Weld Australia is calling for urgent government action to safeguard Australia's manufacturing sector, with a stark warning about the rising use of non-compliant imported products and fabricated steel.
Geoff Crittenden, CEO of Weld Australia, said the issue highlights three pressing national priorities: enforcing compliance with international quality standards, implementing mandatory inspections of imports, and introducing enforceable local content requirements in government procurement.
"Right now, we have local manufacturers losing work simply because they can't compete with low-cost imports that are not held to the same quality standards," said Crittenden. "This isn't just a commercial issue—it's a matter of national safety and sovereign capability."
"In the last 18 months alone, an estimated $282.9 million worth of fabricated steel, or 62,866 tonnes, has been imported into Sydney from overseas. That's hundreds of millions of dollars flowing offshore—undermining Australia's local manufacturing industry, costing valuable Australian jobs, and having a huge impact on our economy," said Crittenden. "In real terms, $282.9 million worth of fabricated steel equates to 12 months' worth of work for 400 full-time welders, or approximately 16 mid-sized local Australian fabrication businesses."
This issue extends to imported fabricated products. A recent recall of low quality imported heat pumps reveal systemic failures. Independent lab testing has confirmed dangerously low carbon content in the steel used in some imported models – up to 90% lower than equivalent Australian-made units. When installed, these products have imploded, toppled risking the ignition of flammable gas. Others have simply failed outright in months rather than years. Every household in Australia has a water heater. These are pressure vessels. If they explode, the consequences can be deadly.
"Australia has a proud local manufacturer of water heaters in Dux, a regional manufacturer with over 110 years of history and a proven track record," said Crittenden. "But despite this capability, low quality imported heat pumps with substandard components are being installed in Australian homes under generous government rebate schemes—without any minimum performance standards. The risks associated with this are not hypothetical. We've already seen heat pumps implode during operation and topple. This is not just a consumer issue—it is a public safety issue."
"This is a textbook example of what's wrong with the current system," said Crittenden. "When local manufacturers with a proven track record of excellence lose out to low-cost overseas suppliers, it erodes confidence, jobs and safety. Worse, there's no requirement to inspect imports upon arrival."
"To remain competitive, local manufacturers are being forced to lower their prices to remain afloat, despite the fact they are supplying higher quality products that adhere to safety standards. This directly impacts their profit margins. The reduced pricing power limits their ability to invest in new technology, staff training, and other growth initiatives," said Crittenden.
Weld Australia is calling on all tiers of government to:
- Mandate the application of international quality and safety standards on imports like fabricated steel and products such as water heaters.
- Introduce compulsory inspections of imports like fabricated steel (prior to erection) and products such as water heaters to ensure compliance.
- Mandate enforceable local content requirements in all publicly funded projects and rebate schemes.
"This isn't about shutting out the world," said Crittenden. "It's about holding every supplier—local or overseas—to the same safety and quality standards. Anything less is a risk to both industry and public safety."
Weld Australia's position is supported by local manufacturers like Dux, who have invested heavily in compliance and certification, only to see work offshored with little regard for quality, cost to taxpayers, or national industry development.
"We cannot afford to continue undermining our own industry," concluded Crittenden. "We must act now to protect local capability, national safety and the future of Australian manufacturing."
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