A.C.N. 004 410 833 LIMITED (ASX:ARI) - Ann: 2015 - AGM Presentation & Address, 16433301, page-27 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum

Originally posted by gttrain ↑

You have to wonder why the Government don't offer more help for this "basic Industry" as eluded to by the CEO in his address.........

"It is crucial for the viability and sustainability of the Steelworks that we identify at least another $40 million of annualised savings – this remains a key objective for us. We have been working hard on what we can control to maintain our competitiveness in this challenging environment, but there is also a role for Government in helping address certain external factors.

In Steel, significant global overcapacity and oversupply has led to dumping becoming a global problem. Exports from China alone are now over 100Mtpa, and this, combined with record low steel prices is leading to significant global market distortions.

Governments in many countries are now intervening to support their domestic steel industries in recognition of the vital role they play in economic health and growth. Now more than ever, Australia needs to have a globally competitive anti-dumping system. We have seen improvements in recent years, but more is needed, and it is needed now. We are currently working with the Government to help achieve this. For the system to be competitive globally, it needs to have greater rigor and robustness, and be able to respond quickly to competitive developments.

Another area where we believe Government has a key role is the use of local supply in large construction projects, particularly Government funded infrastructure. The local industry is well positioned to compete and supply these projects. In addition to providing broader economic benefits, local supply provides advantages of service, flexibility and quality that can significantly reduce project risk and budget overruns."

If a war ever started Australia would be up "the creek " without a paddle without a steel industry and manufacturing capabilities.

Expand

And this also..........

There is a solid pipeline of large construction projects that have been announced, and it is vital that both the Federal and State governments provide leadership to ensure the local steel supply chain is provided with full, fair and reasonable opportunities. We have already seen some positive action from the Victorian and South Australian government to achieve this, but we need to see urgent action from the NSW Government, particularly given its strong pipeline of new projects. The Federal Government also has a key leadership role to play, particularly given it is funding a substantial proportion of the infrastructure pipeline.