Two international relations experts weigh threat of China against Australia's 'confusing' ally as tensions rise in the Indo-Pacific
Two experts in the fields of defence, strategy and China have weighed the growing tensions in the Indo-Pacific and Australia's ties with a 'confusing antagonist' in the United States which could lead to 'significant harm' if a conflict with Taiwan eventuated.
It came after Sky News' Sunday Agenda reported Prime Minister Anthony Albanese would not accept the US request to increase defence spending to 3.5 per cent of GDP and would stand by Labor's existing policy.
Under the government's projections, defence spending is forecast to reach 2.33 per cent of GDP by 2033–34, up from about 2.05 per cent in 2025-26.
Strategy and defence expert at the Australian National University Associate Professor, Andrew Carr, told SkyNews.com.au the Trump Administration was good at 'talking tough' on China, but on several economic and security issues it did not show the 'discipline or resolve' to follow through.
'China will know that US administrations pleaded with and insisted that allies do more to help Washington. Thus far, it has almost entirely fallen on deaf ears,'he said.
'The Trump Administration is right to be outraged that rich nations in Europe and Asia cheap-ride on the back of US taxpayers and soldiers. The Trump Administration is trying a very different approach to changing that dynamic, but it's not clear it will be anymore successful.'
Professor Carr said China's view of Taiwan was 'purely internal' and any Australian participation or support of American defence efforts, if China invaded, would lead to 'significant harm' to the Australia-China relationship.
Some experts consider 2027 as the year China's President Xi Jinping expects his military to be ready for war with Taiwan.
'That said, in such a conflict it's likely Canberra would be the one rushing to impose penalties and sanctions as a way to diplomatically and economically punish China for its attack,' Professor Carr said.
The strategy and defence expert said there was a 'clear escalation of tension' in the Indo-Pacific which had been steadily rising for more than a decade as China has poured money into its military.
'(China) has aggressively challenged the legal claims of most of its neighbours, has spied on and tried to corruptly buy influence around the entire region, and used economic and diplomatic means to punish any who speak out,' Professor Carr said.
The ANU professor said the Trump administration had been a 'somewhat confusing antagonist' as it has been very strident in rhetoric, such as US Secretary of Defence Pete Hegseth's speech, while being harmful in policy, such as the high tariffs and barriers to Chinese students in the US.
'So though the surface is choppy, some of the underlying currents are potentially much smoother,' he said.
'Trump talks a big game, but there's a reason the TACO nickname (Trump Always Chickens Out) is starting to catch on. Not just economically but strategically too.'
Speaking at the Shangri-La Dialogue in Singapore last week, Mr Hegseth warned the threat of China was real and potentially imminent as he pushed allies in the Indo-Pacific to spend more on their own defence needs.
Mr Hegseth echoed the Trump administration's motto of maintaining 'peace through strength' and stressed the importance of restoring the 'warrior ethos'.
China expert Dr Edward Chan, a postdoctoral fellow in China Studies at the Australian National University, told SkyNews.com.au that while China had not 'explicitly' addressed the potential of Australia's participation in a US-led response to a cross-Strait conflict, it has expressed 'firm opposition' to broader trends in Australia's defence policy.
'Particularly in relation to its alignment with the US and its growing role in regional security arrangements,' Dr Chan said.
'For example, China has repeatedly criticised Australia's participation in the Quad and its commitment to AUKUS, arguing that such initiatives reflect a Cold War mentality and contribute to regional instability.'
Dr Chan said such moves are claimed by Chinese officials to 'intensify the arms race'.
The expert on China said among Chinese scholars there was a commonly used phrase that 'The United States has tied Australia to its chariot', which reflected the belief Canberra is being drawn into Washington's strategic agenda at the expense of regional stability.
In terms of the next few years, and whether tensions in the Indo-Pacific would escalate, Dr Chan said a level of 'strategic unease has already become the new normal' as many governments have reassessed their security postures as they appear to prepare for contingencies, even in the hope of avoiding them.
