Today, there are over 75 companies certified by Weld Australia as compliant with the international standard for welding quality.
throughout the manufacturing and installation phases. There is no reason why State Governments couldn’t do the same for assets like trams and ferries – they just need to award the contracts to local suppliers.
A global comparison Let’s compare Australia to the rest of the world. Manufacturing makes up about 16 per cent of the workforce in Germany, Japan, and Switzerland. Canada, whose economy otherwise is similar to ours, has 1.7 million manufacturing workers, compared to our 1 million. In Israel and Sweden, with far smaller populations, advanced manufacturing is thriving. South Korea—the 5th largest export economy in the world and the 6th most complex economy according to the Economic Complexity Index (ECI)—had a positive trade balance of $124 billion in 2017. In comparison, Australia lags behind as the 20th largest export economy in the world and, embarrassingly, the 59th most complex economy. In 2017, Australia had a positive trade balance of just $44 billion—just a third of that of South Korea’s. It is a matter of national pride to buy South Korean-made goods, from trams and ferries, right through to cars and telephones. Imports and sales of products such as German-made cars and iPhones are some of the lowest manmonthly.com.au
in the world in South Korea. Why? Because every element of Government and the South Korean people work together to support their local manufacturing industry. There is a real cultural and governmental focus on growing and protecting their local economy and developing their own strengths.
The impact of COVID-19 The Federal Government pledged $320 billion, representing 16.4% of annual GDP, to economic stimulus packages designed to bolster the economy in the wake of the COVID-19 pandemic. If Australia is ever going to re-pay the $320 billion stimulus package, we need to invest in our economy. To secure the future of Australian manufacturing and re-pay the debt that COVID-19 will leave in its wake, we need determined action from our governments, industry leaders, and the general public to put Australia first. We need to foster a sense of social responsibility. We need a commitment from our governments to increase levels of local content for all procurement decisions. We need to bring home the manufacture of goods like trams and ferries. There really is no reason for our governments not to onshore this manufacturing work – Australian manufacturers are ready, willing and more than capable. Manufacturers’ Monthly FEBRUARY 2022 7
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