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Unemployment in jeopardy as the Labor party deliberates upon the possibility of WTO counter-action in case the Australian government decides to impose ‘liberation day’ tariffs, thus taking political heat from the ruling party.

Australia is considering taking the US to the World Trade Organization (WTO) if it is targeted by the upcoming “liberation day” tariff regime imposed by the Trump administration. The new round of global reciprocal tariffs is expected to be announced at 4pm on Wednesday Washington DC time (7am Thursday AEDT), but the countries and goods targeted remain unknown. Australian pharmaceuticals, meat exports, and other agricultural products are potential targets. The Australian government is prepared for all possibilities and could take the US to the WTO, but it would take years to prosecute and could be seen as an affront to a close ally. A collective action by countries against the tariffs would be the most effective countermeasure, and the WTO could provide a forum for cooperation. Prime Minister Anthony Albanese emphasized that the proposed tariff regime would hurt the US economy and US citizens, and exporters would diversify into other markets if American tariff barriers are imposed. Despite its close relationship with the US, there is resignation within the Australian government that it will not escape new tariffs. The White House press secretary indicated that Trump would be willing to consider amendments after the tariffs are imposed, showing that he is focused on protecting American workers.

Source: https://www.theguardian.com/australia-news/2025/apr/02/australia-donald-trump-tariffs-wto-challenge-consideration

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