'Art of the steal': President Donald Trump’s tariffs spark local fix push, union calls for turbocharging of industry
US President Donald Trump is using trade tariffs to “steal” Australia’s domestic steel industry, union officials say.
US tariffs of 25 per cent on steel and aluminium have come into effect, after Australia failed to secure an exemption, straining ties with America.
The tariffs have prompted a union secretary representing workers from Australia’s largest steel manufacturer and supplier to call for Australia to bolster its domestic industry.
Sign up to The Nightly's newsletters.
Get the first look at the digital newspaper, curated daily stories and breaking headlines delivered to your inbox.
By continuing you agree to our Terms and Privacy Policy.The US president’s reasoning in imposing the steel tariffs was more than just financial, South Coast Labour Council secretary Arthur Rorris said.
“The principle motivation for Trump is not just to make money from Australian steel imports, the principle motivation is to steal our industry,” he told AAP.
“He knows that steel is such a foundational industry and if he moves on that and other companies and industries around the world, he increases and consolidates his power and weakens that of his competitors.”
Mr Rorris’s union includes workers from BlueScope’s Port Kembla Steelworks in the NSW Illawarra.
Australia sends about $800 million worth of steel to the US each year, but it only represents 0.2 per cent of exports.
The union secretary said the tariffs meant Australia had to back its domestic steelmaking industry further to counteract the moves from the Trump administration.
“While Trump is focusing on taxing steel, our job should be on buying it. If we do that, we secure a steel industry. If we don’t do that, then Trump wins,” he said.
“We have more than enough of a market here to use every last ounce of steel made at our steelworks, we actually have a domestic market big enough to absorb our steel production.”
While Australia secured a tariff exemption during Mr Trump’s first term in office, no exemptions were provided this time.
Prime Minister Anthony Albanese said the federal government would continue to press the case to the US for the tariffs to be removed.
“Such a decision by the Trump administration is entirely unjustified,” he told reporters in Sydney.
“This is against the spirit of our two nations’ enduring friendship.”
Reciprocal tariffs have been ruled out by the prime minister.
Mr Rorris said the steelmaking sector needed stability in response to threats from the Trump administration.
“If we want to save the furniture and save the steel industry from Trump’s clutches, what we need to do is provide something that Trump can’t, and that’s certainty over demand,” he said.
