The US administration’s potential implementation of a uniform 25 per cent tariff on all steel and aluminium imports has sparked concern among Australian industry leaders.

Tania Constable, CEO of the Minerals Council of Australia, warns that such a move could have significant implications for Australian producers.

Constable emphasised the critical role of steel and aluminium in various sectors, including defence, technology, and advanced manufacturing supply chains.

She highlighted the particular importance of aluminium production in securing minerals like gallium and germanium, which are essential for modern technologies.

“These proposed tariffs set a concerning precedent,” Constable stated.

“Action is needed now to ensure that trade restrictions do not expand to critical minerals and other resources that are vital to Australia’s economic future and global supply chains.”

The Minerals Council of Australia is working closely with the Department of Foreign Affairs and Trade and Australian agencies in Washington to assess the risks and implications of these potential tariffs.

Constable raised concerns about Australia’s readiness to face these global changes, pointing out that while competitors are cutting costs and attracting investment, the Australian industry is burdened by policies that hinder investment, expansion, and competitiveness.

“If we don’t fix this, we risk losing the very industries that keep our economy strong,” Constable warned.

She stressed the importance of Australia’s long-standing role as a reliable supplier of these materials to the world, particularly noting the strong trade and defence relationship with the United States.

Constable called for decisive government action to secure the future of key industries.

“Governments can’t control global trade, but they can control how competitive we are,” she said.

“That means removing barriers to investment, keeping costs down, and ensuring Australia remains an attractive place to do business.”

The proposed tariffs, set to take effect on March 12, 2025, if implemented, would end all country exemptions and raise aluminium tariffs from 10 per cent to 25 per cent.

This move has prompted calls for a reevaluation of Australia’s industrial policies to ensure the nation’s competitiveness in an increasingly volatile global trade environment.