Australia’s PM Anthony Albanese has assured a “warm conversation” with US President Donald Trump on tariffs and AUKUS, only days after winning a second term. The conversation at this tense moment has been triggered by Trump’s tariff measures, which have upset Australian voters.
With living-cost pressures and global economic uncertainty in the background, PM Anthony Albanese now has a delicate task ahead—upholding strategic ties while guarding national interests.
Policy-Reversal Driven Comeback Win
PM Anthony Albanese led the center-left Labor Party to a decisive election victory, despite pre-election polls that tipped in favor of the conservative Liberal-National coalition. The victory makes him the first Australian PM in twenty years to achieve consecutive terms.
Labor jumped ahead after inflation eased in early 2025 and voters spurned the conservative agenda to cut the public sector and limit remote work. These initiatives were reminiscent of Trump-era US policy and repelled crucial urban voters.
Trump’s Tariff Shockwaves and Public Fear
Trump levied a 10% tariff on Australian products in April, even though there was a US trade surplus with Australia. PM Anthony Albanese publicly criticized the action as “not the act of a friend.
The tariff question was at the forefront during the Australian election. The majority of voters, according to one poll, had among their top five concerns Trump-related uncertainties, with 48%. Most people were scared that the tariffs would hurt their retirement funds and drive up living expenses.
AUKUS Still Has Strategic Leverage
Regardless of the tariff controversy, both leaders underlined the significance of the AUKUS agreement. Albanese reaffirmed Australia’s $238 billion commitment to nuclear-powered submarines for the next 30 years, entered into with the US and UK jointly.
He indicated that future interactions with Trump would occur “face-to-face,” emphasizing the long-standing security cooperation between the two countries.
Trump’s Backhanded Compliment and Shadow Over the Polls
Trump, speaking from the White House, said he had no prior knowledge of the Australian election but praised Albanese as “very good” and “respectful.” He added, “Albanese I’m very friendly with.”
Yet Trump’s shadow hung over the election campaign. Opposition leader Peter Dutton probably lost his seat because people turned against Trump’s policies in public. Even conservative MP Jason Wood conceded that his party under-estimated the backlash. “We never considered the fallout over Trump with tariffs would occur,” he said in an interview on ABC Radio.
Global Warning for Trump-Aligned Conservatives
Albanese’s victory, as with the recent Canadian election, marks an increasing backlash against populist, Trump-style economic nationalism. The tariff controversy now serves as a test of public tolerance for erratic trade maneuvers.
Australia’s outcome may caution other right-wing leaders: embracing Trump is no longer a vote-winner.