'That said, putting on my academic hat, I would argue that a direct military conflict in the region—particularly over flashpoints like Taiwan or the South China Sea—remains highly unlikely in the near term. The risks and costs of war would be enormous for all sides involved,' Dr Chan said.
'However, we can expect persistent 'grey zone' activity to continue—what might be called the ashes of geopolitical friction. This includes freedom of navigation operations (FONOPs), increased coastguard and naval patrols, more frequent military exercises, strategic messaging, and tighter defence cooperation among like-minded countries.
'These activities are likely to become more routine.'
SkyNews.com.au contacted the Chinese Embassy and the Consulate on the matter, with both referring to the comments made by the Chinese Foreign Ministry on Mr Hegseth's Shangri-La speech.
'Hegseth deliberately ignored the call for peace and development by countries in the region, and instead touted the Cold War mentality for bloc confrontation, vilified China with defamatory allegations, and falsely called China a 'threat',' a Foreign Ministry spokesperson said over the weekend.
'The remarks were filled with provocations and intended to sow discord. China deplores and firmly opposes them and has protested strongly to the US.
'To perpetuate its hegemony and advance the so-called 'Indo-Pacific strategy,' the US has deployed offensive weaponry in the South China Sea and kept stoking flames and creating tensions in the Asia-Pacific, which are turning the region into a powder keg and making countries in the region deeply concerned.'
As for the 'Taiwan question', the Foreign Ministry said it was entirely an 'internal affair', with no other country being in a position to 'interfere'.
'The US should never imagine it could use the Taiwan question as leverage against China. The US must never play with fire on this question,' the spokesperson said.
'China urges the US to fully respect the efforts of countries in the region to maintain peace and stability, stop deliberately destroying the peaceful and stable environment cherished by the region, and stop inciting conflict and confrontation and escalating tensions in the region.'
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles

ABC News
32 minutes ago
- ABC News
What the US warning on China means for our defence
Sam Hawley: Donald Trump is demanding America's allies massively boost defence spending. His Defense Secretary, Pete Hegseth, says a Chinese invasion of Taiwan could be imminent. And one of our closest allies, the UK, is rushing to invest billions of dollars in its defence force to make sure it's war-ready. Today Peter Dean from the United States Studies Centre at Sydney Uni, on what that all means for us, and whether our defence force is fit for purpose. I'm Sam Hawley on Gadigal Land in Sydney. This is ABC News Daily. Sam Hawley: Peter, we better start with these comments from the US Defense Secretary, Pete Hegseth, at the Shangri-La meeting in Singapore. He has warned that China poses an imminent threat to Taiwan. Pete Hegseth, US Defense Secretary: To be clear, any attempt by communist China to conquer Taiwan by force would result in devastating consequences for the Indo-Pacific and the world. There's no reason to sugarcoat it. The threat China poses is real and it could be imminent. We hope not, but it certainly could be. Peter Dean: Yes, so Secretary Hegseth I believe is referring to here is comments made by the Chinese leader Xi Jinping and by other members of the Chinese leadership, where Xi Jinping in particular has said that the Chinese military are prepared to use force and to achieve specific capability goals by the dates of 2027 and the dates of 2029. Pete Hegseth, US Defense Secretary: We know, it's public, that Xi has ordered his military to be capable of invading Taiwan by 2027. The PLA is building the military needed to do it, training for it every day and rehearsing for the real deal. Peter Dean: This is about requirements that Xi Jinping has set for the development of the People's Liberation Army and its subsequent Navy and Air Forces as well. So this is about its development of specific capabilities, but also its command and control systems, its ability to conduct exercises and its ability to conduct the types of high-end warfare to undertake, for instance, a strike across the Taiwan Strait. Sam Hawley: So what has China then, Peter, had to say about all of this, that it will imminently attack Taiwan? Peter Dean: Well, I mean, what Xi Jinping has said is that he reserves the right to use force to solve what the Chinese argue is a domestic political issue. They, of course, refer to Taiwan as a rogue state. They don't recognise the democratic system that the Taiwanese people have. And of course, they don't recognise the will of the Taiwanese people, who overwhelmingly identify now as Taiwanese and do not wish to be reunited with the mainland. Sam Hawley: Well, China's foreign ministry does say that the US is overstepping its bounds and stoking flames in the South China Sea in response to those comments from Pete Hegseth. Sam Hawley: Let's consider, Peter, now then China's military build-up and defence spending by Western nations. Now, our Defence Minister, Richard Marles, he also addressed that conference in Singapore, noting