Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Hansard source

I thank Senator Lundy for her question. In reporting their results for 2008-09, BlueScope and OneSteel have confirmed what those of us on this side of the chamber have known all along. They confirm that the world has been going through a period of what BlueScope calls quite unprecedented financial and economic turmoil. OneSteel explains that demand in prices for steel collapsed last November as the world was gripped by recession. This is a recession those opposite do not believe in. They point to the strength of the Australian economy and say, ‘We don’t need a stimulus strategy.’ They forget the economy is strong precisely because we have had a stimulus strategy, a strategy that is working. Australia is better placed than just about any other developed country to take advantage of recovery. That is also the message that we are getting from the steel industry. Demand for steel has risen each month since May. BlueScope CEO Paul O’Malley says the company is ‘increasingly positive’ about the domestic market. BlueScope is about to relight its No. 5 blast furnace at Port Kembla. OneSteel says it is encouraged by the Commonwealth’s action ‘to invest in infrastructure and boost residential and non-residential building activity’. It expects domestic demand to grow in line with improved economic conditions, greater confidence and the impact of government stimulus initiatives.

If only we could inject a bit more steel into the Liberal Party. If only we could get the Liberal Party to appreciate just how important these stimulus measures are. If only we could get the Liberal Party to actually believe in manufacturing. (Time expired)