'Slap in the face': White House says Australia won't escape Trump's new tariffs

Australia is unlikely to escape Trump's tariffs on steel and aluminium, according to the White House.

Trump has announced he will impose tariffs on imported steel and aluminum.

Trump has announced he will impose tariffs on imported steel and aluminum. Source: Getty

The White House has said no countries will be exempt from US President Donald Trump's tariffs on steel and aluminium - not even "friends" like Australia.

Mr Trump recently announced he intends to raise the tariffs on steel and aluminium entering the US by 25 and 10 per cent respectively.

And White House Trade Adviser Peter Navarro has confirmed that "there will be an exemption procedure for particular cases where we need to have exemptions so that business can move forward, but at this point in time, there will be no country exclusions".

Tweeting this afternoon, Mr Trump said: "friends and enemies have taken advantage of the US for too long - its local industries are dead - and sorry, it is time for a change".

US Commerce Secretary Wilbur Ross said, "a lot of ministers from a lot of countries have been talking with the president".

"They've been talking with me. They've been talking with others. We'll see. The president makes the decisions," he said.

'A slap in the face'

It's a decision Malcolm Turnbull is sweating on.

The prime minister made personal pleas to the president in Washington last month to exempt Australia's resources industry.

Former Foreign Minister Bob Carr said, "it's certainly a slap in the face".

"I mean we were over there; a huge delegation of Australian business, all going on about 100 years of mateship. Well, if this is what mateship means, who wants mateship with the White House?" he said.

Canadian Prime Minister Justin Trudeau - whose country is the largest exporter of steel and aluminium to the US - said it's "unacceptable".

A trade war?

Washington insiders are also trying to work it out.

"What are we doing? If you look at all the products that are coming into the United States from Canada and Mexico, this is an ally. If we can't make an exception there, then how are we going to get a NAFTA deal?" said Bill Pascrell, the senior Democrat on the Ways and Means Trade Subcommittee. 



While Independent US Senator for Maine Angus King said: "there wasn't a great deal of consultation outside the Commerce Department and even then there was significant dissent and surprise, as I understand it".

Beijing said it doesn't want a trade war - but will not watch its economy suffer.

Although threats of retaliation are being dismissed by some.

"Retaliation isn't going to change the price of a can of beer. It isn't going to change the price of a car. It's just not going to," Mr Ross said.

But the fear is there - especially about a flood of steel entering Australia.

"The problem is if that material can't go into American markets it comes here. I want to know what Mr Turnbull's doing to protect tens of thousands of fair dinkum everyday jobs," opposition leader Bill Shorten said. 

And Innes Willox of the Australian Industry Group said: "we can't expect that a dispute that starts with steel and aluminium will just end at that point it will undoubtedly spread across other sectors of the economy".


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3 min read

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By Myles Morgan


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