that Australia can't rely on the US alone to counter China's military strength in the Indo-Pacific. Richard Marles, Defence Minister: There is no effective balance of power in this region absent the United States, but we cannot leave it to the United States alone. Other countries must contribute to this balance as well, and that includes Australia. Sam Hawley: And he also pointed to that huge military build-up by China. Richard Marles, Defence Minister: What we have seen from China is the single biggest increase in military capability and build-up in a conventional sense by any country since the end of the Second World War. Peter Dean: So I think what Richard Marles is putting out there is basically reaffirming Australia's strategic approach and that this is not just something that we can rely upon the US to do on its own. It doesn't have the requisite levels of capability to respond to China in this way. It must be by a community of nations within the Indo-Pacific. And as a status quo power, Australia and the United States and others are attempting to maintain the free and open Indo-Pacific that we currently have and stop any state from being able to dominate that region and impose a sort of hegemonic control over the Indo-Pacific. Sam Hawley: All right. Well, Donald Trump, of course, and Pete Hegseth have urged US allies in the region to increase their defence spending. They want Australia to raise our contribution to 3.5% of GDP, but let's face it, we are nowhere near that at the moment, and that would cost a lot of money, wouldn't it? Peter Dean: Oh, yes. You're looking in the realm of somewhere around $41 billion additional to go into defence spending to raise that level of money. I think what's really key here is GDP as a measure of defence spending has become a bit shorthand in recent decades for sort of commitment towards defending your own country or contributing to collective defence. There is no magical number that the Australian government can get to that would make our country safe. And if you remember way back when Tony Abbott was vying to become Prime Minister, when Julia Gillard and Kevin Rudd were running the country, then there was a whole debate about achieving 2% of GDP, which we currently have. Now the debate has moved on to is it 3 or 3.5% of GDP. But of course, as I said, most importantly, this number is being used internationally as a proxy by both the Trump administration, but by other states around the world, relative to an individual state's commitment to both its own sovereignty and security, but also the collective defence of the region it lives in. Sam Hawley: Yeah, well, Anthony Albanese says we will determine our own defence policy. And he notes that Australia is on track to lift defence spending to 2.4% of GDP by 2033-34. Anthony Albanese, Prime Minister: We're provided an additional $10 billion of investment into defence over the forward estimates. We're continuing to lift up. That adds up to 2.3% of GDP. Sam Hawley: A long way, as we said, to 3.5% that the Americans actually want. But nations like the UK are now moving more quickly, aren't they, Peter? The British leader, Keir Starmer, he has promised to increase annual spending to 3% up from 2.3%. They seem pretty worried in the United Kingdom. Peter Dean: Yeah, look, the UK government has made a firm commitment to move to 2.5% of GDP in the next couple of years and 3% of GDP in the near future. This is off the back of their strategic defence review. News report: Under the AUKUS security pact with Australia and America, 12 new nuclear-powered submarines will be built to protect Britain's waters. Six new munitions factories will be constructed across the UK and thousands of long-range weapons will be manufactured on British soil. Keir Starmer, UK Prime Minister: We are moving to warfighting readiness as the central purpose of our armed forces. When we are being directly threatened by states with advanced military forces, the most effective way to deter them is to be ready. Peter Dean: Particularly in response not only to the war in Ukraine and the threat from Russia, but of course, most recently from the changing posture of the United States under President Donald Trump. And what we can see there is Keir Starmer, along with Emmanuel Macron from France and other key leaders in Europe, are working assiduously hard to provide for greater defence of Europe based on European needs. Sam Hawley: Well, the British leader Keir Starmer says the UK must be ready to fight a war. Keir Starmer, UK Prime Minister: A battle-ready, armour-clad nation with the strongest alliances and the most advanced capabilities equipped for the decades to come. Sam Hawley: What weaponry does he want? Peter Dean: Well, what Keir Starmer has announced is that he wishes the UK military to field a force of at least 7,000 long-range missiles. Now, if you look at what's happening in the war in Ukraine in particular, but also the war in Gaza and the Houthi attacks on shipping in the Red Sea, what you've seen is the explosion of the use of long-range precision fires in each of those conflicts. Sam Hawley: Well, the UK plans to pay for all of this by, in part, cutting international aid, just to note that. What's it really worried about then? Is it just Russia or does China come into this as well for the UK? Peter Dean: