PM pushes case for tariff removal in Trump phone call

By Lucinda Garbutt-Young in Canberra

Donald Trump will consider granting an exemption to wide-ranging tariffs on Australian exports.

Prime Minister Anthony Albanese said he had a “warm and productive” call with the US president on Thursday night, AEST.

The prime minister said he made the case for the US to drop its 12.5 per cent tariffs on Australia, which came into effect in July.

“I put the case as strongly as I could. It was a constructive discussion about why Australia should get at least the best treatment,” he told reporters in Canberra on Friday.

“I did ask that Australia’s position as a friend of the United States be considered, and the president agreed that he would give consideration to my request.”

Australia was previously given the lowest level of tariffs under the US regime at 10 per cent before it was hiked further, with the federal government calling for its removal, given a US trade surplus.

The US had cited concerns over modern slavery laws when it made the increase to 12.5 per cent.

“I informed him about our record when it comes to dealing with issues such as modern slavery, the strengthening that we have put forward as well, to look and hold companies accountable for the supply-chain process as well,” Mr Albanese said.

“We have a different view, a different perspective. What I was able to do was to put the case to the president not in ideological terms, because the position is what it is.”

The two leaders also discussed the AUKUS submarine deal between the two countries, the Iran war, as well as Australia’s recent alliances in the Pacific.

“We agreed it (AUKUS) was a project that is and will continue to deliver benefits for the United States, for Australia, and for the United Kingdom,” Mr Albanese said.

The pair discussed the second pillar of the program, which includes enabling systems for uncrewed undersea vehicles.

The call came just hours after Pentagon official and former AUKUS sceptic Elbridge Colby confirmed the mega deal was “full steam ahead” to journalists.

Mr Colby, who is the US under secretary of war, originally wrote what was perceived to be a skeptical review of the submarine deal before revising his writing to be more in line with Mr Trump’s view.

The Pentagon recently admitted construction of US Virginia-class nuclear submarines was languishing at about 1.1 to 1.2 boats a year, when 2.33 of them need to be made annually to meet AUKUS requirements.

Mr Albanese said their phone call included an extensive update on the situation in the Middle East.

“We did continue to say that Iran shouldn’t be allowed to have nuclear weapons. That represents a huge risk for the region,” he said.

The prime minister also briefed the US president about a Chinese ballistic missile test in the Pacific in July, which has been condemned by leaders in the region.

“This caused a great deal of concern right across the Pacific, which is true.” Mr Albanese said.

Mr Albanese has spoken with Mr Trump at least five times since becoming prime minister. They have also met in person.

The prime minister is set to meet with Mr Trump in person later in the year, with a trip to the UN in September and travel to the G20 summit in Florida in December on the cards.