Tech companies invoke possibility of Trump’s wrath in fight against Labor’s media laws

Australia’s draft news media bargaining incentive — requiring Meta, Google and TikTok to strike commercial deals with local publishers or pay a 2.25% levy on Australian revenues — has drawn strong industry opposition and legal warnings that it may breach the US–Australia free trade agreement. Tech firms and US trade groups argue the measure discriminates against foreign digital services and risk prompting US retaliation, heightening policy and trade risk for Australian markets. Broadcasters and publishers argue the levy will support journalism. For investors, the dispute raises regulatory/policy uncertainty that could weigh on Australian equities (notably domestically exposed sectors) and sentiment around trade-sensitive assets such as the Australia 200 index.