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US defends tariffs on remote island of penguins and seals

Trade,Trump Administration,Tariffs,Taxes,Australia,Imports

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The US Commerce Secretary has defended the country's decision to impose tariffs on a group of uninhabited islands, which are populated only by penguins and seals.

The imposition of tariffs on the Heard and McDonald islands were meant to close "ridiculous loopholes" and would prevent other countries from shipping through the islands to reach the US, Howard Lutnick told the BBC's US partner CBS.

Authorities in Australia reacted with surprise last week when they found out about the tariffs on the island, which sits 4,000km (2,485 mi) from Australia.

Its trade minister Don Farrell told news outlet ABC that the imposition of tariffs was "clearly a mistake" indicating a "rushed process".

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