Cut lip in outlandish tree… (3,3)

I believe the answer is:

red gum

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'tree' is the definition.
(red gum is a kind of tree)

I don't understand the rest of the clue.

(Other definitions for red gum that I've seen before include "eucalyptus tree" , "Australian tree" .)

I've seen this clue in the Sydney Morning Herald.

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