Television Interview, Sky Afternoon Agenda

SUBJECTS: PM’s meeting with President Trump; Critical minerals; Taiwan ; Port of Darwin; PM’s visit to the United Kingdom. 

TOM CONNELL [HOST]: Welcome back. The Prime Minister is staring down a difficult meeting with Donald Trump. There's AUKUS, there's tariffs, but on the Australian side, perhaps critical minerals will be the trump card and the stockpiles we have in Australia. Joining me now from Newcastle is the Assistant Defence Minister, Peter Khalil. Thank you for your time. Would this be logical that a quid pro quo is just how Donald Trump works? So, to shore up AUKUS and maybe get tariff relief, critical mineral access would be the exchange.

PETER KHALIL [ASSISTANT MINISTER]: Well, Tom, I've got a lot to say about critical minerals and the meeting between President Trump and Prime Minister Albanese. But before I do that, very quickly, congratulations to the Brisbane Lions and to all of the supporters on a great victory, well deserved. Now, onto critical minerals. Oh, yeah sorry, you go on.

CONNELL: No, I was going to say you can always start an interview like that, not only once a year, but I'll accept that before I attempt to grill you like I normally do.

KHALIL: You deserve it. I know you're a passionate supporter. Look, it's an important meeting, obviously. The Prime Minister has had four constructive calls with President Trump, and he's met with him briefly in New York. And yes, critical minerals will be part of that ongoing conversation because Australia has strong reserves in critical minerals. Whether it's lithium or cobalt or vanadium or any of these types of minerals. These rare earths are really, really important and I think that there is a good discussion to be had about Australia really utilising the fact that we have these reserves. But I think from my perspective, and the Prime Minister said this as well, it’s really important that we look at the value add as well. We don't make the same mistake of just, you know, riding off the sheep's back, or even the mistake we made with solar panels, where every solar panel has Australian IP on it but we didn't go through that manufacturing process. We want to make sure that we have, along the chain, Australia value adding and getting the maximum benefit from our reserves.

CONNELL: All right, and so that will go to how this all plays out. But there's no reluctance from the government for that sort of quid pro quo. From what you're saying there, critical minerals are what they want access to, and, you know, we're willing to go via the art of the deal path, I suppose.

KHALIL: Well, look, there is strong demand globally for critical minerals. That's clear-cut, and we have those critical minerals. So, I think the ability for us to engage with our friends and allies and our economic partners like the US, the UK, others and Europeans and so on is actually quite important. I will say from a defence perspective, critical minerals are very important as inputs into many of the capabilities that we need, particularly in that pillar two of AUKUS. So, part of that discussion as well, and I'm sure the Prime Minister and the President will have a very, very productive conversation around critical minerals and their use.

CONNELL: Not long to go until we can talk about what happened at the meeting, rather than when the meeting's going to happen and what happens there. China, a push on from China for the US to actually change its position on Taiwan to actually oppose Taiwanese independence. Is it important that push is not ceded to?

KHALIL: Well, mate, I'm not going to comment on the US administration's conversations with another country. That's a matter for their government, and those governments to have those conversations. What I can say is about Australia's position and Australia's position is unchanged. We maintain our position in the status quo and that any issues around Taiwan should be resolved through dialogue and not force or coercion. That is our position, our long-held, long-standing bipartisan position, and we maintain that.

CONNELL: And because the situation now is clearly the will of the Taiwanese people is not to be subsumed within mainland China and the Chinese Communist Party, is it?

KHALIL: Well, again, you're speaking for the Taiwanese people. We have a position…

CONNELL: They had an election over there. 

KHALIL: They do have elections. That's very true. They make their decisions. We have a very long-standing position that any issues with respect to the future of Taiwan need to be resolved through dialogue, not through force, not through coercion.

CONNELL: The Port of Darwin, this was an election promise. Is the government still going to make the Chinese owner relinquish ownership of the Port of Darwin?

KHALIL: Well, on that issue, the government is looking at the long-term, medium to long-term arrangements around the lease and the Port of Darwin. It is an important national security issue and obviously has national security elements. It has economic elements as well, and the government will make its announcements when the time comes.

CONNELL. So, is that no longer something that we should assume is happening? It's just being looked at. Is that what you're saying?

KHALIL: Well, I think you've heard the Deputy Prime Minister talk about this in the past. There is a review underway, and he will make his decisions. I'm not going to pre-empt the cabinet or the Deputy Prime Minister or the Prime Minister on any of these issues Tom. When the time comes, they'll be making the relevant announcements.

CONNELL: Okay, but the indication was that it would no longer be in Chinese hands because of security concerns. Is that still the indication?

KHALIL: Look, what I can say to you is that when it comes to critical infrastructure, when it comes to things like ports and things like that that are important from an economic, national interest perspective, as well as a defence and national security one, we take that very seriously. We look at the arrangements, we look at the structures in place, and we make our decisions based on the best interests for Australia in the long term.

CONNELL: Is there any precedent for what the Australian Prime Minister has just done, addressing the British Labour Conference?

KHALIL: Well, I tell you what, Tom. I've heard all the commentary, I've heard the Opposition going on about this. The Prime Minister was in Liverpool, and not only has he made a speech at the conference, he's met again with the British Prime Minister, Keir Starmer. He's met with the Defence Secretary, he's met with the Foreign Secretary, he's met with the Trade Secretary. He's had other meetings while he's been in the London as well with the Spanish Prime Minister, the Canadian Prime Minister, with the Leader of the Opposition, the Tory leader of the Opposition. I mean, that's a pretty full dance card. And all of those meetings are about advancing Australia's economic and national security interests with a very important partner in the UK.

CONNELL: Ok, those might all be worthy, but the question is, should he have addressed, or is there any precedent you can point to where a Prime Minister previously has addressed a party conference overseas?

KHALIL: I can tell you this, Tom. He gave a speech at the party conference. He had really important meetings with pretty much half the UK cabinet while he was in Liverpool. And that is as it should be because our Prime Minister is working to advance Australia's national interests. The UK is the second-largest foreign investor in Australia. We are a partner and an ally in the AUKUS arrangements. And we have a strong economic, cultural and defence relationship which have all been advanced, frankly, by the Prime Minister's engagement with his colleague, counterpart, I should say, Prime Minister Starmer and their colleagues, the Cabinet Ministers. He's also met with King Charles. He's also met with other world leaders on this trip. And I think that's really important for Australia.

CONNELL: Peter Khalil, appreciate your time. Thank you.

KHALIL: Thanks, Tom.