Look, I think it's both. I mean, what we're seeing is a fundamental changing of the strategic order of the world that we live in. The world is becoming much more dangerous. As our own government has said, we live in the most perilous times. We're seeing the rise of revisionist powers, in particular China, Russia, Iran and North Korea. And of course, the Russian illegal and immoral invasion of Ukraine has been really at the centre of this. This is the first time since the end of the Second World War that Europe has seen a large major power conduct a full-on invasion of another state in Europe. That is an ongoing war, as we see today. And it looks like President Trump's efforts at brokering a peace deal are faltering at the moment. So that war is going to continue on. Sam Hawley: And the concern is, of course, that if Putin succeeds in Ukraine, he has other plans after that, right? Peter Dean: Well, exactly. And Putin, again, I think we need to actually believe what the rhetoric is coming out of some of these leaders from some of these states. I mean, Putin made it very clear in the lead up to the war in Ukraine that he believes that Ukraine shouldn't exist as a sovereign state, that it belongs as a part of a revitalised Russian empire that he sees. And he committed similar acts in states such as Georgia and other parts. And of course, in Ukraine itself, where he conducted limited incursions. And of course, what we see in the South China Sea and the East China Sea is ambient claims from China that are not recognised by international courts or international law. And the Chinese consistently using coercion military force against the Philippines, against Vietnam, against Indonesia, against Taiwan and against Japan in various parts of those seas to push their own sovereign claims, even though they are not recognised in the international community and not recognised by those other states. And of course, we add in the layer here of the cyber domain and cyber dimension, that while we're largely in strategic competition with these states across the globe in areas such as cyber, we're in day to day limited conflict as we receive an onslaught of assaults in the cyber domain from states such as North Korea, Iran, China and Russia. Sam Hawley: All right, well, Peter, as you say, we're living in a less stable world. But what do you think is our approach when it comes to defence, the right one? Are we war ready like the UK wants to be? And if we're not, do we actually need to be? Peter Dean: I think we're definitely not war ready at the moment. If you look at the Defence Strategic Review in 2023, it made it really clear that the ADF was not fit for purpose. The government is in the process of lifting defence spending to try and achieve some of the outcomes that were set. We don't have 10 years anymore to wait to prepare our forces. Now, what's been happening in Australia has been a long discussion in recent years over the requisite levels of defence spending. This was happening well before Donald Trump was elected for his second term of office. And if you look back to last year, you'll see some very eminent commentators and experienced people in this debate, people such as Sir Angus Houston, the former chief of Defence Force and one of the two independent leads of the Defence Strategic Review, former Secretary Dennis Richardson, former Labor leader Kim Beazley, former Home Affairs Secretary Mike Pezzullo, have all called for increasing of defence spending to around about three percentage of GDP on defence. So this is a national debate that's been happening for quite a while. And now it's become much more direct, given that our US alliance partner has directly made the request to Australia to increase defence spending. Sam Hawley: All right, and what about this imminent threat that Pete Hegseth talks about that China will invade Taiwan soon? If that was the case, and we're not saying that it is, of course, but what would that mean for us? Peter Dean: This would mean you have the two largest economies in the world going toe to toe militarily with each other across the Taiwan Strait and in East Asia. It would always inevitably suck in states like Japan and Korea and Australia and others. And in all the estimates we have, not only would it be the extreme loss of life that would occur by the states involved in the conflict, you would spiral the global economy into a major recession, if not depression. You're talking about the most dynamic economic region in the world being consumed by conflict. And we will be putting ourselves in the risk not just of a global economic recession and a major war, but of course, we're talking about a war here between major nuclear armed states. The government's not wrong when it says we live in this really dangerous strategic age. And of course, Donald Trump is not helping that, right? He's not helping stability and security. He's, you know, in many senses, creating a source of additional instability in the global strategic order. Sam Hawley: Peter Dean is the director of foreign policy and defence at the United States Study Centre at the University of Sydney. This episode was produced by Sydney Pead. Audio production by Adair Sheppard. Our supervising producer is David Coady. I'm Sam Hawley. ABC News Daily will be back again on Monday. Thanks for listening.


