Australia is match fit and ready to score a winning trade deal with Britain within a year of the UK leaving the European Union, says Scott Morrison.

The prime minister held an "enjoyable and very lively" discussion with his British counterpart Boris Johnson on the sidelines of the G7 summit in France on Monday, the first time they've met since both became leaders.

Asked if he thought Mr Johnson could deliver Brexit on October 31 as promised, Mr Morrison said anyone in the room with them that morning would have been absolutely convinced of it.

Scott Morrison says the world is paying attention to what Australia is doing after talking trade and strategic issues with leaders at the G7 summit in France. (AAP)

"I very much enjoyed our meeting, let's just say that," he told reporters in Biarritz.

"We're gonna have a great relationship ... despite his cricket sledging, which was very modest."

Australia has been preparing to get a trade deal moving with the UK as soon as it is no longer bound by EU rules.

The US is making similar preparations.

Mr Johnson said it would impossible to get a deal with the US finalised in less than a year but Mr Morrison said Australia would be able to move quicker than that.

"I think we can move forward rapidly - remember, we've been setting our own records when it comes to striking these agreements around the world," he said.

"If anyone is in a room talking about better trade and freer trade, you'll find Australia in that room. And we're good at it."

A Downing Street spokesman said there was joint enthusiasm for an "enhanced and deep trading relationship".

The two prime ministers also discussed Australia's plans to help the UK and US in military operations in the waters south of Iran.

Mr Johnson left quite an impression on Mr Morrison at their 40-minute meeting, with the Australian saying it had been a "very lively affair". (AAP)

Speaking on the Today show, Treasurer Josh Frydenberg said he expected to Australia to secure some strong new trade deals with the UK, post-Brexit.

"We have got a lot of products, whether it is services or agricultural products or other things, that we sell that the UK will need," he said.

Mr Frydenberg said he hoped the US and China would find a way to resolve their differences.

The trade dispute between the two economic giants was seen as a factor in $27 billion being wiped from the Australian Securities Exchange on Monday and the Aussie dollar plummeting to its lowest point in a decade .

"It is not just the protagonists, the China and the US, which are affected by the trade tensions, it is the rest of the world," Mr Frydenberg warned.

"It impacts negatively on investment flows, on growth in trade volumes and over all confidence in markets."

The Australian share market is expected to open higher on Tuesday after a positive lead from overseas.

The SPI200 futures contract was up 19 points, or 0.30 per cent, at 6,419.0 at 0700 AEST, suggesting a rise for the benchmark S&P/ASX200 on Tuesday.

On Wall Street overnight, the Dow Jones Industrial Average finished up 1.05 per cent, the S&P 500 was up 1.10 per cent and the tech-heavy Nasdaq Composite was up 1.32 per cent.

The Aussie dollar is buying 67.75 US cents from 67.50 US cents on Monday.