Trade Talks Between Australia and EU Postponed Amid Aukus Dispute

[Asia Economy Reporter Yujin Cho] Trade negotiations between Australia and the European Union (EU) have been postponed amid escalating tensions over the military alliance 'AUKUS' formed by the United States, the United Kingdom, and Australia.

According to major foreign media on the 1st (local time), Australia's Minister for Trade, Dan Tehan, announced that the trade negotiations with the EU, originally scheduled for the 12th, have been postponed.

Minister Tehan said he would meet next week with Valdis Dombrovskis, the EU Trade Commissioner and negotiation counterpart, adding that the trade talks will "now likely take place in November rather than October."

However, he refrained from commenting on whether the postponement was related to the cancellation of Australia's $37 billion diesel submarine contract with France due to AUKUS.

Earlier, on the 15th of last month, U.S. President Joe Biden, U.K. Prime Minister Boris Johnson, and Australian Prime Minister Scott Morrison launched AUKUS to strengthen cooperation in security and defense.

Following the launch of AUKUS, Australia plans to develop nuclear-powered submarines with support from the U.S. and the U.K.

The formation of AUKUS led to the cancellation of a contract for up to 12 diesel submarines that Australia had been pursuing with the French defense company Naval Group.

In response, the French government strongly protested, claiming betrayal by its allies, and recalled its ambassadors stationed in the U.S. and Australia back to France.

EU Commission President Ursula von der Leyen also raised questions about whether the EU should enter into a trade agreement with Australia.

This content was produced with the assistance of AI translation services.