Victoria decimates local steel sector – Weld Australia

Welding sector peak body Weld Australia has called for immediate action against the offshoring of Victorian government infrastructure projects in favour of ‘cheap, unsafe imported steel'.

Weld Australia, which represents thousands of local welders and fabricators, said Victoria's actions had already decimated the local steel manufacturing industry, costing jobs, investment, and threatening the sovereign capability of Australia’s manufacturing sector.

In the past six to 12 months, Victorian industry has seen massive increase in the volume of imported fabricated steel – according to a statement evidence suggests that since the beginning of the year, over 28,000 tonnes of steel has been offshored.

The North East Link freeway project is an example of the issue – it was recently revealed that the Bullen Flyovers, consisting of 11,000 tonnes of steel bridges and girders, were awarded to an overseas fabricator.

The CEO of Weld Australia Geoff Crittenden said: “Despite earlier reassurances made by the Victorian Government to Weld Australia members, these contracts were awarded to a Chinese company that is banned from operating in the US to meet project timelines that allegedly could not be met by a single local fabricator.

“Weld Australia finds this rationale deeply concerning because it is simply untrue.”

Crittenden said that over the course of past two to three years, the Victorian Government had worked with local industry and disseminated supplier briefings that outlined a massive influx of work, calling for local fabricators to reserve capacity for 2025.

“Our members have repeatedly told us that they have actively scheduled this project work into their targeting and forward forecasts.

“As a result, local manufacturers have not pursued work on other projects, or in other industries.

“Now, the Victorian Government has done a backflip, sending the bulk of the work straight offshore.

“How can local industry expect to operate with any kind of surety if their own government can’t stay true to its word? Our local industry is being held to ransom by duplicitous politicians?”

Weld Australia said the situation raised serious questions about adherence to the Victorian Government’s own Local Jobs First Policy. The policy requires ‘maximisation' of local steel content without a clear percentage requirement.

“The public should be concerned for their safety.

“How can an imported fabricated steel structure meet the quality compliance requirements imposed by the Victorian Department of Transport and Planning?

“According to the Department’s own specifications, fabricators must be AS/NZS 5131 Certified to CC3 for such structures, yet it remains unclear if overseas fabricators meet any kind of quality standards—let alone these stringent standards.”

Picture: Victoria's Big Build/North East Link