EDITORIAL: Albo has task ahead as anxious age demands strong and stable leadership

This much is for sure — we are living in an age of uncertainty.

You’d be brave or stupid to hazard any sort of guess as to what the world will look like in a year or two.

Much of the global volatility is emanating from the Oval Office, ever since Donald Trump took residence for his second term just six weeks ago.

In that time, we’ve had a global trade war threatened and then retracted.

Now, it’s back on again, after Mr Trump on Monday doubled his tariff on Chinese imports to 20 per cent.

His sights are back on close allies Canada and Mexico, saying there’s “no room left” for talks to avoid the taxes, which he says are aimed at curbing fentanyl trafficking and illegal immigration. A North American trade war could affect $1.5 trillion in trade, and reduce US output by $75 billion in the short to medium term.

That move rattled the global stock market, with the S&P 500 closing with its biggest one-day loss since mid-December.

The local market followed Wall Street, with the ASX tumbling 0.6 per cent.

And there’s plenty more to come. The resumption of Mr Trump’s trade war has dashed hopes that Australia will secure an exemption from the President’s plan to impose 25 per cent tariffs on steel and aluminium imports into America.

Farmers will be next to feel the heat. Mr Trump used social media to announce a plan to impose yet more tariffs on food products sent to the US. That would be devastating for Australian agricultural industries, which are still recovering from the recently-lifted Chinese freeze.

It’s got the Reserve Bank worried, with the central bank noting that tariffs “could potentially undo some of the progress on disinflation”.

That means prices could resume their climb. If that comes to pass, the RBA won’t hesitate to react with interest rate hikes.

Alongside all this economic turmoil, a seismic shift in the world order is also playing out.

Mr Trump’s “America first” credo also extends to the global security sphere. He has now ordered a pause on all American military aid to Ukraine, following his explosive confrontation with Ukrainian President Volodymyr Zelensky at the weekend. US media has reported that freeze will affect more than US$1b in arms and ammunition, including some already in transit to the battle field.

In Moscow, Russian President Vladimir Putin is likely rubbing his hands with glee at the news. A pause in Ukraine’s defences of any significant length will allow Russia to press further into Ukraine.

Meanwhile, Chinese warships continue their circumnavigation of Australia, following provocative live firing exercises in the Tasman Sea.

In this age of anxiety, Australians want clarity and strength from their leaders.

So far, they’ve received little of that from Anthony Albanese, whose efforts to downplay China’s intimidatory tactics left no one feeling more secure.

If he expects voters to back him on election day, he’ll need to do better to convince them he’s got their back too.