'Australia is killing our aluminium market', Trump's top trade adviser says

U.S. President Donald Trump's chief trade advisor has stated that Australia is "killing" the U.S. aluminum market, potentially undermining the Australian government's hopes of securing an exemption from the 25% import tariffs. Trump previously signed an order imposing 25% tariffs on steel and aluminum imports, stating that the move was aimed at revitalizing American domestic industries and ensuring their long-term viability.

During a press conference held in the Oval Office at the White House, Trump mentioned that he had a phone conversation with Australian Prime Minister Anthony Albanese regarding this issue. Albanese indicated that Trump had agreed to "consider" a possible tariff exemption for Australia, acknowledging the close relationship between the two nations.

Subsequently, at the White House, Trump stated that the tariffs had "no exceptions," but when directly asked about Australia, he said he would "seriously consider" the idea of an exemption. Trump referred to Albanese as "a very good man," suggesting a willingness to engage in further discussions regarding trade relations.

However, Trump's senior trade advisor, Peter Navarro, cast a significant shadow on this notion during an interview with CNN. He stated, "Australia is killing our aluminum market. What they did is after (former President Joe Biden) made a deal, they flooded our market, and that deal said, 'Don't flood our market.'" This statement highlights the tension and disagreement within the administration regarding the treatment of Australian aluminum imports.

Navarro also stated that the U.S. aluminum industry is "on its knees" with a capacity utilization rate of only 50%, while Australia's is as high as 90%. Australia was criticized again in Trump's tariff announcement released from the White House yesterday. The document noted: "Imports of primary aluminum from Australia have also increased significantly, up approximately 103 percent in 2024 compared to the average from 2015 to 2017. Australia ignored its verbal commitment to voluntarily limit aluminum exports to a reasonable level."