The Australian Prime Minister, Anthony Albanese, has stated that trade tariffs imposed on Australia by the US Trump administration should be zero, as global leaders prepare for a second announcement of “Liberation Day” following a 90-day pause on tariffs. The relationship between the US and Australia has been strained as President Donald Trump seeks to impose tariffs on global imports and pressures Western countries to increase their defense spending commitments. The 90-day pause on a 10% baseline tariff rate is expected to be lifted next week, and Albanese has argued that Australia should be exempt from this tariff, stating that it should be zero as part of a reciprocal tariff agreement. Previous attempts by the US trade body to place higher tariffs on Australian subsidized medicine, meat, fruit, and refreshed media bargaining code were halted when Trump announced a 10% baseline tariff on goods from Australia. Additionally, Australian steel and aluminum exports to the US face a 25% tariff, with Trump considering increasing this to 50%, causing frustration from Australian ministers. In the midst of this trade dispute, the US administration is urging countries, including Australia, to increase defense spending to at least 3% of GDP and is reviewing the Aukus deal with the UK and Australia to assess its alignment with the “America First” agenda.
Source: https://www.theguardian.com/australia-news/2025/jun/30/anthony-albanese-us-trump-tariffs-australia
