Will international laws affect the way Aussies shop soon? Lecturer shares his thoughts

Australians are no strangers to the ebb and flow of the global economy.

In return, these changes could impact everyone's daily lives—from the price of petrol to the cost of a loaf of bread.

Yet, recent developments in international trade could have a more significant effect on everyone's wallets in the most unexpected way possible.


United States (US) President Donald Trump recently rolled out a series of tariffs across the world, and Australia is not immune to the consequences.

David Leaney, a lecturer at the Australian National University's College of Business and Economics, spoke about the potential fallout from Trump's tariffs on our prime exports, including beef, steel, and aluminium.

Despite any efforts from the Australian government to secure exemptions, Aussies could feel a pinch on their wallets soon.


compressed-pexels-supermarkets.jpeg
The price of supermarket goods may rise soon due to massive changes in US laws. Image Credit: Pexels/Gustavo Fring


'You can't quarantine the impact of tariffs just to one area,' Leaney explained.

'The bad news is that there is an impact on Australian consumers' cost of living from Trump's love affair with tariffs.'

The severity of this impact is still up for debate, but history offered some insight into the looming changes.

In 2018, then-Prime Minister Malcolm Turnbull celebrated an exemption for Australian steel.

However, Leaney suggested that this victory was more symbolic than substantial.

With only a tiny fraction of Australia's steel exports going to the US, the exemption did little to shield our economy from the broader effects of the tariffs.


When Trump targeted Chinese steel, it led to a reduction in production.

This reduction meant that China bought less Australian iron ore.

'China adjusted its supply to match the demand and didn't really get hurt,' Leaney said.

'The one that got hurt was Australia because it really impacted our iron ore exports to China. So, when you're trying to hurt Country A, it's Country B that often ends up hurt.'
Trump's proposed tariffs included a 25 per cent tariff on most imports from Mexico and Canada, which former Canadian Prime Minister Justin Trudeau criticised as 'd***'.

Additionally, many Chinese goods were also subjected to a 10 to 15 per cent tariff, with the possibility of an increase to 20 per cent across the board.

Trump also suggested reinstating a 25 per cent tariff on all steel and aluminium imports to boost US production and protect local jobs.


While these measures might be aimed at bolstering the American industry and workforce, they could also lead to higher steel prices in the US due to the inability to manufacture exports as cheaply as China.

That is when Australians might start to feel the pinch.

As tariffs drive up manufacturing costs in the US, the price of goods imported into Australia could also rise.

Everyday items inside supermarkets could see a price increase.

The cost of Australian exports might also climb as tariffs make Australian products less competitive on the global market, potentially leading to a decrease in demand and a subsequent hit to the economy.

In addition, superannuation funds may take a hit due to these tariffs implemented by the United States government.

Learn more about the possible changes here.

So, what can consumers do this time?

It's essential to stay informed about these international developments and understand how they might affect daily expenses.
Key Takeaways

  • Tariffs imposed by the US are expected to have a secondary impact on the cost of living in Australia.
  • ANU lecturer David Leaney suggested that Australian leaders' efforts to secure exemptions on key exports may not prevent the broader economic effects of these tariffs.
  • Despite a previous tariff exemption for Australian steel, a significant drop in Chinese steel production affected Australian iron ore exports.
  • The broader imposition of tariffs is likely to raise steel prices in the US, which could lead to economic repercussions that could ripple through to Australia.
Have you noticed any changes in the prices of your regular purchases? Are you concerned about how these international laws affect your cost of living? Share your thoughts and opinions with us in the comments below.
 

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Cudoes,Keeps the blood cuiculating 😅 (y). Be boring and unproductive if everyone agreed on everything.🙃 😜.
I`m going to close this up now, but I must let you know how much happier I`m feeling now that I have an outlet to express myself. I`ve been opiniated for a long time, but felt I did not have an interested ear, in fact have been ignored by my family and friends who often don`t have any opinion at all! I don`t mind arguing a point but this can be construed as being as being argumentative or a smart A..S. I have found another benefit of the SDC is that although you think you have certain views about issues, they can be challenged by others and this is not a bad thing either.
 
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I collect militaria, badges, uniforms, books etc and have a mad addiction to judge dredd paraphernalia and books, ( don't judge me, ha,ha ) been reading it since it first came out, and I've been charged upwards of $60 postage for just 1 magazine ( $28) I needed for collection from england,and have paid $125 postage for military merchandise from USA. Didn't really think much of it till friend payed small fortune for a parcel from Perth, item was expensive and had to pay insurance, probably why.
 
I`m going to close this up now, but I must let you know how much happier I`m feeling now that I have an outlet to express myself. I`ve been opiniated for a long time, but felt I did not have an interested ear, in fact have been ignored by my family and friends who often don`t have any opinion at all! I don`t mind arguing a point but this can be construed as being as being argumentative or a smart A..S. I have found another benefit of the SDC is that although you think you have certain views about issues, they can be challenged by others and this is not a bad thing either.
🥰👍✌️.
 
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I`m going to close this up now, but I must let you know how much happier I`m feeling now that I have an outlet to express myself. I`ve been opiniated for a long time, but felt I did not have an interested ear, in fact have been ignored by my family and friends who often don`t have any opinion at all! I don`t mind arguing a point but this can be construed as being as being argumentative or a smart A..S. I have found another benefit of the SDC is that although you think you have certain views about issues, they can be challenged by others and this is not a bad thing either.
Sweet dreams , see you tomorrow for another round, good night.
 
We should be able to sustain at least Toyota making the Hilux and RAV4 here. We have a French company Thales making Bushmaster and Hawkei Armoref Personnel Carriers here and Albo has given 90 Bushmasters to Ukraine worth $200 million.
If we kicked out the French and had a car maker making both cars and military vehicles it would make a lot of sense. But then we have very little common sense in Australia……
Oh, I can just see it now, all the cowcocky's driving around in bushmasters, they wont want a Hilux if there's a bushmaster in the same lot. If you remember people used to join the military to gain a trade, now they need a trade to get into a lot of positions. It is like the oops moment we had years ago and sold aircraft to NZ only to find out they still needed it. So NZ said we'll rent them back to you with our pilots. It sort of makes you think about the Gruen ad and smile.
 
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What I have said is fact re Lebanese , coming here ,I don’t google or any of that , just stating facts of what happened . I’m sure you will find what I’m saying is true with some research,I watched all this on TV.
That wasn't intended for you, sorry ✌️.
 
Where did "Trump Derangement Syndrome People" come from and what does it mean"?
Hmm would have thought a smart person like you would have that nailed - it means no matter what he does for his country or overseas is met with mindless hysteria and condemnation and ridicule!
The unhealthy fixation with DT has created TDS - Trump Derangement Syndrome ! I am constantly amazed at what people believe - at least it gives the thinking and open minded of us a source of amusement.
 

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