Australian news and politics recap June 2: Greens Senator Dorinda Cox leaves party to join Labor
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Key Events
Australia may take Trump tariff fight to global trade body
Australia is keeping its options open in the face of Donald Trump’s tariffs on steel and aluminium and goods imports, and could take its case to the global trade umpire.
The US president has announced a plan to double levies on foreign steel from 25 per cent to 50 per cent, which is due to come into effect this week.
Australian goods exports to the US are already subject to a 10 per cent baseline tariff.
The move has been branded an act of “economic self-harm” by Prime Minister Anthony Albanese, who is expected to sit down with the American leader on the sidelines of the G7 summit in Canada later in June.
Mr Trump’s deepening trade war is considered destabilising to the framework that has benefited middle powers such as Australia.
Asked if Australia might challenge the tariffs before the World Trade Organisation, cabinet minister Chris Bowen told the ABC on Sunday: “I’m sure we will consider all options available to defend the best interests of Australian industry.”
US presses Australia to lift defence budget after talks
US Defense Secretary Pete Hegseth asked Australia to increase its defence spending to 3.5 per cent of gross domestic product during a meeting with Australian Defence Minister Richard Marles, the Pentagon said.
The defence chiefs also discussed security issues on Sunday, including accelerating US defence capabilities in Australia, advancing defence industrial base cooperation and creating supply chain resilience, the defence department said in a statement.
“On defence spending, Secretary Hegseth conveyed that Australia should increase its defence spending to 3.5 per cent of its GDP as soon as possible,” the statement said.
