Australia has declined China’s proposal to form an alliance against the United States’ tariffs, imposed by President Donald Trump’s administration. The decision comes as Washington escalates its trade war with Beijing, imposing a 10 per cent import tax on Australian goods and significantly higher tariffs on Chinese products – 125 per cent.
China’s ambassador to Australia, Xiao Qian, suggested that joint resistance is the only way to counter the US’ “hegemonic and bullying behavior.” He also said, “The international community… should firmly say no to unilateralism and protectionism.”
However, Australian Prime Minister Anthony Albanese stated that his country will prioritise its national interests, “speak for ourselves” and not align with China’s stance.
Defence Minister Richard Marles emphasised that Australia will not be “holding China’s hand” and instead focus on diversifying its trade relationships.
“We’re not about to make common cause with China, that’s not what’s going to happen here. I don’t think we’ll be holding China’s hand,” Marles told Australia’s Nine News. “We don’t want to see a trade war between America and China, to be clear, but our focus is on actually diversifying our trade,” he added.
Australia has expressed frustration over the tariffs but has opted not to retaliate. Instead, the country is seeking further negotiations with the White House. Xiao Qian argued that the US has “weaponised” trade issues, potentially sabotaging the international order and dragging the global economy into chaos. He emphasised the need for Australia and China to cooperate in safeguarding a fair and free trading environment.
Australia is actively exploring alternative export opportunities outside the US. The country aims to reduce its reliance on China and bolster economic resilience by diversifying trade with nations like Indonesia, India, the UK, and the UAE. “Eighty percent of trade does not involve the United States. There are opportunities for Australia and we intend to seize them”, Albanese said. Australian Trade Minister Don Farrell has recently met with counterparts from Japan, Singapore, South Korea, and India.
