US tariff on Australia remains at 10%
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The news: The United States has imposed a new temporary 10% global tariff on most goods entering the country, following a decision by the US Supreme Court on 20 February 2026. This rate will also apply to Australia.
US President Donald Trump had been threatening a rise in the tariff to a 15% rate.
The context: The move follows a ruling by the US Supreme Court that ruled Trump had exceeded his authority by invoking the Emergency Economic Powers Act (IEEPA), to impose his so-called reciprocal tariffs globally.
Trump said the new 10% levy would be applied on top of existing tariffs under the Trade Act of 1974, which allows the president to impose import restrictions for up to 150 days. As a result, all Australian goods valued at USD800 or less are now subject to specific tariff rates.
The Australian government said it is assessing the impact on Australian trade, particularly for Australian exporters to the US, noting that the effects are likely to vary by sector and across individual businesses.
Australian Trade Minister Don Farrell is travelling to the US this week for the launch of the ‘G’Day USA’ tourism event in Los Angeles and said he wants all tariffs removed.
He said he would seek to bring forward scheduled meetings with US Trade Representative Jamieson Greer at the upcoming World Trade Organisation conference.
What they said: Farrell told reporters “you’d have to ask President Trump” why the 15% rate had not yet materialised.
“Now that’s not to say that’s where it’s going to stay, but my objective while I’m over here and in the weeks ahead, I’ve got a number of meetings lined up with my counterpart, will be to prosecute the argument for the removal of all of the tariffs on Australian goods,” he said.
The sources: Australian Government, Nine
