Australia's Reserve Bank officials have expressed concerns that if the United States imposes large tariffs on China, it could have a negative impact on Australia.
RBA Assistant Governor Christopher Kent highlighted the uncertainty surrounding the scale and specific targets of these tariffs during a parliamentary panel in Canberra.
Despite this, the Australian dollar has shown limited reaction on a trade-weighted basis following Donald Trump's election victory.
Kent emphasized that the main concern is the potential for significant tariffs on China, which could adversely affect the Australian economy.