Media release - Kick in the guts: Labor blocks Senate inquiry into metals manufacturing

The Hon Alex Hawke
Shadow Minister for Industry and Innovation
Manager of Opposition Business in the House

Senator Susan McDonald
Shadow Minister for Resources
Shadow Minister for Northern Australia
Senator for Queensland

Andrew Willcox
Shadow Assistant Minister for Manufacturing and Sovereign Capability

Phil Thompson OAM MP
Shadow Assistant Minister for Defence
Shadow Assistant Minister for the National Disability Insurance Scheme
Federal Member for Herbert

Senator the Hon Matt Canavan
Senator for Queensland

 

MEDIA RELEASE

28 July 2025

KICK IN THE GUTS: LABOR BLOCKS SENATE INQUIRY INTO METALS MANUFACTURING 

The Albanese Labor Government has today used their numbers in Parliament to arrogantly block a Senate inquiry into Australia’s metals manufacturing industry.

The motion to establish the inquiry, moved by Senators Susan McDonald and Matt Canavan, was voted down without the government providing any explanation for the extraordinary move.

The draft terms of reference for the inquiry would have seen Senators probe the current and future health of Australia’s metals manufacturing industry, with a focus on the impact of energy costs, technological change, industrial relation regimes, workforce challenges and the broader regulatory environment.

Labor’s decision to block the inquiry is in the face of the looming closure of several metals processing facilities across Australia, including Glencore’s Mount Isa and Townsville facilities and Nystar’s smelter in Hobart.

The shuttering of these facilities would mean mass job losses and undermine Australia’s sovereign capabilities. 

The Minister for Industry and Innovation, Senator Tim Ayres, has recently declared that the closure of the Mount Isa facility would be a “very significant economic problem”, and that the government viewed Nyrstar’s situation as “urgent.”

It remains to be seen whether the billions of taxpayer funds pumped into Labor’s Future Made in Australia, Northern Australia Infrastructure Facility, Critical Minerals Facility or National Reconstruction Fund programs will be tapped to save these facilities and help them transition.

The workers of these facilities, their families, and the thousands of other Australians who stand to be impacted by the closure of Australia’s metals manufacturing centres deserve certainty.

Comments attributable to Alex Hawke MP, Shadow Minister for Industry and Innovation

Labor’s decision to prevent an inquiry into the health of Australia’s vital metals manufacturing industry is pure politics designed to help the government avoid scrutiny of rising energy costs and a rigid regulatory environment.

Comments attributable to Senator Susan McDonald, Shadow Minister for Resources and Shadow Minister for Northern Australia

It is clear that Labor's Future Made in Australia agenda remains a fantasy.

The workers and families of Mt Isa deserve better than being treated like a political football by the Albanese Labor Government, who have sat on their hands and watched this crisis unfold.

Australia has long been a trusted and reliable trading partner, and if this is to remain, our sovereign capability rests on copper being declared a critical mineral, and our smelting capacity remaining onshore.

Comments attributable to Andrew Willcox MP, Shadow Assistant Minister for Manufacturing and Sovereign Capability

While the decision by Labor and the Greens to block this Inquiry into the health of Australia’s Metal Manufacturing and Industry is disappointing, it is hardly surprising.  

The Albanese Government talks a big game with their so called “Future Made in Australia” policy but really it is all fluff and no substance.

If Labor really cared to back our Manufacturing Industry they would’ve backed this Inquiry.

Comments attributable to Phil Thompson OAM MP, Shadow Assistant Minister for Defence, Shadow Assistant Minister for the National Disability Insurance Scheme, Member for Herbert

Townsville was devastated with the closure of Yabulu, which saw our city’s economy destroyed,  more importantly, families lost jobs, and people had to leave town.

Many of my constituents can’t put food on the table, and now, with Glencore, I am terrified that we’re going to be in the same position. We must see action from the federal government.

There must be a long-term plan to fix the health of manufacturing, but for the immediate future, action is required before more livelihoods are ruined. 

Comments attributable to Senator Matt Canavan

The Labor Party have today shown their true colours: they are no longer the party of the worker.

They have teamed up with the Greens to silence the voices of North Queensland smelter and refinery workers at risk of losing their jobs under Labor's power price crisis.

For too long, this Labor Government has taken a Pollyanna approach with deluded claims that hydrogen and green steel promise a bright future for Australian manufacturing jobs when in truth we risk de-industrialisation. Today’s stunt shows that they are happy to watch our key industries move offshore.

ENDS

BACKGROUND

The motion moved by Senators Canavan and McDonald:

To move—That the following matter be referred to the Economics References Committee for inquiry and report by the last sitting day in 2025:

The current health and future of the Australian metals manufacturing industry including the alumina, aluminium, lead, zinc, copper and nickel industries, with reference to:

  • the impact of increasing energy costs, technological change, industrial relation regimes, workforce challenges and the broader regulatory environment;
  • distortions in global supply chains that impact the viability of Australian metals manufacturing;
  • the cost of metals manufacturing businesses meeting climate change targets;
  • the viability of government interventions to sustain Australian metals manufacturing;
  • the potential for energy investments to help reduce costs for Australian metals manufacturing;
  • the viability of further public–private partnerships;
  • the impact on regions, our national security and economy if metals manufacturing declines in Australia; 
  • and any other related matter