Australia’s centre‑left Labor government reassured citizens on Wednesday that its proposed social‑media reforms pose no risk to the nation’s relationship with the United States. The draft legislation would give users the ability to opt out of algorithmic feeds, allowing them to curate their own timelines. Companies that fail to comply could face fines of up to A$109.2 million (about $79 million).
White House response
According to the Australian Financial Review, White House spokesperson Kush Desai said President Trump “unequivocally warned trading partners against imposing digital services taxes, fines, and other forms of extortion on America’s leading technology sector.” Desai added that the administration remains committed to raising these concerns with its trading partners.
Australian officials push back
Communications Minister Anika Wells told News24 Australia that U.S. officials have not contacted her office about the proposed law and rejected claims that the reforms amount to extortion. Prime Minister Anthony Albanese emphasized that Australia makes policy decisions based on its national interest and described his relationship with President Trump as “very good.” He noted that the two leaders are scheduled to meet in New York later this month on the sidelines of the UN General Assembly.
Broader context
The draft law arrives amid heightened scrutiny from the Trump administration of foreign attempts to regulate U.S.-based tech firms. A U.S. congressional committee has called for Australia’s internet regulator to testify about what it described as a regime of censoring American free speech, referencing a request for Elon Musk’s platform X to remove certain posts. President Trump has also voiced opposition to digital services taxes on U.S. tech giants and warned of possible tariffs against countries that pursue such measures.
Under an Australian law passed earlier this year, large tech companies could be taxed 2.25% of their local annual revenue if they fail to negotiate deals to pay local media outlets for news shared on their platforms.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.