Melbourne: Australia has welcomed a significant move by the United States to lift tariffs on more than 200 Australian food items, including beef, but will continue efforts to achieve a zero-tariff agreement across all US imports. This development was announced by Australia’s Foreign Minister Penny Wong in an interview with the Australian Broadcasting Corporation (ABC) on Monday, highlighting the positive impact on Australian beef producers. Despite this progress, Wong refrained from commenting on the potential reduction of the 50 percent tariffs on Australian steel and aluminum, emphasizing the government’s commitment to defending its trade position.
According to Thai News Agency, US President Donald Trump signed an executive order on Friday that canceled tariffs on a wide range of Australian food imports such as beef, tea, juice, cocoa, bananas, tropical fruits, and tomatoes. This move comes as a relief for Australian exporters, especially since Australia was the largest exporter of red meat to the US in 2024, shipping 397,716 tonnes worth US$4.16 billion. Despite the imposition of new tariffs in April, the US remains Australia’s largest beef export market, driven by a demand for cheaper, low-fat beef which is scarce in the US due to its lowest beef production levels in 70 years.
The ABC website further reports that the executive order, effective retroactively from midnight Thursday, ensures that Australian importers who had already paid duties will receive refunds. The decision is seen as a response to domestic pressure on the US administration to lower the cost of living, fulfilling a campaign promise made during last year’s presidential elections. The Australian government, led by Prime Minister Anthony Albanese, plans to leverage this development to push for a comprehensive zero-percent reciprocal tariff agreement with the US.