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Tech Council urges government caution amid Trump's tech trade war

Over the weekend, Donald Trump signed an order directing his administration to impose tariffs on countries that “unfairly” tax or regulate US tech giants.

Donald Trump's intensified his America-first approach to US tech titans, threatening economic retaliation on countries that target Big Tech. AAP/Jose Luis Magana.

Australia’s peak tech industry lobby group is urging the government to collaborate with Donald Trump rather than confront him, after the US president vowed to push back against foreign nations attempting to regulate America’s largest technology companies.

Over the weekend, Trump signed an executive order directing his administration to penalise countries — potentially including Australia — that “unfairly” tax US tech giants such as Meta, Google and Microsoft.

The move casts further doubt over Australia’s planned tech levy, which would require tech giants to pay media companies. It also raises questions about other aspects of Australia’s regulatory regime, including proposed streaming quotas and the government’s plan to ban social media for under-16s.

"We see President Trump’s memo as the clearest signal yet that tech is at the centre of his administration’s growth agenda," said Harry Godber, the Tech Council of Australia's head of policy. "As a trusted ally of the US, we have an extraordinary opportunity for Australia to share this priority and collaborate on sovereign tech development."