<
https://theconversation.com/the-next-round-in-the-us-trade-war-has-the-potential-to-be-more-damaging-for-australia-252377>
"On April 2 the United States is set to implement a new wave of tariffs under
its Fair and Reciprocal Trade Plan. Details of the plan that will impact all US
trading partners are not yet known, but the US administration has suggested
these tariffs will target any rules it considers “unfair”.
This means the April 2 tariffs may take aim at a range of Australian domestic
policies, such as biosecurity rules that govern food imports, and the
government’s Pharmaceutical Benefits Scheme (PBS).
The size of the hit is uncertain. One report indicates a relatively modest
tariff between 2% and 8% is being considered, below the 25% rate imposed on
steel and aluminium on March 12. But it will apply to a much larger set of
exports.
Australia and the US have been allies for over a century. The two nations
celebrated a “century of mateship” in 2018. More formally, the two countries
have a current free trade agreement, Australia-United States Free Trade
Agreement (AUSFTA).
The agreement was negotiated in good faith, and entered into force on January
1, 2005. It called for the elimination of tariffs between the two nations over
time, and until now both parties have upheld their respective bargains. The
so-called “reciprocal” tariff plan would breach that agreement."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
