6:59 am today

'Parallel universe stuff' -Former Australian PM Malcolm Turnbull on Winston Peters downplaying Trump’s trade war

6:59 am today

Former Australian Prime Minister Malcolm Turnbull has criticised New Zealand Foreign Minister Winston Peters over his decision to fire New Zealand's former High Commissioner to the United Kingdom Phil Goff, describing the move as surprising and a sign of weakness in the face of Donald Trump's foreign policy threats.

In an interview on 30 With Guyon Espiner, Turnbull said he was taken aback by Peters' sacking of Goff following comments the diplomat made questioning Trump's understanding of history at a Chatham House event.

"I was really surprised by that because I've met Winston Peters a few times and I thought he would have been stronger, to be honest with you," Turnbull said. "Phil Goff's question was not an unreasonable one. He wasn't saying Trump was a terrible person, or crazy, or a narcissist or anything like that."

Turnbull also took aim at Peters' dismissal of concerns about an escalating trade war, after the NZ foreign minister characterised such talk as "hysterical and short-sighted."

"Did he say that seriously? I mean, you're getting into parallel universe stuff because the whole world is talking about a trade war. Trump's talking about a trade war. Trump tweeted not so long ago, 'Trade wars are good and easy to win'," Turnbull said.

Drawing on his own experience dealing with Trump during his time as Australian prime minister, Turnbull warned New Zealand against adopting a posture of appeasement.

"I think showing weakness and subservience to Trump is a major, major mistake. I say this from my own experience, but there are so many examples you can point to," he said.

Turnbull noted that the impact of US tariffs on New Zealand might be limited but warned of broader risks to the global economy.

"You've got a 10 percent tariff, which is the lowest tariff they've imposed. It may be that's not the end of the world," he said. "The real issue for us beyond, is that if this trade war results in a global recession, which I think it will, if it continues, and if it results in slower economic growth in China, which I think it will, if it continues, that is going to have an impact on everybody, including Australia or New Zealand."

Turnbull emphasised that while countries like Australia and New Zealand should avoid self-defeating retaliatory tariffs, both countries should continue to advocate firmly for fair trade terms.

"The point that we should be making is that it is utterly unreasonable of them to put any tariff on us," he said.

RNZ put Turnbull's comments to Peters for a response.

A spokesperson replied via email to say: "There are seven living former prime ministers in Australia, and eight here in New Zealand. If we responded every time one of them exhibited relevance deprivation syndrome, that's all we would do."

They referred RNZ to a media statement from 11 March that stated Goff's comments made his position as New Zealand High Commissioner "untenable," and that Peters' decision to remove Goff from his position was "a very difficult one."

For the full, uncut conversation with Malcolm Turnbull, watch 30 with Guyon Espiner.

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