Whyalla Steelworks gets a funding boost

The Australian and South Australian Governments have announced a further funding commitment to the Whyalla Steelworks, with $275 million to continue operation as it transitions to new ownership.

The federal government says the funding will enable Administrator KordaMentha to maintain safe operations, pay wages and suppliers, and undertake critical works to strengthen the steelworks’ position as a viable long-term asset for a new owner.

The Whyalla Steelworks is one of South Australia’s most strategically important employers and a key part of Australia’s sovereign manufacturing capability. The additional funding follows the formal opening of the sale process on 24 June 2025, marking a crucial next step in securing a sustainable future for the steelworks and the region.

“The funding announcement will give certainty to the thousands of people in Whyalla and surrounding communities connected with the steelworks,” said Minister for Industry and Innovation and Minister for Science Tim Ayres. “Impressive progress has been made at the Whyalla Steelworks over recent months, and I recognise the dedicated workforce for engaging with the challenge and hard work of turning it around.

“The governments’ significant intervention has stabilised the steelworks while keeping workers in jobs and keeping this critical Australian steelmaking asset running while the most suitable owner is found.

“The commitment to securing the most suitable owner will safeguard Australia’s future steelmaking capability, ensuring Australia has the steelmaking capability it needs for the future.”

“This is another vote of confidence in delivering a long-term sovereign steelmaking capability for our country,” said Premier of South Australia Peter Malinauskas. “We took decisive action to place the steelworks in administration and, together with the Commonwealth, have worked in partnership to put Whyalla in the best possible position to realise its economic potential with a modern manufacturing capability.”