Smart Manufacturing

Matthew Addley, Senior Director, Product and Industry Market Strategy, Infor

Q&A: What’s in store for Australian manufacturers for the rest of 2025?

By Matthew Addley, Senior Director, Product and Industry Market Strategy at Infor Outlook for the Australian manufacturing sector for the rest of 2025 It has been a tumultuous first quarter for the manufacturing sector, as trade policies and tariffs have driven up raw material and component costs, creating a ripple effect across the global supply chain. More specifically, the recent imposition of a 25% tariff on all steel and aluminium imports into the US has hit Australian manufacturers hard as they grapple with higher interest rates and subdued demand in 2024. However, reducing interest rates to 4.10% could bolster business confidence and drive demand as the year progresses, opening up markets and investment opportunities for Australian manufacturers struggling to recover in a post-COVID world. How are Artificial intelligence and generative AI impacting the manufacturing sector? Generative AI (GenAI) is set to reshape Australian manufacturing, driving innovative integration, operational efficiency, and data insights, transforming productivity and revenue. We expect that distribution leaders will adopt AI, robotics, and IoT to enhance industry-specific processes, data, and ways of working. Research by KPMG indicates that over half of Australian (58%) and global (64%) CEOs view Gen AI as a top investment priority to gain a competitive edge for their businesses. How will the changes in global policy affect supply chains, demand, and long-term investment in manufacturing? Global policies and geopolitical risks can instantly influence supply chains. We have seen this with the recent 25% tariffs on steel and aluminium imports to the US, sending shockwaves through the global industry. This will impact production costs for many items, especially those with global supply chains, such as connected machinery & equipment, smartphones, laptops, servers, and other electrical and electronic products. Having considered the rising cost pressures, manufacturers are anticipated to adopt new, agile technologies and sustainable […]

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Manufacturing’s strong networking presence

New data names manufacturing the leading industry for networking averaging 110.2 connections per business. Manufacturing’s strong networking presence aims to develop strong supplier relationships, garner efficient logistics, and build B2B partnerships – making networking essential for growth. With networking picking up pace – which industries are the best at it? And how can both employees and businesses maximise their networking potential? To find out, Tapt analysed a sample of over 400,000 networking connections — instances where professionals exchanged details using our platform — from a total of 3.7 million interactions. They looked at total networking volume and how actively individual businesses connect to reveal the industries leading the way, as well as the best times to network. They’ve also shared tips to help you network more effectively. The industries where businesses network the most Rank Industry # Connections per business 1 Manufacturing 110.2 2 Retail Trade 107.4 3 Finance and Insurance Services 92.2 4 Information Media and Telecommunications 90.4 5 Construction 87.1 Thinking of networking with a manufacturing business? The data reveals that manufacturing is the highest industry where businesses network the most – 110.2 connections per business. Its top ranking comes as no surprise, given that manufacturing relies heavily on strong supplier relationships, efficient logistics, and B2B partnerships – making networking essential for growth. Retail follows closely behind at 107.4 connections per business. This could be due to the ongoing need for supplier negotiations, franchise partnerships, and customer engagement. The industries where professionals network the most Rank Industry # Connections per user 1 Information Media and Telecommunications 36.4 2 Manufacturing 34.5 3 Retail Trade 33.6 4 Education and Training 33.3 5 Accommodation and Food Services 32.6 For professionals looking to advance their careers and expand their industry presence, manufacturing offers 34.5 connections per user – second overall. This high […]

AI hype cycle meets reality for construction industry

Study of 460 Australian Design and Make companies reveals AECO, D&M, and M&E sectors continue to grapple with challenges including cost control, talent shortages and environmental sustainability. A new report from Autodesk, Inc. reveals a shift in AI optimism and preparedness, as well as lingering concerns over cost control in Australian Design and Make industries – including construction and manufacturing – amid economic and geopolitical uncertainty. The 2025 State of Design & Make report surveyed and interviewed 5,600 global business leaders – including 460 in Australia – in industries that comprise the Design and Make category. These sectors include architecture, engineering, construction and operations (AECO), product design and manufacturing (D&M), and media and entertainment (M&E). In Australia, 2024 was defined by high cost of living pressures, exacerbated by high interest rates and inflation. This severely impacted design and make industries, with the 2025 Design & Make report revealing that 40 per cent of Australian respondents consider cost control and cost management to be the largest challenge facing their organisation. The report found that investments are down year over year, which could be reflective of high interest rates and therefore a higher cost of borrowing. However, despite slowing investments, optimism remains high, with 67 per cent of leaders saying their organisations will increase future investments. “Alongside cost-of-living, artificial intelligence dominated Australia’s attention in 2024,” said Andy Cunningham, Senior Regional Director for Australia and New Zealand at Autodesk. “However, it appears this fixation has tapered off, following the natural path of tech hype cycles. And as the report reveals, Australian organisations are feeling less confident in AI.” The report states that 68 per cent of respondents believe AI will enhance their industry, down 9 per cent from last year – this shift is in line with global findings, which show a 12 […]

