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Trump Reportedly Broke Another Promise, This Time To Australia

11 March, 2018, 01:11 | Author: Priscilla Morrison
  • Malcolm Turnbull says there is no new

Earlier Mr Trump announced that he'd spoken to Mr Turnbull and the two nations were working on a deal to provide an exemption to the tariffs.

The exemption follows months of lobbying at the highest levels of the Trump administration from Mr Turnbull, his senior ministers and Australia's Ambassador Joe Hockey.

The United States and Australia are working on a "security agreement" that would allow Australia to escape steel and aluminum tariffs set to kick in on March 23, President Trump said on Friday.

The Australian government's urgency rose after the USA president announced that he meant to enact the tariffs as a remedy to trade imbalances.

"Thank you for confirming new tariffs won't have to be imposed on Australian steel & aluminum - good for jobs in Australia and in U.S.!"

President Donald Trump has suggested that Australia could be exempt from a move by the United States to impose heavy tariffs on steel and aluminum imports.

Turnbull soon replied with his own tweet, saying Australia had "no closer ally" than the US.

After a telephone call with Turnbull on Friday, Trump tweeted: "Spoke to PM @TurnbullMalcolm of Australia".

Trump suggests Australia may be exempt from tariffs

He excluded Mexico and Canada, as long as they negotiate a new North American Free Trade Agreement, and threw the door open to further exclusions for countries and niche products. "It's a level playing field and, in fact, the USA has a large trade surplus with Australia".

"My expectation is there may be some other countries [Trump] considers in the next two weeks", Mnuchin said on CNBC.

Any exemptions would ultimately be a decision for Trump, Ciobo said.

He said the threat of Australia sustaining collateral damage in a trade war also remained real.

"History tells us they are bad, and they end up causing not just a contraction in global trade but, as a result of that, a contraction in global growth", he told ABC on Saturday.

But he urged Mr Turnbull to put in place measures to prevent foreign steel, which was destined for the United States, from being "dumped" in Australia at below-cost prices.

Australia is a small global exporter of steel despite being one of the world's largest suppliers of the raw commodity iron ore.

"You've got to remember America wants a steel tariff ... and there might be retaliation from other countries ... it might have an adverse impact on Western Australia due to the tens of thousands of jobs that rely upon our iron ore industry", he said.




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