.

Mr Abbott, however, clarified that his stance is merely consistent with the policy of former Liberal Prime Minister John Howard, whose support of the country's car manufacturing industry, he claimed, has been the benchmark of its success.

"We thought the quantum of support for the car industry should be that committed by the Howard Government and that remains our policy," Mr stressed.

The Coalition stance on the matter is in line with his firm belief that Australian car manufacturers "were innovative, flexible and nimble and could compete with the best in the world and beat them," the Opposition leader asserted.

While it may look that Ms Gillard has been fully supportive of the domestic car industry, Mr Abbott reminded Australians that her general policy would force car manufacturers to pay at least $400 per unit assembled once the carbon tax takes effect.

On top of that, Mr Abbott insisted that the Labor-led government actually withheld some $1.4 billion worth of support that it previously promised to Australian car makers.

mr Abbott's declarations came as Ford Australia and the federal government, in coordination with the Victorian state government, finalised their agreement on ensuring that Ford will continue rolling out Falcon and Territory models from its Geelong and Broadmeadows facilities.

The deal requires the two governments to extend assistance of up to $103 million to Ford, $34 million of which will be financed by the federal government, which should convince the carmaker to stay in the area until 2016.

Also, the Coalition declaration was scored by Manufacturing Minister Kim Carr, stressing that Mr Abbott's statement only proved that "the Opposition leader does not support the car industry."

Clearly, Mr Carr added, Mr Abbott is clueless that his would-be actions would result to thousands of workers in the car industry losing their jobs.

Another MP, Darren Cheeseman of Corangamite, blasted the Opposition leader for still espousing an ill-advised policy.

"An Abbott-led government would see assistance to the automotive sector cut, putting huge risk to the future viability of Ford in Australia and in Geelong," Mr Cheeseman said.

"Ford is hugely critical to the Geelong community and all politicians in this region must commit to supporting the automotive sector and keeping Ford in Geelong," the MP added.