Teys Australia, which employs 4500 staff across Australia, says the tax is a massive burden on manufacturers trying to compete in a global market.
Teys general manager corporate affairs Tom Maguire said removing the carbon tax was a key plank of the Abbott Government’s election commitment and new senators should not be holding Australia to ransom with political power-plays.
“It’s quite clear that manufacturers are closing down across the country, due in part to unnecessary costs and charges on business,” Mr Maguire said.
“While eliminating the carbon tax is only scratching the surface of what needs to be done, it’s an important first step and will stimulate business investment.”
Mr Maguire said the real cost of the carbon tax should not be underestimated.
“Countries we compete against do not have this burden, so there is a direct link between this tax and becoming more competitive.”
Teys Australia has plants in regional centres including Rockhampton, Wagga, Tamworth, Biloela and Naracoorte, and believes that regional manufacturing in particular must be promoted as part of an overall reform agenda.
“Extra costs and burdens like the carbon tax are one part of the need; but opening new markets and a reform of the industrial relations system are also vital to international competitiveness,” Mr Maguire said.
“If we don’t make the right moves politically, regional centres will lose the economic benefits and jobs that local manufacturing brings.”
The new Senate will commence on July 1, and already the Palmer United Party has hinted that it will refuse to back the carbon tax repeal.
“Business needs certainty, and the new senators need to realise that it’s not a game. Investment and jobs rely on their decisions. The carbon tax must be repealed,” Mr Maguire said.