SYDNEY - Prime Minister Anthony Albanese has called on Australians to back local businesses by purchasing homegrown products, rallying behind "Team Australia" in response to US President Donald Trump's tariffs on steel and aluminum, the Australian Broadcasting Corporation (ABC) reported on Thursday.

Instead of imposing retaliatory tariffs, which could drive up inflation, Albanese invoked "Team Australia" in a flurry of radio calls on Wednesday afternoon.

"Australians can have an impact by buying Australian goods," Albanese told ABC Melbourne.

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"Buy Bundy rather than some of the American products...You can make a difference," he said, referring to Bundaberg Rum, a popular rum brand in Australia.

ABC quoted senior sources as saying the upcoming federal budget, to be announced in two weeks, would have an "Australian-made" focus, potentially introducing measures to increase the presence of local suppliers in government procurement contracts.

"We have (an) agenda that's very much about our economic resilience and making more things here in Australia," Albanese told Melbourne's 3AW on Wednesday.

"What we need to do at times like this is have everyone back Team Australia," he said.

Peter Dutton, the leader of Australia's federal opposition party, in turn, labeled Albanese "weak and incompetent," claiming he would negotiate a better deal. However, Labor officials have suggested the Trump administration never intended to grant exemptions this time, so further lobbying would not have changed the outcome.

Despite the setback, Albanese vowed to continue pushing for an exemption, noting that previous negotiations took nearly a year.

On Feb 10, Trump signed proclamations to raise tariffs on aluminum from 10 percent to 25 percent, aligning them with the existing tariff rate for steel. He also decided to eliminate duty-free quotas, exemptions, and exclusions for steel and aluminum tariffs.

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About 1 billion Australian dollars ($630 million) worth of Australian exports are expected to be impacted.

Trump had earlier indicated he might consider exempting Australia from the 25 percent tariffs set to take effect on Wednesday.

However, White House spokeswoman Karoline Leavitt told Australian media earlier on Tuesday US local time, "He considered it, and considered against it. There will be no exemptions," adding the policy was driven by "America First Steel."