iMOVE CRC launches $2m impact fund for Australian companies & universities

iMOVE Cooperative Research Centre (CRC) is doubling down on its mission to deliver impactful transport innovation for Australia, with the launch of a $2 million second round of its highly successful Impact Extension Program (IEP). The fund is now also open to universities. The IEP2 initiative aims to identify and support Australia’s most promising new technologies, products and services in the transport and mobility space. Grants from $100,000 to $500,000 will be awarded to a portfolio of high-potential projects, all of which must be completed by September 2026. The new round follows the success of IEP1 in 2023, which attracted more than 75 applications and funded two standout innovations – microFleet’s OneDock and SAGE Automation’s See Me app – each awarded $500,000 to help bring their ideas to life. IEP2 builds on this momentum, offering greater flexibility and reach. While IEP1 awarded two $500,000 grants, IEP2 will take a portfolio approach – supporting 5-10 smaller or mid-sized projects, allowing more organisations including universities to participate. Applicants must have an Australian Business Number (ABN) and can be from any sector – start-ups, corporates, local councils, universities, or not-for-profits with no requirement to be an existing iMOVE partner. Projects must align with iMOVE’s mission of advancing transport systems through collaborative, high-impact R&D. Importantly, applicants must justify their funding requests and demonstrate strong value for money. iMOVE reserves the right to negotiate a lesser amount if a proposal shows promise but requests too much funding. iMOVE CRC Managing Director Ian Christensen said: “The transport challenges Australia faces today require bold thinking and practical support. Through the Impact Extension Program, we’re giving organisations the tools to turn breakthrough ideas into real-world solutions that improve how we move, live, and connect.” He added: “We know there’s no shortage of talent or ideas in this country. […]

From gap year to great career: Manufacturing sector offers opportunities for school leavers

As school leavers weigh their next move, champions of Hunter industry are encouraging gap year students to consider a future in manufacturing – an industry at the heart of Australia’s energy transition, defence capability and economic growth. Hunter Manufacturing Awards Chair Jacqui Daley says the Hunter is manufacturing heartland and the industry continues to go from strength to strength making it a fantastic career option. “As the Australian Government rolls out its A Future Made in Australia strategy, manufacturing is experiencing a major resurgence. From renewable energy to advanced defence tech, the demand for skilled workers has never been higher. “Harnessing solar, wind and hydro power requires infrastructure – and that starts with parts manufactured right here in the Hunter,” Daley said. “Just last month we saw our HMA start-up of the year, Allegro Energy, be granted a US patent for its micro-emulsion electrolyte technology and this is just one of many inspiring local businesses succeeding on a global stage.” “What is clear is that innovation is just as likely to come from a component maker in Cardiff as it is from a capital city think tank.” With more than 250 apprentices and trainees currently placed across 50 organisations and three States – and 75% of those roles in manufacturing – one Hunter-based training group is offering young people a chance to kickstart their careers through hands-on training and real-world skills. Hunter Manufacturing Awards board member and Chief Operating Officer of Hunter Career Connections Nick Couper says students taking a gap year should explore the opportunities on offer in the local manufacturing sector. “For many school leavers, early acceptance into university has meant a real narrowing of focus to the different learning and career pathways that are available. We want to encourage young people to explore the other opportunities available […]

