Australia says US ties safe despite Trump criticism of social media law

  • Australia said proposed social media reforms pose no risk to its US relationship.
  • Social media companies face fines of up to A$109.2 million for non-compliance.
  • Anthony Albanese said he and President Donald Trump would meet in New York later this month.

Australia said its relationship with the United States faces no risk after reports that the Trump administration criticised Canberra’s proposed social media reforms. The draft legislation would let users opt out of algorithmic feeds and curate their own timelines, with social media companies facing fines of up to A$109.2 million ($79 million) for non-compliance. White House spokesperson Kush Desai said President Donald Trump had warned trading partners against digital services taxes, fines and other measures affecting U.S. technology companies. Communications Minister Anika Wells said U.S. officials had not contacted her office and rejected the characterization of the reforms as extortion. Prime Minister Anthony Albanese said policy would be based on Australia’s national interest, described his relationship with President Trump as very good and said they would meet in New York later this month during the UN General Assembly. The dispute comes as Australia’s regulation of mainly U.S.-based technology companies becomes a flashpoint, alongside U.S. scrutiny of Australia’s internet regulator over attempts to have Elon Musk’s X remove posts. Trump also opposes digital services taxes and has threatened tariffs against countries pursuing them. Under an Australian law passed this year, large technology companies can face a 2.25% tax on local annual revenue if they fail to negotiate payments to Australian media outlets for news shared on their platforms.

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