Exclusive: Dfat memos obtained under freedom of information reveal confusion at US president-elect’s moves
Government ministers have urged calm over Donald Trump’s shifting tariffs as newly obtained documents reveal Australian officials grappled with the incoming US president’s “unclear” trade proposals in the wake of his election victory.
Talking points documents prepared by the Department of Foreign Affairs and Trade in the hours after Trump’s election win and obtained by the Guardian under freedom of information legislation said the government was not sure how his trade agenda could affect Australia.
“Trump presented numerous tariff proposals during the campaign … Currently, it is unclear which proposal will be implemented and how,” a Dfat talking points memo stated.
Trump’s tariff plan has so far focused on China, Canada and Mexico, but there are concerns that products like aluminium and steel could again be in his sights after he threatened trade barriers on Australian exports during his first term.
The Dfat memo was sent to dozens of key government staffers and public servants, including the department’s secretary, Jan Adams, and senior staff in the prime minister’s office. The line about “unclear” tariff proposals was recommended as a response to questions about what the government would do about Trump’s moves.
Other talking points memos suggested emphasising Australia and the US being “the closest of partners” across defence, foreign policy, climate and trade, and that the government would “continue to advocate for the United States to remain engaged in the world and our region, where it continues to play an indispensable role”.
The documents obtained under FoI also show snippets of emails between the ambassador to the US, Kevin Rudd, and senior advisers for Anthony Albanese and the foreign minister, Penny Wong, which appear to relate to Rudd organising a phone call with Trump.
Albanese was one of the first world leaders to speak to Trump in the days after his 5 November election win.
In a mostly redacted email, Rudd says, “hope that all helps”.
“Interesting times. Too interesting,” his email concluded.
On Tuesday, the treasurer, Jim Chalmers, described Trump’s tariffs on China, Canada and Mexico as “big developments” but “not a big surprise”. He warned Australia could be hurt by flow-on effects, after the New South Wales premier, Chris Minns, raised concerns that tariffs on China may see cheaper manufacturing products “dumped” in Australia.
The trade minister, Don Farrell, has said he is seeking urgent talks with his American counterpart to discuss Australia’s trade relationship, and to make the case for exemptions to any tariffs.
“We won’t be immune from trade tensions around the world but we’re confident that we can navigate these new policies out of the US,” Chalmers said.
“We’re well placed, we’re well prepared, and we’ve got a different kind of economic relationship with the US than some of these other countries that are being targeted.”
He noted that the US had a trade surplus with Australia, meaning Australia bought more goods from the US than it sold to Americans.
“Ours is an economic relationship of mutual benefit … We’re confident that we can navigate these changes out of the US,” he said.
Bran Black, the chief executive of the Business Council of Australia, said big companies were concerned about getting snared in Trump’s trade war, not only in terms of direct effects on exports to the US, but also in reduced demand for Australian goods from countries subject to tariffs.
“I think we do need to plan for any potential scenario in terms of tariffs. It would be imprudent for us to do otherwise,” he said.
“I was in Washington in the latter part of last year and the message there is very important – and that was that Australia has always been a reliably dependable ally and a great friend of the United States. And that is something that stands in our favour in terms of the potential imposition of tariffs on Australia.”
The shadow trade minister, Kevin Hogan, said the government has “a big job” in seeking to avoid tariffs.
