Australian news and politics recap May 29: China’s ‘no political strings attached’ move with Pacific nations

Matt Shrivell
The Nightly
China has flexed it’s muscles in the Pacific with a new ‘no political strings attached’ deal’
China has flexed it’s muscles in the Pacific with a new ‘no political strings attached’ deal’ Credit: AAP

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Caitlyn Rintoul

PM defends Watt’s North West Shelf call

Anthony Albanese has defended his environment minister’s decision to approve Woodside’s North West Shelf gas project after Murray Watt made the contentious call on Wednesday.

Just a fortnight from taking the job off predecessor Tanya Plibersek, Senator Watt gave the green-light to extend the life of the project to 2070.

Woodside will now have 10 days to respond to the proposed decision, which has been welcomed by industry but opposed by environmental and cultural heritage groups.

Speaking on ABC radio on Thursday, the Prime Minister acknowledged the advocacy groups concerns but said appropriate processes were followed.

“Murray Watt as the Federal Minister had to look at some of the issues which are there,” he said.

“He has made a preliminary determination out there for comment that is based upon very strict conditions as well being provided.

“In order to get that investment in renewables you do need firming capacity, whether it be batteries, hydro or gas, and that is what will encourage that investment and the transition to occur.”

US court blocks Trump’s ‘Liberation Day’ tariffs

A US federal trade court has blocked the Trump administration’s “Liberation Day” tariffs from going into effect, including a base line 10 per cent levy that would have impacted Australian exports to the United States.

The Manhattan-based Court of International Trade ruled that President Donald Trump overstepped his authority by imposing sweeping duties on imports from nations that sell more to the US than they buy.

US President Donald Trump’s tariffs policy has been blocked by a US court.
US President Donald Trump’s tariffs policy has been blocked by a US court. Credit: AAP

The court rejected the White House argument it can rely on presidential emergency powers to safeguard the economy, citing the US Constitution provision that gives Congress exclusive authority to regulate commerce with other countries.

“The court does not pass upon the wisdom or likely effectiveness of the President’s use of tariffs as leverage. That use is impermissible not because it is unwise or ineffective, but because [federal law] does not allow it,” a three-judge panel said in the decision.

The Trump administration minutes later filed a notice of appeal. The move is the latest setback in its “America First” trade agenda which has faced multiple legal challenges.

Read the full story here.

Matt Shrivell

Herzog wants Albanese in Israel to appraise the situation first-hand

Israel’s President Isaac Herzog has applied some subtle pressure on Anthony Albanese to make a diplomatic visit to Israel a reality.

The Australian is reporting that Isaac Herzog, told an Australian media delegation visiting Jerusalem, that he wanted Mr Albanese to visit Israel to engage first-hand with the problems of the region.

President Herzog’s request is a challenge to the Albanese Government after the PM’s recent condemnation of Israel’s Prime Minister Benjamin Netanyahu and their aid blockade into the Gaza Strip.

“Israel’s actions are completely unacceptable,” Mr Albanese said this week.

Israel’s Deputy Foreign Minister Sharren Haskel criticised Mr Albanese for his recent comments about Israel’s handling of its war against Hamas.

President Herzog said that he would like to see Mr Albanese involved more directly.

“I welcome and invite the Prime Minister to visit Israel – absolutely,” President Herzog told the delegation.

At the same time the president made clear his willingness to visit Australia as well after two had a brief exchange at Pope Leo XIV’s inauguration.

Matt Shrivell

Albanese says defence spending critics need to have a ‘look at themselves’

The Prime Minister has responded angrily to the Australian Strategic Policy Institute’s policy paper deriding the Australian government’s defence spending policies.

The report published on Thursday claims Australia’s defence funding is insufficient to cover the worldie threats to the nation.

Mr Albanese addressed the issue with the media after the paper proclaimed Australia “faces a real risk of being left behind” as other countries build burgeoing armed forces capalbilities in the Pacific region.

“I think they need to have a look at themselves as well and the way that they conduct themselves in debates,” Mr Albanese said after being quizzed on the paper.

“We’ve had a Defence Strategic Review. We’ve got considerable additional investment going into defence – $10 billion.

Mr Albanese said the ASPI “regularly produced these sort of reports”, and that they are “run by people who’ve been in a position to make a difference in the past as part of former governments”.

“I think it’s predictable, frankly,” the PM added.

Matt Shrivell

RBA Governor may have a few bumps in the road to deliver more rate cuts

Reserve Bank governor Michele Bullock says Australia is no longer walking the “narrow path” to getting price growth under control, but a surprise rise in underlying inflation could be an indication of more obstacles along the road.

The Australian Bureau of Statistics reported trimmed mean inflation - which provides a less volatile read of prices than the headline figure - ticked up from 2.7 per cent to 2.8 per cent in the 12 months to April.