Federal Budget steady for STEM: Tech Academy awaits next steps

Investments in Australian innovation are a must to help the nation become a key global player in research and development. The Federal Budget picks a welcome winner in green metals, leveraging Australia’s abundant, cheap renewable energy to produce the metals of the future. The green metals industry is a leading example of a deep legacy of Australian innovation. The tax cuts, energy bill credits and even the beer excise freeze, provide some relief for the cost of living. These are not, however, the policies that will power long-term economic growth. Bold initiatives that will shape a resilient economy of the future – such as a commitment to re-thinking Australian R&D investment through the Strategic Examination of Research and Development; the Universities Accord; and the Diversity in STEM reviews – were ignored in tonight’s budget. ATSE continues to call for significant, bipartisan, sector-wide investments in science, technology and innovation to safeguard Australia’s economy into the future. ATSE CEO Kylie Walker said: “Investments in future Australian innovators and innovations are a must to help the nation become a key global player in research and development. Bold initiatives that will shape the resilient economy of the future need ample resourcing.” “The green metals announcements build on the Future Made in Australia agenda that has guided the past few years. Australia’s future economic resilience will be narrow if it is not built on investments in innovation and STEM skills as drivers of economic prosperity.” Ms Walker welcomed the announcement of investments in key science and technology infrastructure and workforce, providing crucial ongoing support for the national R&D agency CSIRO, and in the areas of nuclear medicine, biosecurity and the National Measurement Institute. “ATSE also welcomes the new investment in public schooling, including in science and engineering education,” she said. As Australia heads into […]

Internationally patented PHA bioplastics meet world-class sustainable packaging design

A powerful partnership between two award-winning industry leaders – EcoPHA, a biotechnology pioneer in PHA bioplastics, and Terra Sol, a design-driven leader in compostable packaging – is setting a new global standard for sustainable materials. By merging scientific breakthroughs with cutting-edge product design, EcoPHA and Terra Sol are delivering truly home-compostable, commercially viable alternatives to fossil-fuel plastics, helping businesses future-proof against environmental regulations and consumer demand for plastic-free solutions. A Scientific & Design Breakthrough: The First PHA from Pongamia Oil Through its globally patented process, EcoPHA has developed the ability to convert non-edible Pongamia oil, derived from the resilient Pongamia tree, into PHA bioplastics, a fully home-compostable, non-toxic alternative to traditional plastics. This game-changing innovation aligns with global sustainability targets, offering industries such as packaging, food service, mining and manufacturing a cost-effective, circular solution for reducing plastic waste. Meanwhile, Terra Sol’s expertise in designing and commercialising sustainable packaging ensures that PHA moves beyond the lab and into practical, scalable applications for businesses worldwide. “EcoPHA’s technology is world-first, but technology alone doesn’t drive change – people do. That’s why our partnership with them is so powerful,” said Louise Sykes, CEO of Terra Sol. “Together, we’re making it easier for businesses to adopt truly sustainable solutions without compromising performance or affordability.” A Game-Changer in Bioplastics & Sustainable Packaging By combining award-winning biotechnology and world-class product design, EcoPHA and Terra Sol deliver the first truly scalable compostable packaging solution that balances sustainability, cost-effectiveness, and real-world usability: -100% Home Compostable (AS 5810 Certified) – Unlike PLA and other industrial bioplastics, PHA breaks down naturally in compost, soil, and marine environments, leaving zero microplastics. -Cost-Effective & Scalable – Terra Sol has designed PHA-based cups, lids, straws, and cutlery for mass adoption, proving that businesses don’t have to choose between affordability and sustainability. -Carbon Credit Potential […]

New pilot program to strengthen regional manufacturing

The NSW Government is continuing its commitment to rebuild the state’s manufacturing industry with the launch of an $800,000 pilot program aimed at boosting productivity, reducing costs and increasing competitiveness. The Lean Manufacturing Pilot Program will provide small-to-medium-sized manufacturers across regional NSW with funding to undertake audits by professional consultants that will identify ways to re-organise their manufacturing operations. Lean manufacturing is an internationally recognised business management process that revolves around the principles of continuous improvement, waste elimination, and a customer-centric approach. It focuses on creating products more efficiently by eliminating unnecessary steps, saving time and using fewer materials in the production process. This approach helps businesses produce goods with fewer resources, without compromising on quality. More efficient processes mean production lines manufacture fewer products with defects, which in turn reduces operating costs related to providing returns and waste disposal. For example, a regional food manufacturer might reorganise production lines to improve efficiency, implement preventative maintenance to reduce equipment breakdowns and implement just-in-time inventory management to reduce excess stock and waste. The audits, undertaken as part of the program, will offer tailored recommendations to help businesses identify inefficiencies, streamline operations, reduce waste and increase productivity, while also highlighting training opportunities for staff. Several major companies have successfully implemented lean manufacturing to improve efficiency, reduce waste, and enhance productivity over the past decades including Toyota, Ford Motor Company, Boeing, General Electric and Nike. Many regional NSW companies such as the Bega Group in Bega, Donaldson Australia on the Central Coast, Belmore Engineering at Tamworth, Flavourtech in Griffith and Tyree Transformers at Braemar have also successfully used lean manufacturing principles. Manufacturing is a key driver of the NSW economy, contributing nearly 30 per cent of Australia’s total manufacturing output. In regional NSW, the sector generates $32 billion in sales and employs 84,000 […]

