Part 6/8:
The reaction from policymakers, trade analysts, and industry stakeholders remains cautiously pragmatic. Alex Robson from the Productivity Commission underscored that the most effective approach now is to focus on removing nuisance tariffs domestically rather than engaging in tit-for-tat retaliation. This stance aligns with broader advice to prioritize certainty and stability in trade policies.
Analysts note that despite the relatively moderate tariff, the threat of future escalation persists, especially given the high-profile nature of U.S.-China trade tensions and other global trade disputes. Australia’s reliance on exports, especially commodities and agricultural products, makes it vulnerable to changes in U.S. policy.