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Saturday, October 25, 2025

Trump Revives Kevin Rudd Dispute as Ambassador Decision Looms, Raising Fresh Uncertainty for US Australia Ties

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US President Donald Trump has signalled that he has not fully moved past Australian ambassador Kevin Rudd’s past criticisms. He reminded reporters that he does not forget when people say bad things about him. It happened days after an already awkward exchange inside the White House. The moment has triggered new concerns about Australia’s diplomatic footing in Washington right now.

The Australian government had tried to reassure the public that the two leaders patched things up. Yet Mr Trump’s new remarks paint a different picture. It also puts a spotlight on who will become the next US ambassador to Australia. Trump says he has someone in mind. But he did not say who.

Trump’s Latest Remarks Suggest Lingering Friction

The relationship between Donald Trump and Kevin Rudd has always been uneasy. Rudd once criticised Trump on social media before he took office as Australia’s representative. Those posts are now gone. However, Trump has a long memory when it comes to critics. And his latest comment shows he may not be ready to let it go.

During a White House media call, Trump was asked if he had repaired ties with Ambassador Rudd. His reply was short but sharp. He said he did not know anything about him. He also said he believed Rudd said something bad in the past. That was followed by a warning that he does not forget such things.

At Monday’s meeting with Prime Minister Anthony Albanese, Trump jokingly told Rudd to his face that he did not like him and probably never would. People in the room laughed. The Australian government dismissed it as light hearted banter. But now, Trump’s latest tone is much more serious.

Australian officials continue to defend Rudd. The Prime Minister praised him for working his guts out in Washington. Members of the Opposition initially called for his role to end. Yet criticism has cooled as the broader implications became clear. Stability in US relations matters to every political side in Canberra.

Key signals from Trump’s new comments

  • Trump has not fully forgiven past criticism
  • Political pressure on Rudd may rise again
  • Diplomatic uncertainty could affect policy progress
  • Ambassador appointment in focus for both nations

AUKUS, Trade and Trust: What’s at Stake

This diplomatic wobble comes during a moment of major strategic cooperation between the two allies. The US and Australia are pushing forward on AUKUS nuclear submarine plans. They also signed a critical minerals agreement to strengthen supply of rare earths. These minerals are needed for defence systems and clean energy technologies.

Any risk to trust could slow progress. Diplomacy depends on confidence at the personal level. Trump and Albanese have spoken several times by phone, but this was their first face to face meeting since Trump’s re election. Their talks were warm. They reached clear agreements on minerals and defence. Yet the ambassador situation adds a layer of uncertainty.

The US ambassador role has been empty since January. Caroline Kennedy resigned and the position has stayed open for months. Australia has been waiting for a new envoy to help drive forward complex talks in Washington. Trump now says he will appoint someone that Albanese likes. That is a positive sign.

But until a name is announced, the picture is incomplete. The US could choose a political ally loyal to Trump. Or a veteran diplomat trusted across both parties. The outcome will shape relations in practical ways, including:

  1. Trade negotiations
  2. Military planning and shipbuilding schedules under AUKUS
  3. Supply chain integration for critical minerals
  4. Direct White House access for Australian leaders

These issues need close partnership and smooth communication. Any tension pulls attention away from strategic goals. It can slow decisions that both nations rely on right now.

What This Means for Australian Business and Security

Australia depends on strong US ties. The latest uncertainty creates questions for defence industries, investors and global businesses watching both capitals.

| Area impacted | Why it matters | Short term effect | Longer term risk |
| Business trade | US firms invest heavily in Australia | Delay in policy announcements | Reduced investor confidence |
| Defence agreements | AUKUS submarine projects rely on aligned planning | Communication challenges | Rising costs and slower delivery |
| Critical minerals | US needs Australian minerals for technology supply chains | Slower approvals | More reliance on China or other suppliers |
| Diplomatic influence | Ambassadors help manage conflict before it escalates | Missed coordination cues | Lower trust between leaders |

Australian companies looking to expand trade with the US need clarity. Investors prefer predictability. Defence contractors working on AUKUS technology also need firm direction. They cannot afford leadership friction to disrupt timelines.

