Treasurer Jim Chalmers has warned that Australia will suffer from lower economic growth and higher prices because of Donald Trump’s policies, making Labor’s bid for reelection even harder in a contest that will be dominated by the cost of living.

Revealing details of Treasury analysis of the economic impact of Trump’s return to the White House, Dr Chalmers said Australia won’t escape the impact of a US-China trade war if the president-elect goes ahead with his threat to slug hefty tariffs on Chinese goods.