Manufacturing in Australia

Who is Online

Details: Written by: Richard_McKie; Parent Category: Economy; Category: Markets; Published: 31 August 2011; Hits: 35572

Article Index

Page 1 of 6

This article was written in August 2011 after a career of many years concerned with Business Development in New South Wales Australia. I've not replaced it because, while the detailed economic parameters have changed, the underlying economic arguments remain the same (and it was a lot of work that I don't wish to repeat) for example:

between Oct 2010 and April 2013 the Australian dollar exceeded the value of the US dollar and that was seriously impacting local manufacturing, particularly exporters;
as a result, in November 2011, the RBA (Reserve Bank of Australia) reduced the cash rate (%) from 4.75 to 4.5 and a month later to 4.25; yet
the dollar stayed stubbornly high until 2015, mainly due to a favourable balance of trade in commodities and to Australia's attraction to foreign investors following the Global Financial Crisis, that Australia had largely avoided.

2011 introduction:

Manufacturing viability is back in the news.

The loss of manufacturing jobs in the steel industry has been a rallying point for unions and employers' groups. The trigger was the announcement of the closure of the No 6 blast furnace at the BlueScope plant at Port Kembla. This furnace is well into its present campaign and would have eventually required a very costly reline to keep operating. The company says the loss of export sales does not justify its continued operation. The remaining No 5 blast furnace underwent a major reline in 2009. The immediate impact of the closure will be a halving of iron production; and correspondingly of downstream steel manufacture. BlueScope will also close the aging strip-rolling facility at Western Port in Victoria, originally designed to meet the automotive demand in Victoria and South Australia.

800 jobs will go at Port Kembla, 200 at Western Port and another 400 from local contractors. The other Australian steelmaker OneSteel has also recently announced a workforce reduction of 400 jobs.

This announcement has reignited the 20th Century free trade versus protectionist economic and political debate. Labor backbenchers and the Greens want a Parliamentary enquiry. The Prime Minister (Julia Gillard) reportedly initially agreed, then, perhaps smelling trouble, demurred. No doubt 'Sir Humphrey' lurks not far back in the shadows.

So what has and hasn't changed (disregarding a world pandemic presently raging)?

No comments

Travel

Taiwan

In May 2015 four of us, Craig and Sonia Wendy and I, bought a package deal: eleven days in Taiwan and Hong Kong - Wendy and I added two nights in China at the end. We had previously travelled together with Craig and Sonia in China; Russia, India and South America and this seemed like a good place to do it again and to learn more about the region.

Taiwan is one of the Four Asian Tigers, along with Korea, Singapore and Hong Kong, achieving the fastest economic growth on the Planet during the past half century. Trying to understand that success was of equal interest with any ‘new sights’ we might encounter.

Fiction, Recollections & News

Reminiscing about the 50’s

This article was written in 2012 and already some of the changes noted have changed.
For example, in the decade that followed, 'same sex' marriage became legal. And sadly, several of those friends and relations I've mentioned, including my brother, died.
No doubt, in another decade, there will be yet more change.

Elsewhere on this site, in the article Cars, Radios, TV and other Pastimes, I've talked about aspects of my childhood in semi-rural Thornleigh on the outskirts of Sydney, Australia. I've mentioned various aspects of school and things we did as kids.

A great many things have changed. I’ve already described how the population grew exponentially. Motor vehicles finally replaced the horse in everyday life. We moved from imperial measurements and currency to decimal currency and metric measures. The nation gained its self-confidence particularly in the arts and culture. I’ve talked about the later war in Vietnam and Australia embracing of Asia in place of Europe.

Here are some more reminiscences about that world that has gone forever.

Opinions and Philosophy

Overthrow and the 'Arab Spring'

Back in April 2007 I was in Washington DC and wandered into a bookshop for a coffee. On display was Stephen Kinzer's National Best Seller: Overthrow: America's Century of Regime Change from Hawaii to Iraq. So I bought it to read, before bed and on the plane.

It is a heavily researched and work; very well described by the New York Times as: "A detailed passionate and convincing book... with the pace and grip of a good thriller." And like a good thriller it was hard to put down. I can recommend it.

Terms of Use

Terms of Use Copyright

Who is Online

Markets