Turnbull promises $49 million for Arrium steelworks

PRIME Minister Malcolm Turnbull has promised to provide $49.2 million to the troubled Arrium steelworks in Whyalla, South Australia, in a bid to shore up about 2700 jobs at the plant.

Announced yesterday, the sum falls short of Labor's $100 million pledge to the company, but the government maintains it has the better offer.

The announcement represents a backflip on former prime minister Tony Abbott's hardline stance of refusing to provide SA's ailing car industry with a bailout.

Mr Turnbull said the money would be a loan to the company to buy new machinery to produce higher grade ore for steelmaking.

He said it contrasted with Labor's "old industry policy" of "just promising to hand out grants".



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