Australian blue-chip stocks dipped nearly two percent Thursday in the face of sweeping US tariffs, as one of the first global markets reacted to President Donald Trump’s bombshell announcement.
A benchmark index of the country’s largest 200 listed companies dropped 1.96 percent 20 minutes after opening, as traders came to grips with 10 percent US tariffs on Australian exports.
The energy and financial services sectors were among the hardest hit on the ASX200 index, shedding more than two percent.
In a press conference announcing the global tariffs, Trump singled out Australia’s beef industry.
Although lauding Australians as “wonderful people” — Trump accused the country of banning US beef while freely exporting to America.
ANZ Bank agribusiness analyst Michael Whitehead said Australia had, in some ways, gotten off lightly.
“Ten percent on Australian beef at the moment, it’s better than a lot of people were expecting — or less worse, let’s call it,” he told AFP.
“And arguably 10 percent is a figure that can to some degree be absorbed at different points along the supply chain.
“About four-and-a-half percent of all the beef eaten in America is Australian, and that largely goes into burgers.”
Australian Prime Minister Anthony Albanese said Trump’s move was “not the act of a friend”.
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