Get all your news in one place.
100’s of premium titles.
One app.
Start reading
AAP
AAP
Kat Wong, Andrew Brown and Tess Ikonomou

Trump-Turnbull spat overshadows talk of tariff relief

Bickering between Donald Trump and Malcolm Turnbull may hurt Australia's hopes of tariff exemptions. (Mick Tsikas/AAP PHOTOS)

Australia's chances of a US tariff exemption hang in the balance as tensions continue to flare between Donald Trump and Malcolm Turnbull.

The US president and former Liberal prime minister launched a war of words days before Mr Trump's 25 per cent tariffs on steel and aluminium imports take effect on Wednesday.

While some are concerned the stoush could jeopardise Australia's attempts to negotiate an exemption, former ambassador to the US Arthur Sinodinos has brushed off the criticism.

"Malcolm's a private citizen, which means he's free to speak," he told AAP.

"At the end of the day, it's really the relationship between the prime minister and the president."

Former Australian Ambassador to the US Arthur Sinodinos (file image)
Arthur Sinodinos believes there's a less than even chance Australia will get tariff exemptions. (Lukas Coch/AAP PHOTOS)

Prime Minister Anthony Albanese says he will continue to work in Australia's interests, but the prospect of an exemption appears unlikely.

Australia has argued it should get an exemption because it imports more from the US than it exports - the same successful argument Mr Turnbull used when he was prime minister during Mr Trump's first term.

But members of the president's new administration are fighting harder to ensure no nation is exempt.

"The Americans are very serious about the tariffs - both on revenue grounds and also to encourage more protection of American industry and encourage growth and investment," Mr Sinodinos said.

"The chances are less than 50-50 that we'll get an exemption."

A steelworks factory in NSW (file image)
US tariffs will target Australian steel and aluminium imports. (Dean Lewins/AAP PHOTOS)

Mr Turnbull conceded the chances of another exemption were low because the administration had regrets over concessions granted in its first term.

He made his third anti-Trump foray in 24 hours on Tuesday morning, urging Australia to stand up for itself.

"We should be free to speak the truth," Mr Turnbull told ABC Radio.

"Or are we going to muzzle ourselves for fear of offending Mr Trump?"

The verbal joust started when Mr Trump posted a spray on social media platform Truth Social on Monday afternoon (AEDT) after Mr Turnbull gave a critical interview to the Bloomberg news service, branding the president rude, erratic and playing into China's hands.

"Malcolm Turnbull, the former Prime Minister of Australia who was always leading that wonderful country from "behind", never understood what was going on in China, nor did he have the capacity to do so," the president wrote.

"I always thought he was a weak and ineffective leader and, obviously, Australian's (sic) agreed with me!!!"

Mr Turnbull lost the prime ministership in a party leadership spill and was not voted out by the public.

The former prime minister previously said the US president was unpredictable and could not be trusted to take military action if Australia, long touted as a trusted and important US ally, was attacked.

Federal Opposition Leader Peter Dutton
Opposition Leader Peter Dutton wants the prime minister to urgently contact the US president. (Dave Hunt/AAP PHOTOS)

Opposition Leader Peter Dutton said Mr Albanese should call the US president immediately to ensure a tariff exemption.

"This is an incredibly important issue for our country, and the priority for me is to make sure that we protect Australian jobs, that we protect Australian industry," he told reporters on the Gold Coast.

Australian Constructors Association chief executive Jon Davies said the looming tariffs represented growing uncertainty for the sector, after being hit with material price rises after COVID and the war in Ukraine.

He said costs associated with steel products could rise because of the tariffs, which would impact construction prices.

"Any additional hit to the construction industry at this time will be extremely problematic," he told AAP.

"It has no contingencies left to weather any significant impacts or downturns."

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.