PAUL CULLIVER, HOST: All right. Do you think there's ever a good time to introduce tariffs on what Australia imports? Well, the Anti-Dumping Commission has proposed a duty of 36.9% on imported Chinese train wheels. Now you might say, Paul, what's Newcastle got to do with the price of train wheels in China? And that's a fair question, but as you know, we make a bunch of steel-making products here—Molycop, of course, still operational, and they would be concerned about the price of train wheels in China. So, does this approach work? Tim Ayres is the Federal Minister for Industry and Innovation and joins you on the line. Minister, good morning to you.

SENATOR TIM AYRES, MINISTER FOR INDUSTRY AND INNOVATION AND MINISTER FOR SCIENCE: Hey Paul. Good to be on the show.

HOST. So, does this tariff work? Will we do this?

AYRES: Well, there's still a process to undergo here, but this is quite distinct from a tariff regime, and I just want to explain to your listeners just for a second what this all means. Tariff measures the government doesn't support. We're a middle-sized economy, we trade with the world, one out of four private sector jobs are based upon trade. This measure by the Anti-Dumping Commission is a part of their process that may well end up subject to the evidence and the processes in applying a trade remedies duty in a very specific way on a specific set of goods in the event that there is a finding that there are unfair trade practises or subsidies that are outside of the rules. This is a rules-based process. It's in place because it means that Australians and Australian firms and Australian workers need to be on a level playing field in order to compete. That's why we've strengthened the anti-dumping regime and we've made it tougher, more fit for purpose. We'll be introducing those reforms over the course of this year because we're operating in a volatile global trading environment where not everybody plays by the rules.

HOST: Okay, just to be clear about that then, is it up to the Federal Government to decide to implement this duty?

AYRES: Well, there's a process. The Anti-Dumping Commission makes findings. We're well and truly in the process. I just want to emphasise the independence of that process, and then recommendations are made to the government. The reason I emphasise the independence of that process is because it's important that it's evidence-based. I'm very aware of the position that Molycop, for example, find themselves in.

HOST: Okay.

AYRES: And I know how important fair trade and a level playing field is for the job security of workers at Molycop and many other blue collar jobs in the Hunter Valley. This is the government with the biggest pro-manufacturing package of measures in Australian history. Part of that is making sure our anti-dumping and trade remedies regime is fit for purpose and back in Australian industry.

HOST: Okay, so can you explain what is it about Chinese train wheels being imported into Australia at the moment that is unfair?

AYRES: Well, I don't want to go into the specifics of this because the Anti-Dumping Commissioner is engaged directly in that evidence-based process. When that comes to me, I will go through the proper processes to determine the outcome. I don't want to prejudge that on your program or anywhere else.

HOST: Okay.

AYRES: But what I will say, we see around the world less adherence to the rules. Subsidies occurring in some markets and while we are committed to Australia playing by the rules, we want to make sure, this government, make sure that we're backing manufacturing jobs and manufacturing workers. I'm here at Capral Aluminium in Western Sydney today launching Australian Made backed by a $20 million campaign—

HOST: I was going to ask you about that, Minister. I definitely was going to ask you about that, but I just want to stay on this for a second if I can.

AYRES: Of course.

HOST: Just so that we can understand this issue. So, if the Anti-Dumping Commission is proposing this duty of 36.9% on Chinese train wheels, of particular interest to Newcastle-based Molycop. Just to understand this, if that duty was implemented, the idea, and you can correct me if this is the right understanding or not, the idea is that duty would effectively put Chinese train wheels and Australian made train wheels on an even footing, basically make it a fairer marketplace. That would be the aim of doing that.

AYRES: Can I step outside of the train wheels just and just make an example. The point of these measures is to level the playing field.

HOST: Yeah. Okay.

AYRES: The point of these measures is to assess, in any case, whatever the manufactured good is, what the impact of, for example, an unfair set of subsidies or some other trade measure is and make sure we level up so that Australian industry is competing on a level playing field.

HOST: Gotcha. All right, I'm glad. I just, I really want to make sure that we understood that. I understand there is a process going on but if we have the broad picture of, and I think we do have that.

AYRES: That’s exactly how it should be understood. It's not a sort of one-off tariff measure introduced by a government. It is a specific process that is based upon the evidence to make an assessment. It's within the global trade rules. It's a balanced and fair process. But we're making sure that the architecture here, the Anti-Dumping Commission, the Productivity Commission, we're bringing all of the bits of the trade remedies regime together under the Anti-Dumping Commission, and that will require legislation, but that will mean we have a more modern, agile, fit for purpose anti-dumping regime that'll be more fast moving and more effective for Australian businesses and Australian workers.

HOST: Tim Ayres is your guest this morning, Federal Minister for Industry and Innovation, of course, Labor Party Senator for NSW as well. Minister, you jumped the gun a little bit there. So, I know you're very excited to talk about Made in Australia.

AYRES: I am.

HOST: I'm guessing it's no surprise. This is about three, four days out from Australia Day. What are you going to do to make sure Australians buy Australian?

AYRES: Well, this was a measure that Anthony Albanese announced in response to, as part of a package of measures that were in response to, very shortly after the US administration announced its tariffs imposed around the world. Those measures are a recognition that Australia is operating in a very different volatile global trading environment. And there's a long series of measures there. But one of them was a $20 million campaign backing Australian Made called Made Right Here. That is backing blue collar jobs in Australian factories and encouraging households to buy Australian. And the impact of that is enormous for industrial regions. Now, for every additional $10 that Australian households spend in aggregate, that produces 10,000 jobs, $5 billion worth of additional economic activity. So, we're a government that's putting our shoulder behind the wheel for Australian manufacturing, but we're saying to Australians too, we can all contribute. Back Australian, buy Australian, it's in the national interest, and you get good quality goods in the process as well.

HOST: Ok, so just to be clear about this and to maybe distil it, the idea is, Australians already have an innate sense of wanting to buy Australian; it's just about making sure that we know when we are or not?

AYRES: It's a reminder. It's a high-quality campaign saying to Australians when you're in the supermarket and you're looking at tinned tomatoes, have a look to see which ones are made in Australia by Australian cannery workers in Shepparton in Victoria, for example. And you can see the logo. Just check. If you get an opportunity when you're building your home, ask the builder. This plant that I'm in at the moment, this factory in Western Sydney makes aluminium extrusions that mostly go into window frames and door frames. Just ask the question. Everybody can make a contribution. It’s high-quality work. It backs Australian jobs, makes our economy stronger and more resilient in an environment where, yep, the government's absolutely, we've got our hand up with the biggest pro-manufacturing package in our history. But we want Australian families and Australian firms to do the same.

HOST: Minister, can I guarantee to you my cupboard stocked with only Australian-made tomatoes.

AYRES: That's absolutely terrific. I'm very pleased. You'll have to make me a tomato sauce one day.

HOST: Maybe I'll share a recipe. Minister, thanks for your time today. I appreciate it.

AYRES: Good on you, Paul.

HOST: The Federal Minister for Industry and Innovation. From Chinese train wheels to tin tomatoes. Who knew that a political interview could have such a wide range.