Berliner Boersenzeitung - Australia PM warns months ahead 'may not be easy' due to Mideast war

"The months ahead may not be easy. I want to be upfront about that. No government can promise to eliminate the pressures that this war is causing," Albanese said.

The conflict that began on February 28 with US-Israeli attacks on Iran has mushroomed throughout the region, sending energy markets into a tailspin and threatening to torpedo the global economy.

Facing historic spikes in petrol prices, Albanese urged Australians to switch to using public transport, preserving fuel for rural communities and essential services.

"Australia is not an active participant in this war. But all Australians are paying higher prices because of it," he said.

"Farmers and truckies, small businesses and families are doing it tough. And the reality is, the economic shocks caused by this war will be with us for months," he said.

Albanese has previously sought to reassure motorists that shipments of fuel continue to arrive in Australia, and petrol shortages in rural towns stem from panic buying and distribution bottlenecks.

Australians can help the situation by switching to taking the train, bus or tram to work, he said.

This will preserve fuel for nurses, shift workers, trades people and miners who rely on driving.

Australia this week announced temporary tax relief for small businesses and halved a fuel tax to help motorists experiencing soaring petrol prices, but has resisted imposing fuel restrictions.

Geographically isolated and with only two working oil refineries, Australia is heavily exposed to disruptions in global fuel supply and imports most of its petrol.

Australia holds roughly 37 days' worth of petrol in reserve, according to government figures, far below the 90-day minimum dictated by the International Energy Agency.

"No government can promise to eliminate the pressures that this war is causing. I can promise we will do everything we can to protect Australia from the worst of it," he added.

Australian prime ministers typically reserve an address to the nation for only the gravest of circumstances.

Prime Minister Kevin Rudd made one at the height of the Global Financial Crisis in 2008, while Scott Morrison did the same as Covid-19 swept the globe in 2020.

US President Donald Trump is due to address his nation later Wednesday night (0100 GMT Thursday).

Trump, whose statements on the war have swung from combative to conciliatory, said Tuesday the war could be over in "two weeks, maybe three".

"But we're finishing the job," he insisted.

(G.Gruner--BBZ)