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Trumped: $9B to US and UK shipyards … but why not make Australia make again?

The Government is shy on spending money on a steel works which they would have complete control over, in terms of success, but are happy to recklessly throw money at US shipyards.

Senator David Shoebridge: “The AUKUS submarine deal is a non-refundable $368 billion gamble on the goodwill of some future US President, and the US just elected Donald Trump. You only need to put these two facts side by side to realize what a disaster the whole thing is.”

by Rex Patrick | Nov 16, 2024,  https://michaelwest.com.au/aukus-9b-to-us-and-uk-shipyards-but-wait-theres-more/

Make Australia Make Again?

The future of Whyalla’s steelworks is of vital national importance and should matter to all of us. It is critical to Australia’s manufacturing, construction and national security and resilience. 

Being frank, the steelworks are in dire straits. They are 60 years old and have been on a rocky road for well over a decade. Its blast furnace has been out of action for over six months now, and whilst there is some optimism that they will get it back up and running it will not change the fact that the steelworks have been in operation for some six decades.

In 2016 when the previous owner, Arrium, went into administration with $4 billion in debts, UK billionaire Sanjeev Gupta’s GFG Alliance bought the steelworks making lots of big promises for a bright future, but it was not to be. At the turn of the decade Greensill Capital, GFG’s financier, collapsed and there’s been trouble ever since.

As it stands, the future of the steelworks, and Whyalla, is in the hands of a court entangled foreign billionaire with a gaping chasm between his promises and delivery. Those promises of a 21st century industrial transformation look very much like ever receding mirages.

The Federal Government needs to have the SA Government bring matters to a head by putting GFG’s South Australian operations into administration (by calling for unpaid and overdue mining royalties), taking an equity stake in the steelworks alongside someone like BlueScope Steel, and investing the necessary billions to build a new green steel industry for Australia. 

It would be a part of Make Australia Make Again.

Make America Great Again!

Prime Minister Albanese’s focus is on investment in US industry, not Australian industry.

In September 2023 the Federal Government announced it was pouring $4.7 billion ($US3B) into the US submarine industrial base to assist the largest economy in the world get their submarine production rate up to 2.3 subs per annum (from the current rate of 1.4 subs).

Some $1.5 billion will be paid to the US this financial year, and $1.8 billion next financial year. The remaining $1.4B will follow thereafter.

The Government is shy on spending money on a steel works which they would have complete control over, in terms of success, but are happy to recklessly throw money at US shipyards.

Go figure!

Make Great Britain Great Again Too!

That’s not the end of the story though.

The British are in on this deal of a lifetime too. They’ve managed to pull $4.4B (£2.4 billion) over the next decade from Australian consolidated revenue.

There is no clawback on payment to the United Kingdom either.

Everyone must be feeling pretty chuffed in Groton, Connecticut, and Barrow-in-Furness, England.

But Wait, There’s More!

Whilst the Federal Government has been open about the totals, albeit with a little ‘encouragement’ from Green’s Senator David Shoebridge at Senate Estimates, there’s a dark secret being withheld from the Parliament and the public.

There’s more ‘shared’ cost to come.

FOI returns from the US Department of the Navy reveal that behind the scenes the three AUKUS government participants have been negotiating trilateral cost sharing principles to guide future cost sharing negotiations.

Whilst the Federal Government has been open about the totals, albeit with a little ‘encouragement’ from Green’s Senator David Shoebridge at Senate Estimates, there’s a dark secret being withheld from the Parliament and the public.

There’s more ‘shared’ cost to come.

FOI returns from the US Department of the Navy reveal that behind the scenes the three AUKUS government participants have been negotiating trilateral cost sharing principles to guide future cost sharing negotiations.

Senator David Shoebridge backed this in telling MWM, “Why on earth do cost-sharing principles need to be secret? Of course they should be made public.”

He went on to comment, “Once again, we get more transparency on AUKUS out of the US than Australia.“

“The one-sided secrecy is because the US has a whole lot less to be embarrassed about than Australia. They are the ones getting all our money after all.”

Transactional Trump

Transactional Trump

The approved appropriations in the US for enhancing their submarine industrial base through upgrades as well as recruitment and training of thousands of additional workers amount to $US14.7B. Australia adds another $US3B to that. But the total the US administration is seeking for this work is in the order of $US28.4B.

Of course, there is some quid quo pro in all of this with the Australia Government having committed to spending $8 billion upgrading HMAS Stirling near Rockingham to support the operations of UK and US nuclear powered submarines from 2027, and possibly Australian nuclear submarines from 2035.

There is a danger under the incoming Trump administration that the President will seek a greater contribution from Australia – just as he has demanded that members of NATO pull their weight. And it will be a case of having no choice but to pay, no matter the cost sharing principles negotiated, because our Defence Department simply has no Plan B.

