AUSSIE INDUSTRY WON’T GET TO DO HEAVY LIFTING

$26 million crane contract to go offshore

On 29 June the Prime Minister, Minister for Defence, Minister for Defence Industry and Minister for Finance stood up at Osborne and jointly proclaimed that Australia’s Future Frigates “will be built in Australia, by Australians, using Australian steel." Unfortunately, at exactly the same time, background arrangements were being made for the cranes that will be used to construct the ships to be built in China.

”Despite an Australian crane designer-builder tendering to fit out the Future Frigate shipyard at Osborne, the job appears set to be awarded to Finnish company, Konecranes,” said Centre Alliance Senator Rex Patrick. "It is my understanding that Kronecranes will have these cranes built in China, by Chinese worker, using non-Australian steel".

Eilbeck Cranes is a fourth generation Australian company employing 220 Aussies in six factories spread across the country. The company offered to supply the cranes, built in Australia to Australian standards using local steel, for 23.5 million dollars. Instead Kronecranes will be awarded a 26 million dollar contract to do the work overseas.

“It’s disgraceful,” said Rex. "Minister Pyne has a lot of explaining to do. He has just exported $26 million Australian taxpayer dollars to profit European shareholders, employ Chinese workers and support foreign steel makers".

"It looks like Australian companies won't be doing the heavy lifting in this program," said Rex. "Meanwhile Mr Pyne seems keen to switch titles from 'Minister for Defence Industry' to 'Minister for Foreign Industry'."