Wednesday, 20 October, 2021

Australia’s new US-UK security pact risks China trade

SYDNEY: Australia’s new security pact with the United States and the United Kingdom, seen as a move to contain China, may worsen strained ties with its biggest export customer, but China’s insatiable appetite for resources may limit its punitive responses, say analysts.

The security pact with the Western powers, including access to US nuclear submarine technology, will be seen by Beijing, which is embroiled in a long-running trade spat with Canberra, as a threat, said Michael Sullivan, International Relations Lecturer at Flinders University, report agencies.

“China will view the decision to expand defence cooperation with the US and UK and, in the future, base US strategic strike capabilities in Australia as confirmation that we are a growing military threat to its interests, such as the Belt and Road Initiative,” said Sullivan.