Federal government shouldn’t sacrifice renewable energy manufacturing for wine exports: Weld Australia

News that China will undertake an “expedited review” of trade sanctions on Australian wine has been welcomed by Weld Australia, but the group – citing an apparent end of anti-dumping tariffs on wind towers from China – says improved market access “cannot come at the cost of manufacturing”.

As reported by @AuManufacturing, the Chinese government will undertake a five-month review of wine tariffs up to 220 per cent imposed in 2020. This dried up a source of Australian exports previously worth $1 billion a year.

The tariff review followed the Australian Anti-Dumping Commission releasing a preliminary recommendation that tariffs up to 10.9 per cent on dumped Chinese wind towers not continue past a scheduled expiration date of April 16.

The moves come ahead of a planned visit by prime minister Anthony Albanese to Beijing from November 4 to 7.

Professional body Weld Australia said that the federal government has repeatedly cited the potential of renewable energy to boost manufacturing, and that “the success of Australia’s local wine industry cannot come at the cost of manufacturing.”

CEO Geoff Crittenden called the quality of Chinese wind towers dumped in Australia “extremely suspect” and called for the enforcement of both local content and standards.

“The Federal Government has confirmed that sovereign manufacturing capability is strategically important, and that Australia cannot continue to rely on overseas supply chains,” said Crittenden.

“And yet, suspending the tariffs on Chinese wind tower imports demonstrates just how heavily the Federal Government is willing to compromise.”

The group advised the use of local steel – at a minimum of 60 per cent by kilogram of steel for every wind tower erected in Australia – be mandated, and that every tower be “constructed, erected and inspected to local standards.”

Picture: credit Penfolds

Further reading

China moves to lift tariff on Australian wine

Renewable energy plans “will simply not be a reality” without industry and skills support: Weld Australia