James Paterson (Victoria, Liberal Party, Shadow Minister for Cyber Security) Share this | Hansard source

I rise to make a contribution on the Customs Tariff Amendment (Incorporation of Proposals) Bill (No. 2) 2023, which operates to amend the Customs Tariff Act 1995 to alter the rates of tariffs on certain goods in line with Australia's international agreements and interest. I'm advised that the bill will fulfil four key functions. First, it will extend existing tariffs on goods from Russia and Belarus. It was the former coalition government who announced on 31 March 2022 that Australia would join like-minded countries in temporarily removing 'most favoured nation' status and imposing additional duty on goods from Russia and Belarus.

Ordinarily, goods from Russia and Belarus would be subject to the general rate of custom duty, most commonly five per cent or free. Instead, most goods that are produced or manufactured by Russia and Belarus are subject to a temporary rate of customs duty of 35 per cent in addition to the general rate of customs duty that would have ordinarily applied to the goods. The temporary removal of MFN treatment and the imposition of additional duty was a response to Russia's illegal invasion of Ukraine and is necessary for the protection of Australia's essential security interests. Russia's violation of Ukraine's sovereignty and territorial integrity undermines the rules based international order, which is essential to Australia's international, regional and domestic stability and security. Economic measures against Russia and Belarus are a necessary part of the international community's response to the flagrant violation of the Charter of the United Nations.

Secondly, this bill will extend the free rate of tariff on goods from Ukraine. As a demonstration of Australia's ongoing support for the people of Ukraine, who have borne a terrible cost from Russia's brutal invasion of their country, the free rate of customs duty will continue to apply to goods other than alcohol, tobacco, petroleum and fuel products that are the produce or manufacture of Ukraine through to 3 July 2024. This measure is aimed at assisting Ukraine's continued participation in international trade and supporting its efforts to uphold territorial integrity in response to Russia's illegal invasion.

Thirdly, this bill will set a free rate of customs duty for goods that are imported for use in connection with international sporting events. Australia has a history of providing a free rate of customs duty for items related to important international sporting events. For instance, the Customs Tariff Act provides a free rate of tariff for Olympic medals and similar items. This amendment to the Customs Tariff Act enables the application of concessional treatment where goods are imported for a specified international sporting event. The first event prescribed was the 2023 FIFA Women's World Cup. Co-hosting the women's world cup was a huge win for Australian sport, and getting to share in the Matildas' inspirational journey has changed the game for women's sport in our country forever. The retrospective commencement date has the benefit of enabling those who imported such goods from 1 January 2022 to apply for a refund of the import duties that they have paid.

Finally, this bill will expand the scope of tariff concession covered in the agreement between the government of Australia and the European Space Agency. The European Space Agency is currently undertaking an expansion of its facility in Western Australia. I'm not sure of the pronunciation of the new ground station, so I'm not going to attempt to say it here. It's for one of three deep space stations and is in the European Space Agency's tracking station network. The other two are located in Spain and Argentina. The expansion will include a new 35-metre diameter deep space antenna for communicating with various space science missions and a biomass calibration transponder to support the 2024 biomass mission, which aims to provide critical information about forests globally and improve our understanding of the role forests play in the carbon cycle.

This amendment will enable the duty-free entry of equipment, material supplies and other property that are for the European Space Agency and for use in the agreed activities under the agreement and that is imported by persons employed or engaged by the European Space Agency. It will also enable the duty-free entry of personal and household goods imported by those persons. Goods for this project and future projects will be eligible for a free rate of customs duty where they are imported on or after 1 December 2022.

The coalition supports these sensible amendments to the Customs Tariff Act, noting that the provisions related to Russia and Ukraine are an extension of decisions taken by the former government in 2022. We will be supporting the bill as circulated.