Penny Wong says US-Australia trading of ‘great benefit’ to America

As she prepares to attend Donald Trump’s inauguration, foreign Minister Penny Wong has revealed how she’ll handle Donald Trump’s plan for universal tariffs and defence support.

Australia’s argument to dodge Donald Trump’s plan for universal tariffs has been laid out by Foreign Minister Penny Wong ahead of talks with senior members of his new administration.

While Senator Wong refused to be drawn on the challenges the incoming president posed to Australia, she acknowledged the Albanese government was prepared to deal with his threat to impose sweeping tariffs on imports to the US.

She said she would remind those close to Mr Trump that the US-Australia trading relationship was of “great benefit” to America.

“America has had a trade surplus with us since the Truman presidency, so that’s a long time … That trade surplus is two to one in America’s favour,” Senator Wong said.

“Around half of our Australian exports to the US are inputs to US production.”

Speaking in Washington DC, Senator Wong declared she was proud to be the first Australian foreign minister to be invited to a US presidential inauguration.

Senator Penny Wong will be attending Donald Trump’s inauguration. Picture: Jacquelin Magnay

“We are only one of a small handful of foreign governments to receive this invitation, a demonstration of the steadfast alliance between Australia and the United States,” she said.

“The alliance is critical to both our nations and it is critical to our region … The US is our closest global partner, it is our most important strategic relationship.”

After Mr Trump’s inauguration, she was due to meet with his top diplomat Marco Rubio, who last week calmed the nerves of the Albanese government by giving the administration’s support to the AUKUS defence pact.

“This is one of the ways in which partnerships and alliances can be utilised to enhance collective deterrence, collective strength, and that is so important for peace and security,” Senator Wong said.

But she refused to be drawn on whether Australia was prepared to meet any request from Mr Trump to increase defence spending, with the President-elect already pressuring America’s NATO allies to increase their military expenditure in recognition of US support.

Penny Wong has defended Kevin Rudd’s effectiveness as Australia’s Ambassador to the US.

The Foreign Minister held a press conference at the residence of Kevin Rudd, Australia’s ambassador to the US, although he did not appear with her after weeks of speculation about his future in the role given his past criticisms of the incoming president.

She defended the former prime minister’s effectiveness in the diplomatic post, pointing to his meeting this month with Mr Trump which she said led to her invitation to the inauguration.

Prime Minister Anthony Albanese is unlikely to meet Mr Trump until after the federal election, which is due by May, and Senator Wong dodged questions about whether he was keeping in touch with him after their initial call in the wake of the Republican’s election victory.

“I will, along with all of the cabinet, take an approach which is considered, which is careful, which is well prepared and thorough, and which will look to Australia’s interests,” she said of their strategy for dealing with the Trump administration.