Today, our Managing Partners and Co-Founders Fraser Thompson and Shaun Chau spoke with RenewEconomy and shared our take on the federal government's recent announcement of almost $23 billion worth of initiatives under the "Future Made in Australia" Framework to spur domestic industry and accelerate the path to net zero. The piece outlines our 5️⃣ "non-negotiables" for the success of the Framework based on our research from past approaches on industrial activism: ⬇ Lesson 1️⃣ : Know thyself - effective industrial strategy has to be based on a clear understanding of the current and potential future comparative advantages of the country, not on a wish list of what we would like to be Lesson 2️⃣ : Move beyond subsidies - there are a range of options for intervention beyond subsidies, each which can apply at the national, regional and sector/value-chain level Lesson 3️⃣ : Don't just focus on manufacturing - manufacturing has a role in thoughtful industrial policy, but it makes up only 6% of jobs in the Australian economy, whereas services make up 80% Lesson 4️⃣ : Building local capabilities doesn't mean doing it all in-house - when Australia decides to pursue a capability locally, it may not mean it's just an Australian opportunity Lesson 5️⃣ : Put in place the right talent and processes to course correct - effective industrial strategy requires the best capabilities from business and government, and extensive people interchange between the public and private sectors Read the full piece at: https://lnkd.in/gVCeRCGQ Fraser Thompson Shaun Chau Ranya Alkadamani Kumbi Gutsa Michael Robinson Bridget Holloway
Fraser Thompson
6mo
thanks to RenewEconomy and Sophie Vorrath for publishing our thoughts. Keen to hear reactions
Director (Project Implementation) - Australia-Asia Energy at Hatch
6moInteresting perspectives Fraser and team. I think that one of the key challenges for Australian manufacturing is the size of the Australian market. Industrialisation of manufacturing needs scale to be globally competitive. A regional perspective which extends to our SE Asian neighbours on manufacturing initiatives and broader market opportunities would offer enormous potential...for Australia and our neighbours. Rather than compete with our neighbours, a focus on cooperation which draws on our respective natural capabilities and access to resources could lead to a regional manufacturing powerhouse.