Australia will not impose reciprocal tariffs on the United States after Trump proceeded with 25% tariffs on all imported steel and aluminium, Prime Minister Anthony Albanese confirmed on Wednesday.
Calling the decision “entirely unjustified”, Albanese argued that retaliatory measures would only increase costs for Australian consumers and fuel inflation. Despite previously discussing a possible exemption with Trump, the White House ruled out exceptions for any country. Albanese stated he would continue lobbying the U.S. administration for a reprieve but ruled out traveling to Washington, opting instead for a direct phone call with Trump.
The tariffs will directly impact Australian metal producers
- indirect effects will hit miners supplying raw materials to steel manufacturers
Steel and aluminium exports to the U.S. represent less than 0.2% of Australia’s total exports, with iron ore—Australia’s primary steelmaking export—remaining largely unaffected.
The U.S. maintains a significant trade surplus with Australia, reaching $17.9 billion in 2024.