Senator Shoebridge commented, “The AUKUS submarine deal is a non-refundable $368 billion gamble on the goodwill of some future US President, and the US just elected Donald Trump. You only need to put these two facts side by side to realize what a disaster the whole thing is.”

Ships and Steel

Meanwhile, as Australian money is being tossed around the US and UK like it’s free, Albanese is sitting on his hand on the issue of green steel manufacturing in Whyalla.

Anthony Albanese says he wants to revitalise manufacturing and Make Australia Make Again. But in this topsy-turvey world, he’s instead working to deliver on Donald Trump’s slogan to Make America Great Again.

November 16, 2024 Posted by Christina Macpherson | AUSTRALIA, politics international | Leave a comment

Australia US Alliance: Is It Time to Rethink Our Loyalty?

November 10, 2024, by: The AIM Network, By Denis Hay

Australia US alliance has costs. Learn how this impacts Australians and how reallocated funds could benefit citizens.

Introduction

Australia and the United States have been strategic allies for over seventy years. This Australia US alliance, often celebrated with the phrase “old allies and true friends,” is rooted in shared history and mutual defence agreements like the ANZUS Treaty.

However, many Australians are now questioning if the costs of this alliance—both in terms of military and economic impact—outweigh the benefits. This article explores the consequences of Australia’s allegiance to the U.S., the human costs of U.S. interventions, and how Australia’s financial resources might better serve its citizens’ social well-being.

1. The Costly Legacy of the Australia-U.S. Alliance

– Historical Overview: Australia US alliance began formally with the ANZUS Treaty in 1951. Through wars in Korea, Vietnam, Iraq, and Afghanistan, Australia has stood beside the U.S., incurring both financial costs and human losses.

– Casualty Estimates: The human toll of this alliance is staggering. The wars led by the U.S. have resulted in estimated casualties of over 200,000 American troops, 60,000 Australian troops, and millions of civilians globally. For instance, the Iraq War alone caused around 500,000 civilian deaths and displaced over 3 million people.

– The Refugee Crisis: The consequence of U.S.-led wars has been a refugee crisis affecting countless lives. Countries like Syria, Iraq, and Afghanistan have seen millions of citizens fleeing war zones, often with little support from Western nations. Australia’s involvement in these wars contributes to a moral responsibility for the refugee influx, yet the country struggles to support displaced persons adequately.

2. The Social Cost of Alliance-Bound Military Spending

– Military Expenditures at the Cost of Social Welfare: Australia’s defence budget has increased significantly, with estimates of $48.7 billion given in 2023. Much of this spending is tied to keeping military readiness to support the U.S. in conflicts. These funds could otherwise enhance healthcare, education, and housing for Australians.

Military funding without public transparency.

– Impact on Public Services: Redirecting even a part of the defence budget could fund initiatives like universal healthcare, improved mental health services, and housing for the homeless. For example, just 10% of the current defence budget could support building 10,000 public housing units annually or fund a significant expansion of mental health services for underserved communities.

– Consequences of Refugee and Displacement Crises: Australia’s participation in U.S.-led interventions indirectly contributes to refugee crises that strain social services and humanitarian aid. Public sentiment on immigration has also been affected, often creating divisive views within Australian society about who should be supported and who is viewed as a “burden.”

3. A Call for a More Independent and Socially Conscious Foreign Policy

Australia’s alliance with the United States has provided strategic support over the decades, yet many argue that it is time for Australia to pursue a foreign policy that is more reflective of its own interests, values, and the well-being of its citizens.

Despite growing public interest in a more independent, socially conscious approach, Australian governments have hesitated to diverge significantly from U.S.-aligned policies. This reluctance may stem from multiple factors:

1. Fear of Political and Economic Repercussions:
– Australian policymakers often cite strategic security concerns as a reason for adhering closely to U.S. foreign policy, fearing that any independence might jeopardize Australia’s access to American intelligence, technology, and defence resources.

– Economically, a close alliance with the U.S. bolsters trade relations and provides access to powerful American markets. For some politicians, the potential economic fallout of alienating a significant trading and security partner outweighs the call for a more independent stance.

2. Lack of Political Courage and Vision:

– Some critics argue that the Australian government lacks the courage to challenge established norms or take bold steps toward an independent foreign policy. This lack of vision may stem from a longstanding alignment with U.S. interests that has become entrenched in Australia’s political and diplomatic culture.

– Breaking away from such a powerful ally requires a willingness to redefine national priorities, a path that requires courage, strategic foresight, and often a willingness to face criticism from powerful interest groups invested in maintaining the alliance.

3. Disconnect from Public Opinion:
– Surveys show that Australians increasingly favour a more balanced, socially conscious approach to foreign policy, especially as they see the domestic impact of military spending and U.S.-influenced policies. However, successive Australian governments have often ignored this sentiment, raising questions about whether the government genuinely prioritizes the public’s voice in its decisions…………………………..

