Australia’s Prime Minister Anthony Albanese holds his Medicare card as he speaks at a Labor party election night event, after local media projected the Labor Party’s victory, on the day of the Australian federal election, in Sydney, Australia, on May 3, 2025.
Hollie Adams | Reuters
Anthony Albanese claimed victory as the first Australian prime minister to clinch a second consecutive term in 21 years on Saturday and suggested his government had increased its majority by not modeling itself on U.S. President Donald Trump’s administration.
“Australians have chosen to face global challenges the Australian way, looking after each other while building for the future,” Albanese told supporters in a victory speech in Sydney.
“We do not need to beg or borrow or copy from anywhere else. We do not seek our inspiration overseas. We find it right here in our values and in our people,” he added.
His center-left Labor Party had branded Albanese’s rival Peter Dutton, the opposition leader, “DOGE-y Dutton” and accused his conservative Liberal Party of mimicking Trump and his Department of Government Efficiency.
Dutton had earlier conceded his alliance of conservative parties had been defeated at the election and that he had lost his own parliamentary seat, which he had held for 24 years.
Dutton’s plight parallels that of Canada’s last opposition leader, Pierre Poilievre, who lost his seat after Trump declared economic war on the U.S. neighbor to the north. Poilievre had previously been regarded as a shoo-in to become Canada’s next prime minister and shepherd his Conservative Party back into power for the first time in a decade.
Analysts argue that mirroring Trump switched from a political positive for Australian conservatives to a negative after Trump imposed global tariffs.
U.S. Secretary of State Marco Rubio congratulated Albanese on the victory, calling Australia “a valued ally, partner, and friend of the United States.”
Labor had held a narrow majority of 78 seats in the 151-seat house House of Representatives, the lower chamber where parties form governments.
Australian governments are usually elected for at least a second term, but are expected to lose seats at the second election. But Labor is on track to increase its majority in its second term.
High prices are major election issue
Energy policy and inflation have been major issues in the campaign, with both sides agreeing the country faces a cost of living crisis.
The Liberal Party blames government waste for fueling inflation and increasing interest rates, and has pledged to ax more than one in five public service jobs to reduce government spending.
While both say the country should reach net-zero greenhouse gas emissions by 2050, Dutton argues that relying on nuclear power instead of renewable energy sources such as solar and wind turbines would deliver less expensive electricity.
Labor argues Dutton’s administration would slash services to pay for its ambitions to build seven government-funded nuclear generators. Australia currently has no nuclear power.
Echoes of Trump
Opposition senator Jacinta Nampijnpa Price would have been responsible for cutting 41,000 public service jobs in Dutton’s administration. She attracted media attention last month when she told supporters her government would “make Australia great again.”
Price told reporters at the time she didn’t recall using the words reminiscent of the Republicans’ “Make America Great Again” slogan.
Price, who said she was photographed wearing a MAGA cap “in jest at Christmas time,” on Saturday blamed the news media for focusing on Trump in the election campaign.
“You made it all about Donald Trump,” Price told Australian Broadcasting Corp. “We really couldn’t care less about the way Donald Trump is governing for America. We were concerned with the way Australia is being governed under an Albanese government.”
The election took place against a backdrop of what both sides of politics describe as a cost-of-living crisis.
Foodbank Australia, the nation’s largest food relief charity, reported 3.4 million households in the country of 27 million people experienced food insecurity last year. That meant Australians were skipping meals, eating less or worrying about running out of food before they could afford to buy more.
The central bank reduced its benchmark cash interest rate by a quarter percentage point in February to 4.1% in an indication that the worst of the financial hardship had passed. The rate is widely expected to be cut again at the bank’s next board meeting on May 20, this time to encourage investment amid the international economic uncertainty generated by Trump’s tariff policies.
