Aluminium jobs under threat in tariff war

NORTH and central Queensland, already struggling with high unemployment, could be dealt another blow if US President Donald Trump’s aluminium tariffs go ahead.

More than 8000 jobs in Queensland are dependent on the aluminium and bauxite industry, including in mines in Weipa to smelters in Gladstone, and could be impacted in a global trade war.

Australia is not expected to be exempt from the proposed 10 per cent tariff on aluminium and 25 per cent on steel Mr Trump has indicated he will impose this week.

While the US buys about $ 127 million of Australian aluminium each year, industry sources fear the US’s major suppliers will flood markets.

Boyne Smelters at Gladstone, which employs about 1000 people, cut jobs last year because of high power prices.

Flynn MP Ken O’Dowd said that he was concerned there would be more employment “trouble” for the port city if the tariffs went ahead, depending on its exposure to the US market.

“The tariffs are aimed at China, but hit in the crossfire hurt,” he said.

“We’ve already had a hit with electricity prices, we don’t need another hit with a tariff.”

Rio Tinto reminded the US that Australian aluminium was an “integral part” of US defence industrial bases and said it would continue to underscore these benefits.

Resources Minister Matt Canavan, speaking from Toronto, said he was concerned by the issue and the Government was examining what the precise impact might be.

Prime Minister Malcolm Turnbull brought up the tariffs with Mr Trump in Washington last month and when they spoke in Hamburg last year.

Trade Minister Steve Ciobo is engaging with his US counterpart but said he was waiting for “more clarity to see how we will be affected”. probably if we get we’ll be