ABC Adelaide, interview

This transcript has been redacted in accordance with Digital Transformation Agency guidelines.

Rory McClaren: In a time of growing global uncertainty, my next guest is currently charged with trying to navigate Australia's international trade relationships. Federal Minister for Trade and Tourism and South Australian Senator Don Farrell. Good morning to you.

Trade Minister: Good morning, Rory.

Rory McClaren: Minister, ABC News is reporting today that a lobby group representing the big tech sector in the US Is encouraging the Trump administration to try and put pressure on Australia to change its policies. And the group has attacked the way that social media, streaming services, and artificial intelligence is being regulated. How do you respond to that criticism?

Trade Minister: Well, every day, Rory, you get reports of things happening in the United States. I don't panic about them and try and work through all of these issues, in a calm and consistent way. On this particular topic, of course, we are not singling out United States companies. We treat all companies from all countries equally, and that's how it should be, and that's how we'll proceed to deal with these issues. We have been working to try and improve online safety for all Australians and of course, ensure that we've got a diverse and sustainable news media sector. So, that's our objective out of all of this. And we'll keep working in the interest of Australians on that online safety and that diversification of the media sector.

Rory McClaren: But is this intervention from this lobby group just another example of how volatile this trade relationship is becoming with the United States?

Trade Minister: Look, again, I don't think we should be overreacting to everything that comes out from the United States. We've had a very long standing and good relationship with the United States. Sure, things have started to change in the last few weeks and the last few months. But the goodwill that we have towards the Americans and that they have towards us is still on display. I spoke with my counterpart, the United States Trade Representative, on Tuesday morning. We had a very good discussion. He got to explain what their objectives are. And I explained to them just how important we think we are to the American economy. We have an interesting trade relationship with America. We roughly have $100 billion worth of trade. We buy $70 billion worth of product off them and we sell them $30 billion worth of product. So, we say to them, look, why would you impose a tariff on a country where you have a trade surplus? He pointed out to me that there are only a few other countries in the world where the United States has a trade surplus. One is Hong Kong and the other one is the Netherlands. So, as best we can, we are trying to explain to the highest levels of the United States government just how our trading relationship works. And we'll continue to do that over the days and the weeks ahead. Obviously, there's going to be some developments next week. The American government is going to announce what it's going to do across the board on tariffs on that.

Rory McClaren: Have you received any reassurances from the Trump administration about Australia and how Australia will be impacted?

Trade Minister: We're continuing to talk with them, Rory. I think that's the most appropriate thing I can say at this stage. We want to engage with the Americans. We want to understand what it is that they want out there, out of the relationship. We've had 20 years of our free trade agreement. We think it's been beneficial to both countries. We want that relationship to continue. Obviously, we have a very important relationship, particularly in South Australia with the AUKUS arrangement. We continue to talk to them about that and we have good, strong, friendly relationships with the United States and we want to keep it that way.

Rory McClaren: Just on that, we've had a text with a question for you, Senator Don Farrell. Do we have a free trade agreement with the U.S. and if so, have they broken it? Do these free trade agreements really mean anything?

Trade Minister: Well, answering that final question, yes, yes, they are important. You might recall three years ago when I first came into this job, we had $20 billion worth of tariffs and impediments imposed on us by the Chinese government. Despite the fact that we had a free trade agreement with the Chinese. Over that three year period, we - one by one - managed to remove all of those tariffs and all of those trade impediments. The last of them, interestingly, was crayfish just before Christmas last year. And already in that first month we've sold $33 million worth of crayfish back into the Chinese market. A record amount. But what did we use? We used our free trade agreement to take issues to, for instance, the World Trade Organization. And we were able to, by combination of diplomacy and other remedies, we were able to resolve each and every one of those issues. So, yes, we do have a free trade agreement with the United States and yes, we are able to use those free trade agreements to progress issues if there is a dispute. Now, obviously first point is we're trying to resolve issues with the United States by discussion. That's the first starting point. What we might do subsequently to that. Well, let's, let's see what happens. But my ambition is to do what we did in the China situation, that is sit down, open the dialogue, start talking, try and understand what their issues are, but also explain to the Americans what our issues are.

Rory McClaren: Minister, could that also see you travel to the United States ahead of that decision?

Trade Minister: Well, I've been taking video conferences in the post Covid world. That's a pretty good way to talk to people and to communicate with people. I don't want to predict just how we'll conduct those negotiations, but the listeners should be, should rest assured that we're open to dialogue and we are having dialogue with the Americans as we speak. And we'll continue to do that because I think that's the way you resolve issues. That's how you resolve issues. Between other people. And that's how you resolve issues between countries. And that's what I'd like to do.

Rory McClaren: Don Farrell, Federal Trade Tourism Minister, thank you for your time.