Who Could Be the Next US Ambassador to Australia

The open question is who Trump plans to choose. He has not given a name. But he said he wants someone Albanese will approve of. Australia will be hoping for a seasoned figure. Someone with influence in Washington. Someone who understands the Indo Pacific and its security challenges.

There are three types of possible candidates:

  • A senior diplomat with past Asia Pacific experience
  • A political supporter close to Trump
  • A business leader with Australia links

A trusted envoy can act as a bridge between leaders. It could help repair any tension left from the Trump Rudd conflict. It could also ensure the AUKUS submarine strategy remains the central focus.

What Australian decision makers want

  • Stability in US engagement
  • Active support for supply chain agreements
  • Continued commitment to Indo Pacific defence
  • Personal access to Trump’s team for rapid decisions

Timing matters. The longer the position stays empty, the harder it becomes to maintain momentum in security cooperation.

Australian Government Response

Prime Minister Albanese continues to back Rudd strongly. He says Rudd is doing a fantastic job. That includes building relationships across Congress and US industries. The government does not want to replace him. Doing so would show weakness. It might also set a precedent that political comments from the past can end a career.

Opposition figures called Rudd’s role untenable earlier in the week. They argued that ambassadors must remain neutral in dealing with the US. But as Trump’s tone changed through the week, their criticisms also softened. Some Coalition backbenchers defended Rudd’s efforts in Washington.

That shift shows that business and security interests outweigh internal politics. No party wants the public to see relations with the US shaken for personal disputes.

What Happens Next

There are four scenarios ahead:

  1. Trump names a new US ambassador soon and tensions fade quietly
  2. Rudd stays in the role, but trust with Trump remains limited
  3. Australia faces pressure to replace its ambassador
  4. Diplomatic issues begin to affect defence or trade progress

The most likely path is that both sides work to move forward. Trump’s support for AUKUS is strong. Albanese and Trump agree on key goals. That foundation is bigger than the dispute. Yet personal dynamics always play a role in diplomacy. Leaders will need to remain careful and strategic.

Implications for Canberra’s Strategic Calculations

Australia wants the US focused on Asia. China’s military rise has reshaped regional planning. AUKUS is the biggest combined defence effort in decades. It requires trust at the leadership level. If political friction grows, planning delays could follow.

This is why the ambassador appointment will be watched so closely. If Trump chooses someone skilled and respected, cooperation will grow stronger. It would send a clear signal that the US prioritises its relationship with Australia. That would reassure allies in the region. It would also calm markets watching policy risk.

How Australians Should Read the Situation

The drama around personalities should not overshadow the bigger picture. Australia and the US remain locked in strategic partnership. Both economies benefit from cooperation. Both governments are focused on technology and defence progress.

But Australia must stay ready for unpredictable moves from Washington. Trump leads with instinct. He rewards loyalty. He reacts strongly to criticism. Canberra must manage this risk carefully. That includes staying united across political lines at home.

Why is Kevin Rudd’s past criticism of Trump important now
Because Trump often uses personal views to judge relationships. It affects how he interacts with foreign officials.

Will this issue stop AUKUS
No. Trump reaffirmed strong support. But delays are possible if attention shifts to political drama instead of planning.

When will a new US ambassador be appointed
Not confirmed yet. Trump says he has someone in mind. Australia is pushing for a quick decision.

Could Kevin Rudd be removed
It is unlikely in the near term. The Australian government is defending him. But pressure could rise if tensions worsen.

How does this affect business
Investors dislike uncertainty. Clear signals from both nations will help protect trade and defence projects.


Australia and the United States have faced diplomatic challenges before. They have always come through stronger. The next steps will show how both nations balance personal politics with strategic vision. The stakes are high, the timeline is tight and the world is watching how this partnership adapts in real time.

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