Peter Stefanovic, Host: But has Australia reportedly been told we aren't getting a letter? Joining us live is the Assistant Foreign Minister, Matt Thistlethwaite, and the Liberal Senator, Maria Kovacic. Good morning to you both. Matt, I'll start with you. So, are we getting a letter? Can you answer that?
Matt Thistlethwaite, Assistant Minister for Foreign Affairs and Trade: Well, we don't know yet. That'll all be announced this week, Pete. And obviously Australia, is opposed to the reciprocal tariffs that have been foreshadowed for our nation, there's been a pause on them. That pause ends this week. We've said that that's not the actions of a friend. We're negotiating to try and have those tariffs removed, but our expectation is that the tariff will remain. Australia's fared better than any other nation in the world. I think it's important to add that, there's no nation that's done better than Australia. We've got the minimum level at 10%. We're hopeful that that will be removed. We've been negotiating to have that removed because we've had a trade surplus traditionally with the United States. So, it doesn't make sense. And ultimately it's American consumers that will pay more for Australian goods. So, it doesn't make sense. No one wins for this.
Stefanovic: Right. There is a line in. I think it's in the Australian today, though, that says that our government had been told for some time that we just won't be getting a letter. The presumption there is that we'll just boomerang, using Bessent's words this morning, back to the 10% baseline. So, can you at least confirm that no, we're not getting a letter? That seems to be the advice that the government's saying.
Assistant Minister: Yeah, that's the expectation that we have. We've been trying to negotiate.
Stefanovic: [interjecting] But you won't be getting a letter, though?
Assistant Minister: But I don't know about whether or not we'll get a letter. But the expectation is that the 10% will remain. And as I said, it's unfortunate that it's American consumers that are going to pay for that with Australian goods that are imported into America.
Stefanovic: So, Maria, as Matt pointed out, it is the lowest out of any nation. So, is that something to be pleased about?
Maria Kovacic, Liberal Senator for NSW: Well, the problem we have is we just don't know. We don't know what we're getting. We don't know because the Prime Minister hasn't had the requisite conversations with the US President. And that's a big problem. To assume that we're just going to get the 10%, to assume that we're just going to, you know, proceed that way and not get a letter is not good enough. But, you know, the reality is, as Matt has pointed out, the government actually doesn't know because those conversations haven't been had. The opposition has been encouraging the government, supporting the government, to actually have constructive conversations with the United States President. And for some reason, in some 245 days since his election, there has been no conversation between Anthony Albanese and President Trump.
Stefanovic: But if we only get the 10%, which is the lowest out of any nation, Maria, isn't that an indication that, that, you know, things aren't too bad if that's the case? If we're the lowest out of any nation?
Kovacic: I think it's an indication that that's where the existing relationship has stepped in and ensured that we're protected from any higher tariffs. But don't for a moment assume that it's based on any effort from this Government because it's clear, it's obvious, everybody can see that that relationship, there is something wrong with it. And the Prime Minister hasn't adequately done things to actually repair it and ensure we are protected from higher tariffs.
Stefanovic: Is there something wrong with it, Matt? There is the point that the Prime Minister still hasn't seen Trump this term. There appears to be something there. Is there a problem?
Assistant Minister: Well, the Prime Minister sought a meeting with the president. We have one booked in at the G7, and President Trump cancelled that because he had to go back and deal with the situation in Iran. Now, Australia can't be blamed for that. And I think it's worth pointing out that in terms of the relationships with America, Australia has one of the strongest because we've got the minimum level of tariff. It appears that no nation is going to avoid having tariffs put on their products into the United States. So, of all of the nations in the world, Australia has done the best. And I think that that's a symbol of the strength of the relationship between the two countries.
Stefanovic: China now enters the conversation, Matt. And so you've got this speech that the Prime Minister gave on the weekend, the Curtin speech, that has some folks concerned that the Prime Minister is now pivoting more of his interest to China, which could have been picked up by American friends. As the PM prepares to fly to China this week, is he prioritising Beijing over Washington, bearing in mind that he's met Xi Jinping more than Donald Trump?
Assistant Minister: Not at all. We're acting as a government that's responsible and acting in the best interests of Australians. China's our largest trading partner. So, of course we're going to seek to ensure that we strengthen the markets that Australian goods can access. And the speech on the weekend was delivered at the Curtin Research Institute, so you'd expect that he'd talk about John Curtin. And it was John Curtin that established the defence relationship with the United States. And that's the point that the Prime Minister was making. We realigned our defence relationship in World War II away from our traditional ally, the United Kingdom, to the United States. And that was the actions of a Labor government. And it's been the foundation of our defence and security ever since. That's the point that the Prime Minister was making on the weekend, and that's the importance of that defence relationship.
Stefanovic: Maria, have you got a point on that? The speech and also this interesting op ed, another one by Xiao Qian, who wants us to expand our free trade deal to include AI. Is there any merit in that as well?
Kovacic: The thing that I'll say in relation to the Prime Minister's speech and, you know, the connection to, you know, what Curtin did historically is Australia's friendship with the U.S. and our strategic alliance with the U.S. has transcended leaders both here and in the U.S. Prime Ministers, Presidents, and it's transcended party politics. The problem and the concern that we have is that there seems to be a disconnect at the moment. And I'm not sure that the contents of that speech were well timed or well considered. I can understand why there's concern in relation to that almost in saying, well, you know, it doesn't really matter if you're not our good friend anymore because we've got another good friend over here. I think perhaps that should have been done a little bit differently. China is absolutely one of our most important trading partners. And it's important with any partnership that you have that there is respect attached to that. So, that's important. The discussion of AI is a really interesting one. Like all elements of our trade agreements, we have to look at it in the context of what benefits we derive from it versus, you know, what we're giving away.
Stefanovic: We've got a minute left, but just 30 seconds on each if I can. I mean, we've had these arson attacks, chants, graffiti, terrible weekend out of Melbourne with these antisemitic attacks. Noticed, picked up by Benjamin Netanyahu and not for the first time as well. Just if you can. Matt, do you think enough is being done other than words?
Assistant Minister: They're shocking attacks and there's no place for antisemitism in Australia and that's why the government's acted to strengthen those laws and I note that someone has been charged with that arson attack which is, which is positive that the offender has been caught and they'll be prosecuted in accordance with the law and in my electorate I've had some of these attacks and we've set up a group, an Operation Shelter local group where we've been working with local police and the leaders of the local shuls and Jewish schools to combat antisemitism it's got no place in Australia whatsoever.
Stefanovic: Alright, your thoughts to close Maria.
Kovacic: I think the government has been far too slow to act on antisemitism what we saw on Friday night was horrific these were Australians being attacked in Australia while they're having dinner and while they're practising their faith. There is no place for that here.
Stefanovic: Alright, Matt Maria, appreciate your time on this Monday morning Thanks again we'll chat to you again next week.