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Australia Pushes Back Against Proposed US Tariffs

(MENAFN) Australian Prime Minister Anthony Albanese has criticized a proposed US plan to impose a 12.5% tariff on Australian products, describing the dispute as an "ideological disagreement" between the two countries over trade policy.

The proposal, unveiled by the Trump administration on Tuesday, would introduce additional tariffs ranging from 10% to 12.5% on imports from more than 60 economies, including Australia. US officials have justified the measures by citing concerns about the alleged use of forced labor in production chains.

Commenting on the plan, Albanese said, "There is an ideological disagreement where the United States administration has broken with what was a decades-long understanding that tariffs are not positive for the country that is imposing them."

According to reports, a previous 10% tariff targeting Australian imports was overturned by the US Supreme Court in February.

The Australian leader argued that imposing duties on goods from Australia lacks justification and conflicts with existing free-trade arrangements between the two allied nations. He further stated, "They increase the cost of goods and services in the country that is applying them to its consumers, and … free trade is in the interests of the global economy."

Australian Trade Minister Don Farrell also voiced opposition to the proposed measures during discussions with US Trade Representative Jamieson Greer on the sidelines of an international economic meeting in Paris.

Addressing the issue, Farrell said, "It's one of which no notice was given. One of the things that we ask for in terms of international engagement is certainty. Australia and the United States are important allies."

Albanese additionally expressed concern over what he described as a pattern of shifting US trade decisions, stating, "It is unfortunate that there has been a rolling series of decisions, some of which change from time to time, but all of which do have a common theme, which is that the United States is a supporter of tariffs."

The dispute highlights growing differences between Canberra and Washington over the role of tariffs in international trade, despite the close economic and strategic ties that continue to link the two countries.

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