Transcript - Interview with Sally Sara, Radio National, ABC

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

Transcript

Interview with Sally Sara, ABC Radio National, ABC

21 July 2025

Topics: Metals manufacturing, U.S. tariffs, Australia-China relationship, Australia-United States relationship, Commencement of 48th Parliament, Liberal Party rebuild, the Coalition, Labor’s higher taxes

E&OE

HOST: Joining me now is Alex Hawke, the Shadow Minister for Industry and Innovation and the Manager of Opposition Business in the House of Representatives. Alex Hawke, welcome back to Radio National Breakfast. 

HAWKE: Good morning, Sally. 

HOST: We saw Australia's four big iron producers take part in a steel decarbonisation roundtable during the PM's visit to China. Where does the Coalition stand on the pursuit of green steel manufacturing when the country we export iron ore to great quantities is looking at decarbonisation? 

HAWKE: Well, it's an important issue. It's good to see that we're negotiating with China about these things, but our concern is more about our ability of our own industry to be able to manufacture steel here in Australia at a cost-effective price. We have a very high cost environment in Australia. Producing steel is very difficult. We have some of the best quality steel in the world. In fact, as we know famously, the US is even threatened by our imports into the United States, quite a significant amount of steel going into the US that we all learnt from the tariff issue. And so the decarbonisation process is important as a trade discussion, but the bigger discussion is onshore manufacturing and how the government is using its funds, a lot of money in those funds, to be able to protect our industries to make sure they can compete. We need this sovereign capability. We need steel manufacturing here. 

HOST: Would the Coalition support government assistance for iron exporters if it's needed to maintain market share or is it just up to the mining companies to advocate here? 

HAWKE: Well, we've come to the point where the cost structure is so high in Australia and the government's loaded up so much regulation and cost onto businesses that it's very difficult for them. And so, you know, subsidies is one attempt to say, you know, ‘we're trying to save you’ - why don't we lower the cost structure in Australia? And we should do more to lower the cost structure for many manufacturing businesses. And there's a lot of work that is not done, especially by Labor governments in this space. And we think a lot more can be done. When you get your Future Made in Australia funds and your National Reconstruction funds as well, we want to see what is the value that we're getting for the many, billions of dollars that the taxpayer is investing there. Surely those billions of dollars should be securing our sovereign capability, including in iron and steel and copper and aluminium and all these essential heavy manufacturing industries. 

HOST: Do you believe that Australia and China can continue to have strong economic ties despite the government's vocal concerns over military build-up? 

Well, of course, we have a strong trading relationship with China and has been going for some time now, and we want to continue that, obviously. And I think those two conversations can be held separately. What's more important, of course, is, you know, the government's focused on China since the election, but it's now been about 258 days since the election of the new government in the United States and the new president. And, you know, that is our most important economic relationship still, always has been. And I would posit that it's always going to be our most important economic and cultural and military relationship with the United States. So we're still mystified. I was listening to Mark Butler there talking about the problems of the PBS. Well, we do need to be talking to the US right now. We need to be in the conversations. And that's mystifying why the government is still not engaging with the Trump administration. 

HOST: Do you think Australia's relationship with China has matured? 

HAWKE: No, I think it was good that the government reset it in the last, when Prime Minister Albanese comes and goes. There's many diplomatic challenges with different governments and different prime ministers. Prime Minister Albanese, to his credit, reset the trade relationship. It was an important thing to do. We can't be naive about modern China. We have to be, I think, very eyes wide open, even during the election campaign. Many Australians saw, you know, we had ships sailing around our coast, you know, very provocative, very difficult for a lot of Australians felt very, very concerned about that. So we do have to keep a very sharp eye on our relationship and what we're actually saying to China. 

HOST: You're listening to Radio National Breakfast and you're hearing from the Shadow Minister for Industry and Innovation, Alex Hawke. As the Manager of Opposition Business in the House of Reps, as this new parliament will get underway tomorrow, what tone do you hope to set, especially during question time? 

HAWKE: Well, obviously, we have a very important role in our democratic system. And, you know, regardless of our reduced numbers and the lessons we have to take from the election, which are serious ones, we still have a very important job to do. And that function is to keep the government on track. I think most Australians would say since the election, you know, the government has been hopefully preparing an agenda. We want to see that agenda. We want to understand where we can be constructive about that. But of course, if they're going to do things like raise taxes that they didn't talk about before the election or punish businesses or restrict the economy further, then our role is to hold the government to account on that. 

HOST: The Coalition had a temporary split after the election. Are you confident that the partnership is solid now? 

HAWKE: Rock solid. We made up over that. I think issues were resolved pretty quickly, actually, and they were important issues, and I understand the National's view on that. But, look, we’re actually working very closely together. 

HOST: And what are the immediate policy priorities for the coalition, given that you still have reviews underway into policy and the federal election result? 

HAWKE: Well, we are reviewing our policies and we have to listen very carefully to people who told us directly they didn't like a number of our policies and a number of the things that we took to the election. But immediately we see the economy as our top priority. You can see the unions are off the leash even today in every national newspaper across the country calling for further restrictions on businesses, calling for all kinds of productivity harming measures like reducing work hours. The Labor Party is talking about increasing taxes. I mean, these measures will further reduce productivity and mean the government will have less money and revenue because record insolvencies are coming at us. We're very concerned about that. So we'll have a very sharp economic focus. And I think you'll see from Sussan Ley her very minded economic freedom and economic prosperity, I think are very key topics for the Liberal Party.

ENDS