Protect Australia from Protectionism!

There have been rising calls to make Australia ‘self-sufficient’, and to revive domestic industries. But protectionism is not the way to go about it. 

Frydenberg gave federal officials the ability to scrutinise and veto all foreign bids in Australia. Yet, China is still sniffing around Virgin Airlines considering bailing them out. This policy only gave government more leeway to get into the business of business.

Proposed tariff and subsidy hikes would take Australia back to economic dark ages. These kinds of policies prop up failing Australian industries until they are eventually priced out by high labour costs, high taxes, and excessive red tape. The companies that don’t move offshore will ultimately fail unless we improve Australia’s economic ecosystem.

If we want to revitalise domestic manufacturing and other industries, why don’t we start with deregulation, corporate tax cuts and industrial relations reform? Why does the price always have to be paid by the taxpayer?

Free trade is a cornerstone to Australian prosperity, and it will be pivotal to our economic recovery. Any move that risks Australia’s exports could destroy our already shaky economy. Trade contributes 43% to our GDP (World Bank 2018). It means we can access the best products at the cheapest prices. 

While there have been legitimate concerns about Australia’s overdependence on China for trade, the best way to mitigate this is to diversify Australia’s trading partners. Australia needs to lock down free-trade agreements with countries like Britain and India. Let’s work to become competitive globally. We live in a global world. While protectionism was never a wise move for a nation, instituting those policies now is like playing Russian Roulette with six bullets in the chamber.

Support liberal trade agreements and protect Australia from protectionism. Let your MP know you stand for freer more competitive Australia.