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Monday, 7 July 2025
Subjects: PM Albanese’s failure to meet with President Trump, tariffs, PM Albanese’s visit to China, Antisemitism.
E&OE
Peter Stefanovic:
Joining us live is the Assistant Foreign Minister, Matt Thistlethwaite, and the Liberal Senator Maria Kovacic. Good morning to you both.
Matt, I'll start with you. So, are we getting a letter? Can you answer that?
Matt Thistlethwaite MP:
Well, we don't know yet. That will be announced this week, Pete. And obviously, Australia is opposed to the reciprocal tariffs that have been foreshadowed for our nation.
There's been a pause on them – that pause ends this week. We've said that that's not the actions of a friend.
We're negotiating to try and have those tariffs removed. But our expectation is that the tariffs will remain.
Australia's fared better than any other nation in the world. I think it's important to add that. There's no nation that's done better than Australia. We've got the minimum level at 10%.
We're hopeful that that will be removed. We've been negotiating to have that removed because we've had a trade surplus traditionally with the United States.
It doesn't make sense. And ultimately, it's American consumers that will pay more for Australian goods. So, it doesn't make sense. No one wins from this.
Peter Stefanovic:
There is a line – I think it's in The Australian today – that says that our government had been told for some time that we just won't be getting a letter.
The presumption there is that we'll just, boomerang using Besson's words this morning, back to the 10% baseline.
So, can you at least confirm that? No, we're not getting a letter. That seems to be the advice of the government, saying?
Matt Thistlethwaite MP:
Yeah, that's the expectation that we have. We've been trying to negotiate.
Peter Stefanovic:
You won't be getting a letter?
Matt Thistlethwaite MP:
But that – I don't know about whether or not we'll get a letter. But the expectation is that the 10% will remain.
And as I said, it's unfortunate that it's American consumers that are going to pay for that, with Australian goods that are imported into America.
Peter Stefanovic:
So, Maria, as Matt pointed out, it is the lowest out of any nation. So, is that something to be pleased about?
Senator Maria Kovacic:
Well, the problem we have is we just don't know. We don't know what we're getting. We don't know because the Prime Minister hasn't had the requisite conversations with the US President. And that's a big problem.
To assume that we're just going to get the 10%, to assume that we're just going to proceed that way and not get a letter is not good enough.
But, you know, the reality is – as Matt has pointed out – the government actually doesn't know because those conversations haven't been had.
The opposition has been encouraging the government, supporting the government, to actually have constructive conversations with the United States President.
And for some reason, in some 245 days since his election, there has been no conversation between Anthony Albanese and President Trump.
Peter Stefanovic:
But if we only get the 10%, which is the lowest out of any nation, Maria, isn't that an indication that things aren't too bad, if that's the case – that we're the lowest out of any nation?
Senator Maria Kovacic:
I think it's an indication that that's where the existing relationship has stepped in and ensured that we're protected from any higher tariffs.
But don't for a moment assume that it's based on any effort from this government, because it's clear. It's obvious. Everybody can see that relationship – there's something wrong with it.
And the Prime Minister hasn't adequately done things to actually repair it and ensure that we are protected from higher tariffs.
Peter Stefanovic:
Is there something wrong with it, Matt? There is the point that the Prime Minister still hasn't seen Trump this term – that there appears to be something there. Is there a problem?
Matt Thistlethwaite MP:
Well, the Prime Minister's sought a meeting with the President.
We had one booked in at the G7, and President Trump cancelled that because he had to go back and deal with the situation in Iran.
Now, Australia can't be blamed for that. And I think it's worth pointing out that in terms of relationships with America, Australia has one of the strongest because we've got the minimum level of tariff.
It appears that no nation is going to avoid having tariffs put on their products into the United States.
So, of all the nations in the world, Australia has done the best. And I think that that's a symbol of the strength of the relationship between the two countries.
Peter Stefanovic:
China now enters the conversation, Matt.
You've got this speech that the Prime Minister gave on the weekend – the Curtin speech – that has some folks concerned the Prime Minister is now pivoting more of his interest to China, which could have been picked up by American friends.
As the PM prepares to fly to China this week, is he prioritising Beijing over Washington, bearing in mind that he's met Xi Jinping more than Donald Trump?
Matt Thistlethwaite MP:
Not at all. We're acting as a government that's responsible and acting in the best interests of Australians.
China's our largest trading partner. So, of course, we're going to seek to ensure that we strengthen the markets that Australian goods can access.
The speech on the weekend was delivered at the Curtin Research Institute – so you'd expect that he'd talk about John Curtin.
It was John Curtin that established the defence relationship with the United States.
That's the point the Prime Minister was making. We realigned our defence relationship in World War Two away from our traditional ally, the United Kingdom, to the United States.
That was the action of a Labor government, and it's been the foundation of our defence and security ever since.
That's the point the Prime Minister was making on the weekend – the importance of that defence relationship.
Peter Stefanovic:
Have you got a point on that – the speech, and also this interesting op-ed, another one by Xiao Qian, who wants us to expand the free trade deal to include AI? Is there any merit in that as well?
Senator Maria Kovacic:
The thing that I'll say in relation to the Prime Minister's speech and the connection to what Curtin did historically is – Australia's friendship with the US and our strategic alliance with the US has transcended leaders, both here and in the US – prime ministers, presidents – and it's transcended party politics.
The problem and concern that we have is there seems to be a disconnect at the moment. I'm not sure the contents of that speech were well timed or well considered.
I can understand why there's concern in relation to that – almost in saying, well, it doesn't really matter if you're not our good friend anymore, because we've got another good friend over here.
I think perhaps that should have been done a little bit differently.
China is absolutely one of our most important trading partners, and it's important with any partnership that there is respect attached to that.
The discussion of AI is a really interesting one. Like all elements of our trade agreements, we have to look at it in the context of what benefits we derive from it versus what we're giving away.
Peter Stefanovic:
We've got a minute left, but just 30 seconds on each if I can.
We've had these arson attacks, chants, graffiti – a terrible weekend out of Melbourne with these antisemitic attacks, noticed and picked up by Benjamin Netanyahu, and not for the first time as well.
Just if you can, Matt – do you think enough is being done other than words?
Matt Thistlethwaite MP:
They're shocking attacks, and there's no place for antisemitism in Australia.
That's why the government acted to strengthen those laws.
I note that someone has been charged with that arson attack, which is positive – the offender has been caught, and they'll be prosecuted in accordance with the law.
In my electorate, I've had some of these attacks, and we've set up a group – an Operation Shelter local group – where we've been working with local police and the leaders of the local schools and Jewish schools to combat antisemitism.
It's got no place in Australia whatsoever.
Peter Stefanovic:
All right – your thoughts to close, Maria?
Senator Maria Kovacic:
I think the government has been far too slow to act on antisemitism.
What we saw on Friday night was horrific. These were Australians being attacked in Australia while they're having dinner and while they're practising their faith.
There is no place for that here.
Peter Stefanovic:
All right. Matt, Maria, I appreciate your time on this Monday morning. Thanks again. We'll chat to you.
[ENDS]