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Tariff Tango

Trump deal possible to scrap Australia tariffs, Dutton says

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The news: Opposition Leader Peter Dutton has argued a deal can be struck with Donald Trump to remove tariffs on Australian exports, suggesting Australia’s defence manufacturing and critical minerals could be used as bargaining chips.

The context: Trump has announced sweeping tariffs on nearly all imports entering the United States, including a 10% blanket tariff on Australian exports. While Australian beef was singled out as a particular concern, it was not banned outright as had been feared.

Speaking to reporters in Perth, Dutton said a deal could be negotiated with Trump, leveraging Australia’s defence and critical minerals. However, he declined to specify what he would be prepared to offer if elected prime minister on 3 May.

What they said: “I just don't think the Prime Minister [Anthony Albanese] has the strength or the ability to stand up to a situation,” Dutton said.

“That is unacceptable to us. This is a bad day for our country and I want to resolve the matter. The question for us now is who is best able to deal with this, at a time that requires strength in both national security and economic terms. The times at the moment do not require a weak leader, and Mr Albanese has demonstrated that again today.

“The defence industry in WA — in Henderson, in South Australia, in Osborne — right across the defence network in Australia, we have enormous capacity to contribute to the United States in a very uncertain time. Providing assurances in relation to their surface fleet and subsurface fleet — all that is something that Australia brings to the table. I think there are many elements [to use in a negotiation].

“The critical minerals that I spoke about again in my speech in January is an absolute must-do in the relationship. The United States, to shore up its supply chains, requires our critical minerals, so there is a natural point of leverage for us in the relationship.”


By Anthony Galloway