4. Influence of External Powers and Lobbying:
– Australian foreign policy decisions are also influenced by lobbying from powerful industries, including defence contractors and political think tanks with ties to the U.S. These entities often push for policies that favour a strong alliance with the U.S., as it aligns with their economic and strategic interests.

– The cumulative effect of these influences can stymie efforts for a more independent policy path, effectively sidelining the public’s desire for a foreign policy that prioritizes social well-being and peaceful diplomacy.

In summary, Australia’s reluctance to adopt a more independent, socially conscious foreign policy is a combination of economic dependency, political caution, and a systemic disconnect from the will of the people.

For Australia to shift toward a foreign policy that truly serves its citizens, it would require not only a realignment of political priorities but also a renewed commitment to placing the public’s interests and values at the heart of its foreign relations.

1. The Historical Basis of Australia-U.S. Relations and Its Human Cost……………………………………………….

2. Australia’s Position on U.S. Leaders and Policies

– Unquestioned Loyalty: Australian leaders often affirm support for U.S. presidents and foreign policies without critical evaluation. This approach reflects a hesitancy to challenge U.S. decisions even when they conflict with Australia’s best interests.

– Impact on Australian Sovereignty: The uncritical acceptance of Australia US alliance policies can undermine Australia’s autonomy. For example, Australia’s alignment with U.S. policies on China has strained trade relationships, affecting vital economic sectors like agriculture, tourism, and education. The result is a compromise of national interests to support a symbolic “alliance.”

3. U.S. Military Interventions, Global Casualties, and the Refugee Crisis

– Scope of U.S.-Led Wars: The U.S. has been involved in conflicts worldwide, from the Middle East to Latin America and beyond, often resulting in widespread devastation. These conflicts have had lasting impacts, including millions of civilian deaths and widespread destruction.

– The Refugee Crisis and Australia’s Responsibility: Australia’s support for U.S. interventions creates a moral obligation to help refugees from war-torn countries. However, current refugee policies fall short, leaving many displaced people without adequate support or protection. Accepting more refugees from conflict zones would reflect Australia’s commitment to international human rights and fulfill part of its alliance-driven responsibility.

4. Australia’s Role as a Supporting Partner and Its Consequences

– Participation in Conflicts and Reputational Impact: Australia’s involvement in U.S. wars affects its international reputation, often casting the country as a secondary player rather than an independent, neutral voice in global politics. This alignment can make Australia appear complicit in conflicts driven by U.S. interests, compromising its image as a peaceful nation.

– Economic and Social Impact on Australians: By aligning with U.S. defence priorities, Australia diverts significant public money to defence spending, reducing resources for vital services. Citizens bear the costs through reduced access to affordable healthcare, housing shortages, and an underfunded education system. The pressure to conform to U.S. policies, especially in the Indo-Pacific, risks escalating regional tensions that could directly affect Australians.

5. The Opportunity Cost: How Reallocating Military Spending Could Benefit Australians……………………………………………………………..

Rethinking Australia’s Foreign Policy Approach for the Future

As global dynamics shift, Australia faces a critical juncture in deciding how to position itself on the world stage. A key element of this decision lies in its relationship with China, a rapidly growing economic and political power in the Indo-Pacific region.

While the Australia US alliance has historically shaped much of Australia’s foreign policy, the rise of China presents an opportunity for Australia to pursue a balanced, independent approach that prioritizes regional stability and mutual benefit.

1. China’s Role as Australia’s Major Trading Partner:……………………………………….

2. Promoting Regional Stability and Security:
– As a dominant power in the Indo-Pacific, China’s influence on regional security is substantial. Building a constructive, diplomatic relationship with China could position Australia as a mediator and stabilizer within the region, promoting dialogue over conflict.

– With rising tensions between the U.S. and China, Australia has a unique opportunity to champion a foreign policy that values peace, cooperation, and shared interests, rather than one that escalates division. This approach would reduce the risk of Australia being drawn into potential conflicts that do not serve its national interests.

3. Economic and Diplomatic Benefits of Non-Alignment:………………………….

4. Preparing for a Multipolar World:
– The global power landscape is shifting from U.S.-led dominance to a multipolar world where countries like China, India, and emerging economies play a larger role. For Australia, recognizing and adapting to this reality is crucial for staying relevant and resilient in the international arena…………………………….

Conclusion

Australia US alliance has served strategic purposes in the past, but as global dynamics shift, it’s vital to reassess whether the benefits of this alliance outweigh the costs. The loss of lives, the displacement of millions, and the diversion of public money from critical social services highlight the urgent need for a foreign policy that prioritizes Australia’s long-term interests and humanitarian values.

By adopting a more independent stance, Australia could enhance the social well-being of its citizens and contribute to a more peaceful, stable global community. https://theaimn.com/australia-us-alliance-is-it-time-to-rethink-our-loyalty/

November 12, 2024 Posted by Christina Macpherson | AUSTRALIA, politics international | Leave a comment