Trump Tariff Chaos Disrupts Australian Business Operations as 10% Levy Hits Trade

Photo by Galen Crout on Unsplash

Australian companies are grappling with unexpected 10% tariffs imposed by the United States, despite protections under the Australia-US Free Trade Agreement, creating widespread disruption across global supply chains.

The tariffs have forced businesses to stockpile goods, delay investment decisions and seek alternative suppliers as uncertainty surrounding President Donald Trump's trade policies continues, according to trade experts monitoring the situation.

"It's just ongoing chaos really coming out of the Trump White House," said Prue Gordon, executive director of the Australian Centre for International Trade and Investment. "These new tariff announcements and then pauses is just creating so much disruption to global markets."

The 10% tariff represents a significant departure from previous trade relations between the two countries. Under the existing free trade agreement, Australia previously faced no tariffs on exports to the United States.

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