SYDNEY (AP) — Ford Motor Co. said Thursday it was closing its two Australian auto plants and ending production in the country in 2016, amid soaring manufacturing costs and plummeting sales.

The closure of the U.S. automaker’s plants in the state of Victoria will mean the loss of 1,200 jobs and will transform the company into an import-only brand in Australia. Ford began making cars in Australia in 1925 and is the third largest auto manufacturer in the country.