Australia Avoids Retaliation on US Metal Tariffs

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    MELBOURNE, Australia — On Wednesday, Australian Prime Minister Anthony Albanese expressed dissatisfaction over the U.S. tariffs on Australian steel and aluminum, deeming them unjust. Despite the perceived unfairness, he confirmed that his administration would not introduce counter-tariffs in response.

    The discussion was fueled by recent comments made by U.S. President Donald Trump, who suggested last month that Australia, a long-term trade ally, might be eligible for a tariff exemption. The United States, however, has exerted tariffs, contributing to ongoing trade dynamics.

    Back in 2018, Australia secured a tariff exemption under the leadership of a previous administration, arguing that companies like Australian steel producer BlueScope are significant employers within the U.S. Albanese is determined to secure another exemption, though the original exemption negotiations took several months to finalize.

    Albanese underscored in his statement that no nation, irrespective of its ties with the U.S., had been currently granted such an exemption. “The decision by the Trump administration is baseless,” he asserted. Nonetheless, Albanese emphasized the detrimental effects of tariffs, citing them as a catalyst for sluggish economic progress and increased inflation. “Ultimately, consumers bear the costs. Hence, Australia won’t impose counter tariffs,” he affirmed.

    The U.S. has officially imposed a 25% tariff on all steel and aluminum imports, effective Wednesday. The refusal to grant Australia an exemption came shortly after a public disagreement between Trump and former Australian Prime Minister Malcolm Turnbull, who was instrumental in obtaining the 2018 relief.

    In recent remarks on social media, Trump described Turnbull, who left politics in 2018 after losing his role as prime minister, as a weak leader who failed to comprehend the global political landscape, especially concerning China. “Malcolm Turnbull consistently led Australia from the ‘back seat,’ unable to grasp China’s activities,” Trump wrote. He further criticized Turnbull as ineffective, remarking that Australians seemingly shared this view.

    These comments were likely triggered by an interview in which Turnbull spoke to Bloomberg regarding his views on Trump’s presidency. Turnbull suggested that China’s President Xi Jinping was likely to capitalize on what he termed the unstable and unpredictable nature of Trump’s leadership.

    “China will likely exploit Trump’s weaknesses,” Turnbull told Bloomberg. He predicted President Xi would present himself in direct contrast, emphasizing stability, respect, and reliability — qualities that might appeal to other countries wary of Trump’s behavior. “Many countries could find China to be a more appealing ally when contrasted with Trump,” Turnbull concluded.