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Tariff defiance begins with call to buy Australian made

The next federal budget will include extra support for a “buy Australian” campaign. (Darren England/AAP PHOTOS)

By Kat Wong, Rachel Jackson and Andrew Brown in Canberra

Advertisements encouraging shoppers to buy Australian made could return to TV screens as the government looks to boost local manufacturers hit by hefty US tariffs.

Consumers from Canada to Europe have started boycotting American goods after President Donald Trump on Wednesday slapped 25 per cent tariffs on steel and aluminium imports from trading partners, including Australia.

Asked if Australians should do the same, Prime Minister Anthony Albanese said the budget on March 25 would include extra support for a “buy Australian” campaign.

“I would urge Australians, if they’re in a local shop, to look to buy Australian,” he told ABC radio on Thursday.

“That’s the one way that consumers can assist to create jobs here and to support our local industries.”

Mr Trump’s unprecedented treatment of America’s closest allies has drawn a backlash from some Australians.

Media student Charlie Lancaster said the tariffs made him less willing to buy some American products, such as a car from the Elon Musk-run Tesla.

“I’m more inclined than ever to support Australian, local homegrown stuff,” he said.

“Not the entire catastrophe going on in the United States.”

The tariffs were “very disappointing”, the prime minister reiterated, but the government will continue to negotiate for an exemption.

Trade Minister Don Farrell said Australia would remain calm and collected rather than hitting back with retaliatory tariffs, as Canada and the European Union have done.

“There’s $30 billion worth of products that we sell to the United States,” he said.

“We don’t want any of those products that haven’t yet been subject to the tariff to be subject to the tariff.”

Foreign Minister Penny Wong hinted abundant critical mineral resources have been raised in discussions with the US, after Mr Trump recently talked about the importance of US access and supply.

Australia might be able to wind back or avoid tariffs if it presents the US with an enticing critical minerals deal, United States Studies Centre economic security program director Hayley Channer says.

“Ultimately, Trump will want to secure deals and wind back tariffs for concessions,” she told AAP.

Australia has a lot of advantages as a critical minerals partner because of its mining technology and strong regulations compared to other mineral-producing nations.

“US trade policy is in complete chaos,” Ms Channer said.

“But Australia can’t give up – it needs the US for trade in cars, defence tech, planes and pharmaceuticals.”

Opposition Leader Peter Dutton continues to claim a coalition government would have been able to strike an exemption with the US.

“I completely and utterly disagree with the decision President Trump’s made, but it’s up to our prime minister to stand up for our country’s interests,” he told Nine’s Today show.

During Mr Trump’s first term, the president granted a handful of exemptions to countries such as Brazil, South Korea and Australia.

But the president’s trade adviser Peter Navarro has accused Australia of “killing” the US aluminium industry by dumping cheap government-subsidised exports in America.

A union secretary representing workers from BlueScope’s Port Kembla Steelworks, which produces steel products sold to the US, says Australia needs to bolster its domestic industry.

“The principle motivation for Trump … is to steal our industry,” South Coast Labour Council secretary Arthur Rorris told AAP.

“We have more than enough of a market here to use every last ounce of steel made at our steelworks.”

Australia sends about $800 million worth of steel to the US each year, representing 0.2 per cent of all exports to the nation and ally.

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