• Source:JND
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As India braces for the impact of US President Donald Trump’s decision to impose steep 50 per cent tariffs on Indian goods, Australia has come forward with strong backing for New Delhi, calling the US move protectionist and counterproductive. Speaking to News18 on Thursday, Australian Trade Minister Don Farrell emphasised that Canberra’s position is rooted in its belief in open markets. “We are a country that believes in free and fair trade. We believe that the best way of ensuring prosperity is to continue free, fair, and open trade. We don’t support imposition of tariffs, whether on Australia or India,” Farrell stated. He stressed that “protectionism is not the way. It is free and fair trade.”

His remarks come as Australia and India are working to conclude their Comprehensive Economic Cooperation Agreement (CECA), a long-anticipated trade pact aimed at deepening economic ties. Farrell confirmed that talks are progressing, noting, “We had a full week of negotiations last week. We sent our top negotiator to New Delhi. We had a productive week of discussions, and I had two Zoom calls with Mr. Piyush Goyal.”

Strengthening Bilateral Trade

Farrell expressed optimism that “goodwill and current international circumstances” would help finalise the CECA soon. He underlined that both India and Australia, as countries committed to free trade, have strong incentives to expand their economic relationship in the face of rising global protectionism.

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Australia Post has temporarily suspended some postage services to the United States and Puerto Rico, citing complications from Trump’s tariff regime and changes in US customs rules for parcels. Until now, packages valued under US$800 could enter duty-free under “de minimis” provisions, but that exemption has been upended by the new policy shift.

Coordinated Pushback Against US Tariffs

Farrell’s statement came just a day after Australian Foreign Minister Penny Wong also made clear that Canberra does not support the US tariff hikes targeting India. “We don’t support tariffs. We believe in the logic of the post-war economic order, that openness can enable growth, and our economy is a testament to that,” Wong said. She credited Australia’s prosperity to decades of global trade and reaffirmed her government’s opposition to protectionist policies.

Highlighting the growing strategic convergence between India and Australia, Wong described the relationship as a “deep, strong, and trusted partnership.” She cited India’s critical role in the Indo-Pacific and referenced discussions with External Affairs Minister S. Jaishankar, urging Australia to enhance its engagement in the Indian Ocean.

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Wong added that both countries are working closely through the Quad and the Indian Ocean Rim Association (IORA) to align priorities and strengthen cooperation, underscoring that India and Australia share both economic and security objectives in the region.