Prime Minister Anthony Albanese has strongly condemned the United States’ decision to impose tariffs on Australian steel and aluminium, calling it “entirely unjustified.” Albanese: American tariffs on Australian steel and aluminium are “entirely unjustified”. Despite ongoing lobbying efforts, the Trump administration has denied Australia’s request for an exemption from the 25 percent tariffs, which take effect tomorrow.
Speaking on the matter, Mr. Albanese criticised the decision but ruled out retaliatory measures, warning they could escalate economic tensions between the two nations. “This is against the spirit of our two nations’ enduring friendship and economic partnership,” he stated, highlighting Australia’s commitment to free trade with the U.S.
The Prime Minister reaffirmed his government’s commitment to securing an exemption through diplomatic channels, noting that similar efforts during Donald Trump’s first presidency took several months to succeed. “We will advocate at every level and through every channel to protect Australian trade interests,” he said.
The White House confirmed that President Trump had considered but ultimately rejected Australia’s request, with Press Secretary Karoline Leavitt stating, “American-first steel. If they want to be exempted, they should consider moving steel manufacturing here.”
The decision has sparked concern within Australian industry groups. Innes Willox, Chief Executive of the Australian Industry Group, described the move as “disappointing but not unexpected,” warning that the broader economic relationship between the two allies now faces uncertainty. Business Council of Australia CEO Bran Black urged a “cool-headed response,” cautioning against a global escalation of reciprocal tariffs.
Deputy Prime Minister Richard Marles echoed these concerns, calling the decision “disappointing” but affirming Australia’s commitment to diversifying trade partnerships. “Tariffs don’t make sense—they are an act of economic self-harm,” he said.
As Australia continues to push for a reversal, industry leaders warn that the economic fallout from these tariffs could be significant, affecting not just the steel and aluminium sectors but also broader trade relations between the two allies.
