Labor blocks Senate probe into Queensland metals industry crisis

Coalition senators have slammed Labor for blocking an urgent inquiry into Queensland's faltering metals industry, warning thousands of manufacturing jobs hang in the balance.

Queensland senator Susan McDonald

The Coalition has accused the federal government of having no plan to save Queensland manufacturing jobs after a push to probe the faltering metals industry failed.

A Senate inquiry to urgently determine how to save the vital sector and the thousands of jobs it provides was voted down on Monday after Nationals senators Matt Canavan and Susan McDonald were unable to convince Labor and the Greens.

Senator Canavan said the government had shown “no interest” in developing a plan to save the industry which was already on its’ knees.

“The people of North Queensland deserve to have their voices heard, but the government has voted today to gag them in a desperate attempt to hide their failing energy and manufacturing policies,” he said.

Senator McDonald said without the inquiry, Labor’s Future Made in Australia agenda would “remain a fantasy”.

“The workers and families of Mount Isa and Townsville deserve better than being treated like a political football by the government, who have sat on their hands and watched this crisis unfold,” she said.

“Australia has long been a trusted and reliable trading partner, and if this is to remain, our sovereign capability rests on copper being declared a critical mineral and the Mount Isa smelter remaining open.”

The Coalition had warned that without a thorough investigation and adopting a different approach, Australia’s industry would be left to crumble and the likes of China and Indonesia would fill the void.

Heavyweights including Glencore – who operate in Townsville and Mount Isa – as well as Nyrstar and Rio Tinto are seeking billions of dollars in government bailouts for smelters and refineries across the country.

The Coalition had argued that taxpayer prop-ups were not sustainable without a long-term industry viability plan, and wanted the inquiry to also investigate how the sector had gotten to the current state - including what role the “obstructive actions” of other countries had played.

Townsville Enterprise chief executive Claudia Brumme-Smith said it was “disappointing” the inquiry had been voted down when “smelters hang in the balance”.

“We need all levels and sides of government to help save manufacturing in Australia right now, or we risk handing our jobs and capabilities to foreign powers,” she said.