Australia Stands Firm on Palestinian Statehood Despite US Tariff Threats

Australia will move forward with its consideration of recognizing Palestinian statehood, undeterred by potential retaliatory tariffs from the United States. Prime Minister Anthony Albanese emphasized that Australia acts as a sovereign nation and remains committed to a two-state solution as a foundation for lasting peace in the Middle East.
Albanese is seeking a direct conversation with Israeli Prime Minister Benjamin Netanyahu this week, following a massive pro-Palestine demonstration across the Sydney Harbour Bridge, where crowds called for an end to violence and starvation in Gaza.
Despite Donald Trump’s warning that recognizing Palestine could complicate trade relations—citing similar moves to increase tariffs on Canada—Albanese stressed that diplomatic principles, not trade threats, will shape Australia’s policy. He reiterated that Hamas should have no role in a future Palestinian state, and that peace and security require progress on the two-state framework.
Calls for recognition have grown louder within Australia. Public opinion appears to strongly support the move, with federal MPs and former ministers urging Albanese to act swiftly, possibly by the upcoming United Nations General Assembly.
Meanwhile, Australia has pledged an additional $20 million in humanitarian aid for Gaza, distributed through international agencies to deliver food and medical supplies. The government has also voiced concerns to Israel about the humanitarian situation and urged compliance with international law.