The idea that Australia could import steel for defence purposes in wartime has been branded as “delusional” in a union submission to a senate inquiry.
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The Australian Manufacturing Workers Union (AMWU), which represents workers at the Port Kembla steelworks, lodged a submission to the Senate inquiry into the future of the Australian steel industry.
The submission highlighted the strategic importance of a domestic steel industry to supply defence needs during a war.
“The loss of these capabilities would likely remove any ability of Australia to withstand a significant and sustained conflict and at best it would mean the rushed re-establishment of a domestic steel industry at massive cost and at a time when resource constraints would be much tighter than during times of peace,” the submission stated.
“To assume Australia can maintain access to steel imports through a major conflict is extremely dangerous at best and most likely delusional.”
It stated that Australia’s location would make it difficult to rely on imported steel.
“For an island nation, serious conflict is likely to mean a breakdown in access to the international trading system and in particular the possible and even likely closure of international trade routes,” it stated.
“Indeed, defence commentators point to East Asian trade routes, the very trade routes that supply Australia, as a likely location of possible future conflict.”
It stated that, to ignore this issue was “a gross abrogation of government’s most basic responsibility”.
The AMWU felt it was time to treat the steel industry as a national economic issue, rather than a regional one.
“Simply continuing down this road of neglect places our prosperity and security at risk,” it said.
“It is time for the government to take its economic and security responsibility seriously with respect to this vital industry and provide the leadership needed to develop and implement a genuine steel industry plan.”