E&OE TRANSCRIPT
Topics: Prime Minister’s phone call with President Trump; Aluminium and steel tariffs; Taxes; Peter Dutton’s risky cuts.
SARAH ABO, HOST: Welcome back to Today. Well, Anthony Albanese will hold a crucial phone call with Donald Trump today. The PM under pressure to exempt Australia from Donald Trump's looming 25 per cent tariffs on steel and aluminium. The move already sparking market jitters and a dip in the value of the Aussie dollar. Joining us to discuss today's headlines is Minister for Social Services Amanda Rishworth and Queensland Senator Matt Canavan. Good to see you both. Amanda, talk about a pre-election test for the PM. How confident are you that he'll be able to persuade President Trump to spare us?
AMANDA RISHWORTH, MINISTER FOR SOCIAL SERVICES: Firstly, I would say that our Prime Minister has demonstrated during his time to be able to develop really important person-to-person relations with world leaders across the globe and has delivered results for Australia. And I know that our Prime Minister will always back Australia's national interests and I think Australians know that. So, we work very hard. The PM has obviously already had a phone call with President Trump before he actually took his position in the White House. Our Foreign Minister was one of the few world leaders invited to the inauguration. Of course, we've been building those person-to-person links through our Government. So, look, we are working very hard and we'll keep working very hard using every channel available to us.
SARAH ABO: I guess that's what makes it a bit more of a concern. We do have such strong ties with the US but we're not exempt. I mean, Matt, Australia exported about $640 million worth of steel and $440 million worth of aluminium to the US last year. That is low in comparison to Canada and Mexico, who seem to be the big targets for Trump. But how much is at stake for us if these tariffs are imposed?
MATT CANAVAN, NATIONALS SENATOR: Look, obviously it's important. It is a mess of the Prime Minister's own making here. He appointed Kevin Rudd after Kevin had made the injudicious comments about Donald Trump. And having dug that hole, he needs to dig us out of it here. It's up to him now. The test is on him. But we shouldn't also panic either. As you say, they're not our biggest market for these products. We saw China impose trade bans on us a few years ago on our coal and our barley. We got through that because we've got a very good product. We can sell it to other countries. What we should be focused on too is our own internal tariffs. We, we put a carbon tax on all of these factories, we put a carbon tax on aluminium smelters, we put a carbon tax on steel mills thanks to this government.
AMANDA RISHWORTH: That’s just not true Matt.
MATT CANAVAN: Why don't we get rid of that tariff? Get rid of that tariff.
AMANDA RISHWORTH: That’s just not true and in fact…
MATT CANAVAN: [Interrupts] yes you do. They're under the safeguard mechanism. They're one of the 216 facilities under the safeguard mechanism. They face the carbon tax.
AMANDA RISHWORTH: … In fact what we have done and what our Prime Minister has done is we have announced significant support recently for the aluminium industry to support them with reliable energy…
MATT CANAVAN: [Interrupts] they face a tax.
AMANDA RISHWORTH: … To ensure that they have a long term future. That's what our Government's been doing is backing industry and not playing politics with this.
MATT CANAVAN: But this is how absurd it is. This is how absurd it is. You put a tax on them, a carbon tax on them and then you go around and take taxpayers money that everyone has to pay for to subsidise them.
AMANDA RISHWORTH: There is no carbon tax.
MATT CANAVAN: There is, it's called the safeguard mechanism.
AMANDA RISHWORTH: There is absolutely no carbon tax. And quite frankly, quite frankly to suggest that we shouldn't be supporting the aluminium industry…
MATT CANAVAN: [Interrupts] I said we shouldn't be taxing them.
AMANDA RISHWORTH: … to provide long term energy, is ridiculous.
MATT CANAVAN: Why are we taxing them?
SARAH ABO: Alright, well you did make a couple of points there, Matt. And I just want to ask you Amanda, because you were shaking your head when he mentioned Kevin Rudd. Joe Hockey was instrumental in protecting Australia last time Trump imposed these tariffs during his first administration. We know the relationship is a bit tenuous when it comes to Kevin Rudd and the US administration. Are we concerned?
AMANDA RISHWORTH: Kevin Rudd has been doing an excellent job building relationships in the US. As has our Defence Minister, our Foreign Minister. As I indicated, our Foreign Minister was one of the few leaders to be invited to the inauguration. So, I am just concerned, Matt, you're just making this into a political football. Really we should be all acting in our national interest and working together.
SARAH ABO: Well, Matt was saying it's probably not so much of a concern. And if we talk about, you know, Chinese still potentially flooding the market, there are already really tough anti dumping laws so we're unlikely to see that play out here as well. But look, I do just want to move on because we've got a little bit more to get through. I want to get your thoughts on this. A new push in Queensland to make tourists pay for a brand new stadium for the Olympics in Brisbane. Matt, a bed tax for tourists? I don't know. I mean it could deliver billions. I don't mind it. What do you reckon?
MATT CANAVAN: No, I'm just sick of taxes. I'm totally sick of them. I'm sick of the carbon tax. I don't want a bed tax. I mean, can we just cut spending? Can we just, can we just stop the wasteful spending? This Government has employed 30,000 public servants. It's costing $6 billion extra a year in just, in just two and a half years. I mean, that's got to stop. I think people are sick and tired of their hard-earned dollars getting wasted by the various governments around this country, both state and federal. But the Federal Government's been right up there and why don't we just cut spending? Why don't we just cut back on wasteful spending so people can get a tax cut?
AMANDA RISHWORTH: Well Matt, let's be clear about that wasteful spending you talk about. That is indexation of the pension. That's cutting Medicare…
MATT CANAVAN: 30,000 public servants isn't that.
AMANDA RISHWORTH: That is family payments. That is having pensioners wait on the phone for longer to get through. What are you suggesting? They should all be forced onto the Internet rather than pick up the phone and speak to people?
MATT CANAVAN: I think we should stop wasting people’s money.
SARAH ABO: You two are feisty this morning. We do have to go unfortunately but I’m sure this will resume as the day progresses. Thank you so much for joining us, really appreciate it.