Labor ‘urgently seeking’ details after Donald Trump threatens new tariffs as high as 200pc

The Albanese government is scrambling to get details after a shock tariff announcement from Donald Trump.

The Albanese government is “urgently seeking” details on Donald Trump’s threat to slap tariffs of 200 per cent on pharmaceuticals and 50 per cent on copper, Jim Chalmers says.

Australia is among the world’s top copper producers, but the bulk of exports go to Southeast Asia.

Last year copper exports to the US totalled just $55m.

Pharmaceuticals is another matter, with Australia’s exports to the US north of $2bn in 2024.

The Treasurer said on Wednesday that Washington’s latest announcement was “very concerning”.

Treasurer Jim Chalmers says the Albanese government is ‘urgently seeking’ details on newly floated US tariffs. Picture: Martin Ollman / NewsWire

“These are obviously very concerning developments,” Mr Chalmers told the ABC, adding that it had “been a feature of recent months that we’ve had these sorts of announcements out of DC”.

“It’s still early days. Obviously, we’ll make a more detailed assessment of what’s come out of the US in the usual way.”

With exports to the US accounting “for less than 1 per cent” of Australia’s copper exports, Mr Chalmers said he was far more worried about pharmaceuticals.

“Much more concerning are the developments around pharmaceuticals,” Mr Chalmers said.

“Our pharmaceuticals industry is much more exposed to the US market, and that’s why we’re seeking – urgently seeking – some more detail on what’s been announced.

“But I want to make it really clear once again … our Pharmaceutical Benefit Scheme is not something that we’re willing to trade away or do deals on – that won’t change.”

The US President announced the new levies at a cabinet meeting overnight.

US President Donald Trump says he could slap eye-watering tariffs on two major Australian exports. Picture: Picture: Andrew Caballero-Reynolds / AFP

“I believe the tariff on copper – we’re going to make it 50 per cent,” Mr Trump told reporters, with officials later adding it would come into effect by August.

On pharmaceuticals, he said the timeline could up to “a year and a half”.

“We’re going to give (drugmakers) about a year, a year and a half to come in, and after that, they’re going to be tariffed,” he said.

“They’re going to be tariffed at a very, very high rate, like 200 per cent.

“We’ll give them a certain period of time to get their act together.”

The Trump administration has been mulling over further sectoral tariffs to impose on top of the baseline and so-called “reciprocal” rates.

Australia was not named among those facing reciprocal levies announced earlier this year but was instead subjected to the universal 10 per cent imposts on all foreign imports – a position Anthony Albanese has said he did not expect to change.

Australian steel and aluminium have also been swept up in tariffs of up to 50 per cent.

In a statement, opposition trade spokesman Kevin Hogan accused the Albanese government of failing Australia.

Opposition trade spokesman Kevin Hogan says Labor has failed Australia. Picture: Glenn Campbell / NewsWire

He said the US imposing duties on Australian pharmaceuticals “would be a serious escalation” and blasted the Prime Minister for not securing a meeting with Mr Trump.

“This should have been raised at the highest levels months ago,” Mr Hogan said.

“It is frankly embarrassing that our Prime Minister has still not secured a meeting with President Trump.

“I don’t believe the PM has done everything he can to advance this important relationship.”

He added that Labor had “dropped the ball and Australian businesses are paying the price”.

“This is about our national interest,” Mr Hogan said.

“The government’s inaction is hurting Australian families and businesses. It’s time for the Prime Minister to lead.”

Originally published as Labor ‘urgently seeking’ details after Donald Trump threatens new tariffs as high as 200pc