The Federal Government is investing $55.4 million to shore up the supply of Australian steel to support renewable energy projects and the local Defence sector.

This investment covers funding for BlueScope Steel’s $217 million Advanced Steel Manufacturing Precinct around the Port Kembla steelworks, under the Collaboration Stream of the $1.3 billion Modern Manufacturing Initiative.

The precinct includes a new facility to produce plate steel for Defence armoured vehicles and patrol boats, as well as the type of steel used to create wind turbine towers and large-scale solar installations.

Reduce imports reliance

According to a statement by the Minister for Industry, Energy and Emissions Reduction Angus Taylor, this will reduce the need for overseas imports and secure our sovereign capability in steel fabrication.

Taylor said that the project will foster deeper collaboration with steel manufacturers by building on the existing relationship with the Steel Research Hub at the University of Wollongong.

This will result in more than 200 people being employed directly in steel manufacturing once the precinct is up and running, with about 1,000 more workers in adjacent industries.

Bolster domestic supply chains

Taylor said the enhanced capability at Port Kembla will bolster domestic supply chains, as well as increasing the downstream local manufacture of steel goods at home.

“This precinct represents an incredible win-win, not only increasing the local production of Aussie-made steel, but also helping build up our renewable energy and defence sectors,” Taylor said.

“The Port Kembla steelworks has a proud history. This precinct will help BlueScope thrive into the future and create more jobs in the region. The Government is determined to back our steel industry, the manufacturing sectors it helps drive and the local communities they represent.”