Industrial communities hold their breath to see if Australia can negotiate an exemption for the steel and aluminum rates of US President Donald Trump.
While Mr Trump signed rates without exception of 25 percent, confirmation that he is considering gives Australia a pass, causes hope among employees who are dependent on the industries for their livelihood.
But in his proclamation that signed the rates on March 12, Mr Trump accused Australia of abusing a verbal dedication to voluntarily limit his aluminum export to a reasonable level. “
This refers to an informal deal for an aluminum exportcap, supposedly agreed by Mr Turnbull's successor in 2019, of which the Australian government has no written record.
After a phone call with Mr. Albanese on Tuesday, Mr. Trump said that he would give Australia's case for an exemption 'Great consideration', and added that it was one of the few countries with which the US runs a trade surplus.
It leaves Australia with just one month to convince his American counterparts to exempt the exporters of the country, similar to that in 2018 when Malcolm Turnbull was prime minister.
Mr. Trump Peter Navarro's commercial adviser told CNN that Australia killed the aluminum market of America 'by import.
But treasurer Jim Chalmers wiped the accusation and said that the government was aimed at what is before, not what happened almost ten years ago.
Industrial communities hold their breath to see if Australia can negotiate an exemption from the 25 percent steel and aluminum rates
“No doubt that colleagues will try to get to the bottom what is being said here,” said Dr. Chalmers at ABC Radio.
“We are focused on this productive and positive conversation that Prime Minister Albanese had with President Trump as part of our efforts to stand up for a really important industry in this country.”
In Portland, on the southwest coast of Victoria, the local aluminum smelterie directly employs around 600 employees and just as many contractors in a city of 10,000.
“The importance of the smelter for us, for the local economy, is just huge,” Glenelg Shire mayor Karen Stephens told AAP.
“This throws that key in the making and gives that uncertainty.”
The Australia aluminum and steel industry supports more than 175,000 jobs and contributes $ 47 billion to the national economy every year.
Bluescope is the only Australian steel producer with substantial export to the US, according to the Australian Steel Institute.
However, fear that other countries will dump cheaper products in Australia can have a major impact on the entire local sector.
Treasurer Jim Chalmers has taken accusations from Trump's trade consultant that Australia 'kills' the aluminum market of America by his import
Actu President Michele O'Neil (Left) says she is worried about the impact of rates on wages and conditions on very competent employees
Communities in the Georgetown area of ​​Noord -Tasmania are probably more exposed to the tariff threat than most, according to Mayor Greg Keizer.
Two smelters in Bell Bay, which are used in steel aluminum and manganese, are the two largest companies in the council area.
“It is clear that the person we are most concerned about would be direct employment,” Mr. Keizer told AAP.
He estimates that 30 percent of the smelters lives in his church of 7500 people and believe that most frightened Australia can get an exemption as in the first term of Mr Trump.
The small rural community was familiar with driving on the swings and roundabouts of the world markets.
“We have been on the road earlier, even though this has a different appearance and feeling,” said Mr. Keizer.
ACTU president Michele O'Neil is concerned about the impact on wages and conditions of highly skilled employees who have been to the same companies for generations.
“They also support the economy of these regions importantly,” she said.
Mr. Trump called Mr. Albanese a 'very nice man' during their phone call on Tuesday and said that the trade surplus of Australia with the United States brought the country into a good position
“So there is a stream on effect to other contractors, other companies that depend on the manufacturers of steel and aluminum.”
The direct and indirect effects can be unclear until the rates have been implemented, said Business Hunter Chief Executive Bob Hawes.
The Peak Business Group in NSW's Hunter Region is the home base of the largest aluminum smeldery in Australia in Tomago.
“So a lot of uncertainty is a consequence, which is not good for things or governments,” Mr. Hawes told AAP.
There may even be positives for certain product suppliers, depending on how trading partners responded to Mr. Trump's rates, Mr Hawes said.
“We just have to continue with it, and hopefully won't suffer many of our companies as a result.”
