The Australian government is still trying to secure exemptions to new 25% tariffs that Donald Trump says will be imposed on all steel and aluminium imported into the United States.
President Trump told reporters on Monday that he would impose tariffs on all steel and aluminium imports into the US, on top of existing metal duties. When asked which countries would be subject to the trade barriers, Trump replied: “everybody”.
“Any steel coming into the United States is going to have a 25% tariff,” Trump said, adding aluminium imports would also be subject to the same figure.
The Albanese government has been bracing for such a decision, with senior ministers and officials working behind the scenes for some time to secure tariff exemptions on Australian exports as were achieved during Trump’s first term in office.
Guardian Australia has contacted the office of the trade minister, Don Farrell, for comment on Trump’s announcement.
Farrell and his colleagues have been seeking to make Australia’s case to avoid such tariffs, with representations made at high levels for exemptions.
He has said publicly that his mission to avoid tariffs on Australian goods has been made harder because his US trade counterpart hasn’t been confirmed by the US Senate.
Trump, during his first term, imposed tariffs of 25% on steel and 10% on aluminium, but later granted several trading partners duty-free quotas, including Australia, when Malcolm Turnbull was prime minister.
The prime minister, Anthony Albanese, said last week he wouldn’t engage in a “running commentary” on every Trump proposal.
The defence minister, Richard Marles, has been in the US over the weekend meeting with senior Trump officials.
Guardian Australia revealed last week that Australian officials grappled with the incoming US president’s “unclear” trade proposals in the wake of his election victory.
Documents obtained under freedom of information found officials from the Department of Foreign Affairs and Trade had recommended talking points emphasising Australia bought more products from America than it exported, and Albanese government ministers have stressed the economic benefits of the Australia-US trade relationship.
Last week the treasurer, Jim Chalmers, described Trump’s tariffs on China, Canada and Mexico as “big developments” but “not a big surprise”.
“We won’t be immune from trade tensions around the world but we’re confident that we can navigate these new policies out of the US,” Chalmers said at the time.
“We’re well placed, we’re well prepared, and we’ve got a different kind of economic relationship with the US than some of these other countries that are being targeted.”
The opposition’s trade spokesperson, Kevin Hogan, said the Labor government must move more strongly to seek special treatment over the looming steel and aluminium tariffs.
“It is time critical the Labor government ensures an exemption for Australia,” Hogan said.
“When we were in government during President Trump’s first administration, there were the threats of tariffs on aluminium and steel. We were able to successfully have Australia exempted from these tariffs back then and the current government must get the same result.”
Hogan pointed to the Turnbull government’s work in securing tariff carve-outs in 2017 in Trump’s first term.
“A critical component was a strong ambassador – we had ambassador [Joe] Hockey who helped Australia to successfully negotiate exemptions from United States steel and aluminium tariffs. The ambassador to the US is one of the most critical diplomatic roles Australia has. Albanese handpicked Kevin Rudd for this position. Albanese and Rudd have a big job to do here,” he said.
“Prime minister Albanese and ambassador Rudd have a big job on this issue. I hope they are up to it.”
