SYDNEY: Australia has dismissed a call from China to form a united front against escalating U.S. tariffs, signaling a firm stance on prioritizing its own trade diversification strategy.
Deputy Prime Minister Richard Marles rejected the Chinese ambassador’s suggestion to “join hands” in opposition to U.S. trade measures, stating Australia would not align with Beijing in any global disputes. “We’re not going to be holding hands with China in respect of any contest that is going on in the world,” Marles told in a statement to Sky News. “We are focused on advancing Australia’s national interest.”
Instead, Marles emphasized Australia’s commitment to reducing economic reliance on China, its top trading partner, by strengthening ties with other regions including the European Union, India, Indonesia, Britain, and the Middle East.
The comments came in response to a column by China’s Ambassador to Australia, Xiao Qian, who urged closer collaboration between Canberra and Beijing to uphold multilateral trade rules amid rising global tensions.
This diplomatic exchange follows a dramatic announcement by U.S. President Donald Trump, who opted to temporarily ease tariffs on many countries while sharply increasing duties on Chinese imports—from 104% to 125%—intensifying the ongoing U.S.-China trade war.
While Australia sends nearly one-third of its exports to China, its trade with the U.S. represents less than 5%. Despite this, Trump has included Australia in his new tariff regime, imposing a 10% duty on all Australian imports, a move Prime Minister Anthony Albanese described as lacking any rational basis.
Albanese said his government would not retaliate, reaffirming Australia’s strategy to boost economic resilience amid growing global trade uncertainties. The Reserve Bank of Australia has also warned that the unpredictability surrounding tariffs could dampen investment and consumer confidence.
