US Breaches Aus Trust

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    The US bunging of tariffs on its importation of Aus Steel and Aluminium
    is, IMO, a wake up call for Aus and confirms what US sceptics have
    always thought; that is that in an emergency that the US cant be
    trusted.

    Lets look at the tariffs now in place:
    $800 million of Steel & Aluminium exports with a 25% tariff would yield
    the US coffers $200 million P/A...that is if these tariffs dont scotch this
    tade altogether. So can we assume (best case scenario for the USA)
    that the US will sell us out for $200 million P/A?

    If these tariffs stop Aus Steel & Aluminium exports to the USA then
    the US wont collect the Trump touted tariff windfall to prop up US
    manufacturing but instead we'll simply have to find an alternative market.
    The bottom line here is that these tariffs effectively tear up our longstanding
    Free Trade Agreement (FTA) with the USA

    The irony of these tariffs is that the US has run a significant trade surplus
    with Aus since the FTA was instituted.

    So the big question is:
    Where will we export our surplus production Steel and Aluminium to?
    Will it be to China? IMO China could gain amazing "Brownie Points" in Aus
    by taking our $800 million metals exports even though China is the world's leading
    exporter of both Steel & Aluminium .
 
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