The End of Steel Manufacturing in Australia

Posted on : March 6, 2011

Shedeye previously printed Shed Prices to go sky High, it was clear that the steel manufacturing sector in Australia is under serious threat with the introduction of a Carbon tax on the industry.  Shedeye then showed the cold hard science behind the Steel shed industry and carbon.  Shedeye also proposed that rather than a tax, perhaps all ozzies with the room in their back yards should plant a gumtree!

Bluescope has responded to the threat by sending media releases to both the smh.com.au as reported Bluescope seeks exemption for manufacturing and www.theaustralian.com.au as reported Carbon tax plan threatens viability.

BlueScopes Steel managing director has stated

“The test has to be: can the price be passed through . . . if the price is not paid through, it is basically the end of steel manufacturing in Australia,”

and

“For emissions-intensive trade-exposed industries there should be no cost until our competitors face a cost and there certainly shouldn’t be a free ride for imports that sees manufacturers have to move their operations offshore and hide carbon in someone else’s backyard.

If the manufacturing sector does not get an exemption is the government going to impose tariffs on imported steel?  What a mess.

While BlueScope is in the business of making money and this involves lobbying and looking out for their own interests before all else, this is a clear case of the general public’s best interest.

The industry is threatened via big increases in shed prices, the disposable income of Australians is in serious trouble and even when the government starts to allocate the funds from the carbon tax (inefficiently and no doubt misappropriated), the damage may well have been done.

 

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2 Responses to “The End of Steel Manufacturing in Australia”

  1. Phil said...

    What sort of Independent Trade Associations or Federations do the shed (and Steel) industry have to lobby the government? This Carbon Tax looks bad for all manufacturers!

  2. Good Shed Seller said...

    Shedeye.

    So will imported steel have the same standards as BlueScope? What does the BCA or Australian Standards Association say about this tax? How will I know where my shed steel actually comes from? NOT HAPPY JAN!

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