WASHINGTON, D.C. – U.S. President Donald Trump has threatened to increase tariffs on goods from numerous countries, including Australia, to 15-20%, up from the current 10% base rate.
The announcement came shortly after the president clinched a major trade deal with the European Union.
Trump revealed the plan during a meeting with UK Prime Minister Keir Starmer, stating that his administration will soon notify around 200 countries of the new “world tariff” rate.
The Australian government has responded by calling the proposed tariffs “unjustified” and “an act of economic self-harm.”
Australian Government Reacts A spokesperson for Trade Minister Don Farrell emphasized that the government’s position remains unchanged, and that any tariffs on Australian goods are unwarranted.
The government has pledged to continue engaging with the U.S. administration to advocate for the removal of all tariffs, in line with the free trade agreement between the two nations.
Assistant Treasurer Daniel Mulino stated that the government is speaking to the U.S. administration about the situation, which has been in a state of flux for some time.
“It’s not surprising that there would be a statement that would suggest a change,” Mulino said.
Opposition Criticizes Tariff Proposal Opposition Trade Minister Kevin Hogan described Trump’s proposal as “bad policy,” warning that it could impact inflation in the U.S., hurt American consumers, and pose a danger to global economic growth.
Hogan also suggested that Prime Minister Anthony Albanese should seek a face-to-face meeting with Trump to present a “very strong sovereign case” against the policy.