Whyalla can be upgraded to green steel and why we need to keep steel production in Australia

Daniel Rossetto, Adjunct, Institute for Sustainability, Energy and Resources, University of Adelaide Financial challenges at the Whyalla steelworks in South Australia have reignited debate about the nation’s steel industry and its future. Australians should have access to quality steel at competitive prices. The domestic steel production industry employs tens of thousands of people. The state and federal governments have stepped in, however, announcing a A$1.9 billion support package for Whyalla, together with a new $1 billion green iron investment fund. Half of the new fund will be allocated to Whyalla to support its transition to green steel production. That’s a large amount of money for a privately owned business. So, are the new packages going to be money well spent? To answer that question, let’s examine the priorities. A national priority Steel is an industry in which securing sovereign production capability is crucial. Sovereign capability means ensuring an industry can survive external shocks such as interruptions to shipping routes or disputes with other countries in the supply chain. Steel is a vital input for defence industries such as ship and submarine building. What could be said of a country’s autonomy – or its sovereign capability – if it relies on others for the steel needed for its defence? Whyalla is one of the two largest steelworks in Australia, the other being BlueScope’s Port Kembla plant. At least at first glance, the green iron investment fund seems to deal with the sovereign capability criterion well enough. Whyalla appears an ideal candidate. Prime Minister Anthony Albanese, Minister for Industry and Science Ed Husic, and SA Premier Peter Malinauskas visit Whyalla Steelworks in Whyalla last week. Isabella Ward/AAP However, the public subsidy is large. The subsidised plant’s ability to operate in an economically competitive manner needs to be examined. Further, while the Whyalla plant began its life as a supplier to an adjacent shipbuilding operation, […]

The Global Impact of U.S. Trade Tariffs: Aluminium and Steel

Daniel Kohut, Vice President, Industry Strategy, Blue Yonder As of February 11th, the Trump administration announced worldwide tariffs of 25 percent on aluminium and steel imports, which form a major part of Australia’s economy. The Trump administration’s proposed increase in tariffs on imports in other areas—ranging from 60% to 100% for China, for example—is sending shockwaves through industries worldwide, particularly in the Asia-Pacific region. With China serving as a global manufacturing hub, companies are grappling with rising costs, supply chain reconfigurations, and market volatility. Industry leaders from manufacturing, automotive, industrials, high tech, and life sciences share their perspectives on the implications of these tariffs and the strategies companies must adopt to mitigate risks. Blue Yonder’s industry leaders across manufacturing, automotive, industrials, high tech, and life sciences share their perspectives on the implications of these tariffs and the strategies companies must adopt to mitigate risks. In most cases the economic impacts are likely to be severe, and advanced technologies and business operational changes such as risk and scenario modelling and inventory planning will become critical to ensure business continuity. APAC manufacturing: Navigating Supply Chain Shifts Manufacturers in the Asia-Pacific region, many deeply integrated with China, will experience cost increases as tariffs take effect. To offset these challenges, businesses may relocate production to Vietnam, Thailand, or Malaysia. However, shifting supply chains can strain existing infrastructure and labour markets, while also increasing logistical costs. Companies will require enhanced visibility into sourcing, inventory, and compliance, with cloud-based supply chain platforms and advanced risk modelling emerging as critical tools for managing disruptions. Automotive: Balancing Cost Pressures and Supply Chain Adaptability The global automotive industry faces rising production costs due to increased tariffs on imported components. Automakers may respond by reshoring production closer to domestic markets, boosting local manufacturing jobs but also raising labour costs. In […]

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