Australia’s Labor Party, led by Anthony Albanese, secured a landslide victory in the 2025 federal election, in a boost to the hydrogen and critical minerals sectors.

Albanese won a second consecutive term as prime minister after defeating opposition leader Peter Dutton, head of the Liberal Party, on 3 May.

Both hydrogen and critical minerals sectors have welcomed Labor’s win, with the government having announced a string of measures to support both sectors, particularly under the Future Made in Australia Agenda. This includes up to AUD 13.7 billion ($8.6 billion) in production tax credits for the processing and refining of critical minerals and the production of green hydrogen from 2027 to 2040.

The Australian Hydrogen Council (AHC) calls the Albanese government’s win a “welcome news” for the hydrogen and derivatives industries in Australia.

“Australians have made a clear choice over the weekend to return the Australian Labor Party to government,” comments AHC ceo Fiona Simon. “This choice affirms key policies such as the Future Made in Australia agenda that recognises the importance of hydrogen and its role in the production of derivatives such as green ammonia and methanol, green iron and alumina.”

“Australian hydrogen and derivatives projects are still forging ahead, and policy certainty has been top of mind for investors and our trading partners,” the executive adds. “This election result paves the way for a new term that builds on the strong foundations set by the Albanese Government in its last term including the launch of the National Hydrogen Strategy, and legislation of hydrogen production tax incentives.”

The Association of Mining and Exploration Companies (AMEC) congratulated Albanese on the win, noting the government’s critical minerals production tax incentive policy will help provide the certainty investors needed to commit to major downstream processing projects in Australia.

“With a mandate now secured, it is time for action on key policy initiatives that will support long-term investment and drive Australia’s international competitiveness, especially in critical minerals,” says AMEC ceo Warren Pearce.

The Chamber of Minerals and Energy WA (CME), meanwhile, called on the government to focus on improving investment fundamentals. CME ceo Rebecca Tomkinson notes that  “well-designed industrial policy could position WA [Western Australia] as a trusted and stable supplier of rare earths and other critical minerals as the globe scrambles to diversify supply chains.”

The Labor government had also pledged to establish a strategic reserve of critical minerals, with an initial investment of AUD 1.2 billion. While the reserve is a potentially important avenue to unlock investment in Australia’s rare earth reserves, Tomkinson adds: “It is vital any plans for stockpiling contain safeguards against applying continued downward pressure to commodity prices that might impact the viability of existing or prospective Australian operations.” 

Albanese, who is set to reshuffle ministers, said Monday he will continue the work to build Australia’s future, Kallanish notes.