Federal government commits $750 million to boost metals manufacturing innovation

The Albanese government announced $750 million in funding to support the development of new technologies for Australia’s metals manufacturing sector, according to a joint media release on Friday.

The investment aims to help metals manufacturers remain globally competitive while reducing emissions and is part of the $1.7 billion Future Made in Australia Innovation Fund announced in the 2024/25 Budget.

Prime Minister Anthony Albanese said the funding would support Australian manufacturing capabilities.

“We want to see more Australian workers make more things here,” he said. “That’s why we are allocating funding to back our local metals manufacturers to seize the opportunities of the future.”

The funding will support development of cutting-edge technologies, as well as pilot and demonstration projects aimed at lowering emissions, improving productivity and revitalising plant and equipment.

Minister for Industry and Science Ed Husic said the initiative aimed to maintain Australia’s position in metals manufacturing.

“Jobs up and emissions down, that’s our goal and investing in our world-class Australian made metals know-how is helping make that happen,” he said.

According to the government, the investment could help unlock commercial-scale production of green metals using Australian ores and renewable resources, potentially creating more trade opportunities and jobs.

Husic noted that demand for green metals is expected to account for a third of the global metals market in coming years.

“For a century, metal-making has been the spine of Australian industry, and this investment is there so it continues to underpin our economic and national security resilience for decades to come,” he said.

Minister for Climate Change and Energy Chris Bowen criticised the opposition’s approach to emissions reduction, claiming the Coalition’s nuclear energy proposal would force Australian industry to shut down.

“Helping some of Australia’s largest industrial emitters, like alumina refining, capture the benefits of a global clean energy economy, cut fuel bills and remain competitive is at the centre of a Future Made in Australia,” he said.

Funding will be administered through the Australian Renewable Energy Agency (ARENA).

The government said the latest investment brings total support for the Australian metals industry to more than $5 billion, which includes initiatives such as Green Aluminium Production Credits, the Green Iron Investment Fund, and investments in clean energy technology manufacturing.

Picture: credit GFG Alliance