Chalmers outlines a whole-of-government effort to engage industry and international partners to navigate the global economic shock and protect Australian communities from fuel shortages and price pressures.

Chalmers stresses that Australia is not immune to the global economic shock, noting the IMF’s severe scenarios that underscore the seriousness of the situation.

Chalmers travels to Washington, DC to discuss securing Australia’s fuel supplies amid an oil crisis driven by the Middle East conflict, meeting with ministers from key fuel-supply countries, the IMF, and the World Bank.

Prime Minister Anthony Albanese and Foreign Minister Penny Wong are conducting talks with Brunei and Malaysia, highlighting regional diplomacy on energy security.

Chalmers indicates the upcoming May 12 Budget will respond to global uncertainty and may include additional cost-of-living support if the war-driven energy crisis persists beyond current measures, beyond the existing three-month fuel excise relief.

The IMF warns of a potential global recession and urges Australia to avoid cost-of-living relief measures that could fuel inflation in the upcoming Budget, signaling caution for fiscal policy.

The Budget will also explore tax reform, productivity enhancements, and savings, with an emphasis on fuel security, supply chain resilience, and broader economic reform to balance near-term pressures with long-term obligations.

The effort involves coordinating with industry and international partners to protect communities from fuel shortages and price pressures amid the global shock.