Malcolm Turnbull hopes to see China and the United States come to an agreement rather than hike tariffs against each other.
The prime minister said "no one wins from a trade war", after Donald Trump signed a presidential memorandum that could impose tariffs on up to $US60 billion of imports from China.
"We look forward to the US and China being able to negotiate a satisfactory arrangement that suits both sides," Mr Turnbull told reporters in Sydney on Friday.
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