While monthly figures tend to bounce around and the RBA places greater emphasis on quarterly data, a spike in dwelling costs could concern the central bank if replicated over the coming months.

Recent falls in the cost of renovating and building new homes were driven by home builders responding to weak demand with offers and promotions, said CBA senior economist Stephen Wu.

“But with the start of the RBA’s interest rate cutting cycle since February, expectations around home price growth have sharply increased,” he said.

Read the full story here.

Matt Shrivell

New report reveals Australia’s defence is ‘deteriorating rapidly’

Australia risks falling behind on current defence spending levels with a major re-armament under way in the Indo-Pacific, a report warns.

The Australian Strategic Policy Institute released its analysis of the 2025/26 defence budget on Thursday, claiming defence funding fails to address the seriousness of threats facing the nation.

AAP is reporting the budget misses a “crucial opportunity” to prepare Australia’s military and defence industrial base for future challenges, the report says.

Under the Albanese Government’s spending plans, defence spending is set to rise to about 2.3 per cent of GDP within a decade.

While the Government has committed to bringing forward $1 billion in funding, the report says no “significant uplift” is expected until after 2028/29, despite the current era being described by authorities as the most dangerous since the end of World War II.

Read the full story here.

Matt Shrivell

UP LATE: New Coalition is like a married couple that can’t divorce

In last night’s version of UP LATE , Ben Harvey discusses Sussan Ley unveiling the Liberal Party’s new look shadow cabinet.

Harvey explains how the Nationals appear to have the upper hand in the rekindled relationship, which resembles a married couple that hate each other but can’t divorce because of the kids.

​​​Check out UP LATE with Ben Harvey here.​​​

Matt Shrivell

‘Messy’: Former front bench Dutton ally says he is disappointed with new look Coalition

One of Peter Dutton’s strongest supporters, and a mouthpiece for the disastrous Liberal Federal election campaign, James Paterson, has spoken out about Sussan ley’s Cabinet reshuffle.

Paterson appeared on ABC radio and said it was a “messy process” before expressing disappointment for fellow colleagues, including former Coalition education spokesperson Sarah Henderson who was sent packing.

“I’m disappointed on behalf of Sarah in particular, who did a great job in her portfolio and is a valued colleague as well,” M Patterson said.

“We have the first female leader of the Liberal Party in Sussan Ley, and I think that’s a really important and significant development.

“And yes, the numbers of women in shadow cabinet and the shadow ministry will ebb and flow from time to time, but there are also new women coming forward into roles.

“Merit is the most important consideration in a reshuffle, but I’d be lying if I said merit is the only consideration.

“This is a political process, and leaders have to balance states. They have to balance the house representatives of the Senate. They have to balance gender, they have to balance the philosophical composition of their party rooms.”

Matt Shrivell

Grief, pain, anger: Families of Bondi victims to speak out

Loss, pain and outrage are expected to be at the forefront of comments by families of those killed during a stabbing rampage at a busy shopping mall.

The statements will begin on Thursday as a five-week inquest wraps up into the mass killing at Bondi Junction Westfield on April 13, 2024.

At the time, Joel Cauchi, 40, had been experiencing psychotic symptoms when he killed six people and injured 10 others, including a nine-month-old baby.

Dawn Singleton, 25, Ashlee Good, 38, Jade Young, 47, Pikria Darchia, 55, Yixuan Cheng, 27 and security guard Faraz Tahir, 30, died.

Ms Singleton’s mother and partner have already expressed anger after hearing her death announced by 2GB talkback radio host Ray Hadley before the family had been told by NSW Police.

“I find it highly offensive that (Hadley) appears to have capitalised on the unfathomable murder of my fiancee by immediately publicly broadcasting it on radio without even consulting her immediate family or myself,” her partner Ashley Wildey wrote.

Read the full story here.

Matt Shrivell

It’s nothing personal: Ley says Hume’s axing all part of the process

Sunrise host Natalie Barr asked Liberal leader Sussan Ley specifically about Victorian MP Jane Hume’s axing.

“Jane is a terrific talent, she will continue to play an important role as a Senator for Victoria,” Ms Ley said.

“Again, Nat, it’s about everybody. It isn’t about just the ones who happen to be in the shadow Ministry. Because when you walk into the building the House of Reps chamber or the reps chamber you’re there with incredible privilege to work hard for the Australian people.

Liberal leader Sussan Ley has announced her leadership team.
Liberal leader Sussan Ley has announced her leadership team. Credit: The Nightly

“While it might be commentary about individual members the only real issue for us now is how we get out there and we work hard for the people who brought us to that incredibly privileged position inside parliament.

“The commentary will take care of itself, but I’m very much focused now that the administration of setting up my team in Opposition is done to get out there and work very hard on the ground.”

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