Warrnambool's Callaghan Motors expands showroom to house Chinese and US car brands

Callaghan Motors' Steve Callaghan said in a time of economic uncertainty his vision for the longer-term was to offer more for south-west farmers and people towing heavy trailers.

The new space will extend the showroom on the dealership's Rooneys Road side and stock Chinese-brand LDV and US-headquartered Ram Trucks.

"It's about mixing the product and the brand with the local market," Mr Callaghan said.

"That 4x4 ute market, which RAM and LDV have, is important to be able to serve the south-west community."

It will employ a further three people in a workforce already reaching about 60 and add to the growing Raglan Parade site that the dealership moved into in 2017.

"We are investing in the building which will create a local opportunity for builders and tradies," Mr Callaghan said.

The LDV vehicles include utes, four-wheel drives, people movers and vans, which Mr Callaghan said would compete with mainstream brands in the city's second-hand market.

"We chose LDV because it isn't in Warrnambool, it's a growth opportunity. If you look where they are sold elsewhere it's around two hours away," he said.

"I don't think it will take away from our Mitsubishi Triton or Mercedes X-Class or the other dealers in town."

He said the utes also had a "mega tub" that could help farmers carry "two normal sized motorbikes with the tail gate up".

But it's also the south-west caravan, fishing and equine industries Mr Callaghan is betting Ram Trucks will appeal to.

"They can tow four-and-half tonne," he said. "People around here have boats, if you look at the horse riding industry, it's good for that. The caravan market is also looking positive with no overseas travel."

With the loss of iconic Aussie badge Holden earlier this year Mr Callaghan said he was also now looking at options to replace it.

"There will be something else to replace Holden in the long term," he said.

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To Mr Callaghan a move to sell Chinese and US brands is about "diversifying" and "broadening the risk" in a changing car market.

"This is not about setting up now, but the future," he said.

"I have two Japanese brands, a German brand, and from a portfolio of risk it makes sense to have a Chinese brand to manage exchange rates and trends."

But he said his vision was also about south-west buyers having choice.

"Why do local people have to travel two hours to get a good product? Let's shop locally and employ local people."

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