Donald Trump offered a friendly greeting on a phone call with Anthony Albanese after being voted in as the next President of the United States.
Mr Trump, who will be sworn in to his second term as President on January 20, told the Prime Minister ‘we are going to be perfect friends’, Sky News revealed.
The call, held at around 10am Canberra time on Thursday, was the first between the pair since Mr Trump defeated Kamala Harris in the US Presidential election.
The Labor government said the call to Mr Albanese was among the President-elect’s first to a world leader after Mr Trump’s decisive win.
On the call, the incoming President emphasised the importance of the long lasting, strong relationship between America and Australia.
The Prime Minister spoke about the $368billion AUKUS nuclear submarines deal and pointed out the US had a trade surplus with Australia.
The latter point could be crucial, as Mr Trump’s vow to slug Chinese imports with a 60 per cent tariff is a major worry for the Albanese government.
Any hit to China, which is Australia’s largest trading partner, is likely to have consequences Down Under.
US President-elect Donald Trump (pictured) has sought to ease political tensions with Australia by offering a friendly greeting on a phone call with Anthony Albanese
‘A renewed trade war between the US and China is bad for the US and Chinese economies,’ Commonwealth Bank of Australia analysts said.
‘And what is bad for China is bad for Australia, Korea and New Zealand because of high exposure to Chinese domestic demand.’
There are fears that a US-China trade war could lead to higher interest rates and inflation for millions of Australians.
‘Exports to the US are only 4 per cent of Australia’s total exports and may be spared from Trump’s tariffs as Australia has a trade deficit with the US,’ AMP chief economist Shane Oliver said.
‘However, as an open economy with high trade exposure to China, Australia is vulnerable to an intensification of global trade wars under Trump, particularly if it weighs on demand for Chinese exports.
‘Resources shares would be most at risk and the Australian dollar would likely fall (further).’
Making matters more difficult, though, is the fact that Mr Albanese was recorded saying Mr Trump ‘scares the s*** out of me’ while he was shadow minister for transport and infrastructure in 2017.
Australia’s US Ambassador Kevin Rudd has reportedly been encouraging former prime minister Scott Morrison to join a diplomatic charm offensive to woo the new Trump administration.
Mr Morrison met the former and now future president Mr Trump in New York in October, then a day later Mr Rudd launched Mr Morrison’s book Plans For Your Good at the Australian embassy in Washington.
The Labor government said the call to Mr Albanese (pictured) was among the President-elect’s first to a world leader after Mr Trump’s decisive win
Attendees at that event included several of Mr Trump’s former colleagues, including former secretary of state Mike Pompeo and close adviser Kellyanne Conway.
Mr Rudd’s own immediate future is less certain after Mr Trump is sworn in as the 47th US President on January 20.
Mr Trump has previously suggested Mr Rudd may not get to keep his ambassador role when questioned by right wing UK politician Nigel Farage on GB News.
‘Things have changed in Australia. We’ve got a Labor government. The previous ambassador, Joe Hockey, I think was quite a good friend of yours. Now they’ve appointed Kevin Rudd,’ Mr Farage said.
‘He has said the most horrible things; you were a destructive president, a traitor to the West, and he’s now Australia’s ambassador in Washington.’
Mr Trump snapped back: ‘I don’t know, he won’t be there long if that’s the case.
‘I don’t know much about him. I heard he was a little bit nasty. I hear he’s not the brightest bulb. If he is at all hostile, he will not be there for long.’
Mr Albanese is expected to attend the G20 and APEC meetings in Brazil and Peru in the coming weeks, which current US President Joe Biden will also be at.
Economic and diplomatic relations under the incoming Trump administration are likely to be front and centre on the list of topics discussed.
The Australian government will be hoping Mr Trump will be true to his words to Mr Albanese, ‘We are going to be perfect friends’.