West Australian
2 hours ago
- West Australian
Wall Street dips as investors focus on US jobs data
US stocks have dipped, dragged down by Tesla's shares, while investors looked ahead to the monthly jobs report to gauge the health of the labour market amid concerns of an economic slowdown. Chinese President Xi Jinping held talks with US President Donald Trump by phone, China's state-run news agency Xinhua reported, as bilateral relations have been strained by trade disputes. The call comes amid accusations between the US and China in recent weeks over critical minerals in a dispute that threatens to tear up a fragile truce in the trade war between the governments of the two biggest economies. Weaker-than-expected US private payrolls and services sector data on Wednesday raised concerns about the effects of Trump's erratic trade policies, with investors focusing squarely on Friday's non-farm payrolls report. Initial jobless claims data showed people in the US filing new applications for unemployment benefits last week rose for a second straight week. "I don't think it's some sort of big warning sign right now but it speaks to the fact that the labour market has been softening more and just getting gradually weaker," said Kevin Gordon, senior investment strategist at Charles Schwab. The jobs report comes ahead of the Federal Reserve's policy decision later this month, where policy makers are widely expected to hold interest rates. Despite continued calls from Trump to slash interest rates, Fed chair Jerome Powell has opted to stand pat so far, awaiting further data to help dictate the policy decision as tariff volatility prevails. US equities rallied sharply in May, with investors boosting the S&P 500 index and the tech-heavy Nasdaq to their biggest monthly percentage gain since November 2023, thanks to a softening of Trump's harsh trade stance and upbeat earnings reports. The S&P 500 remains nearly 3.0 per cent below record highs touched in February. US central bank officials including Fed Board governor Adriana Kugler, Fed Kansas City president Jeffrey Schmid and Fed Philadelphia president Patrick Harker are scheduled to speak later in the day. In early trading on Thursday, the Dow Jones Industrial Average fell 126.69 points, or 0.30 per cent, to 42,301.05, the S&P 500 lost 12.71 points, or 0.21 per cent, to 5,958.10 and the Nasdaq Composite lost 31.13 points, or 0.16 per cent, to 19,429.36. Eight of the 11 major S&P 500 sub-sectors fell, with consumer staples declining the most with an about 1.0 per cent fall. Brown-Forman fell 14.9 per cent, the most on the S&P 500, after the Jack Daniel's maker forecast a decline in annual revenue and profit. Procter & Gamble said it will cut 7000 jobs, or about 6.0 per cent of its workforce, over the next two years, as part of a restructuring. Shares of the consumer goods bellwether fell 1.3 per cent. Tesla fell 4.5 per cent, touching an over three-week low. The car maker's sales dropped for the fifth straight month in several European markets, data early this week has showed. Declining issues outnumbered advancers by a 1.08-to-1 ratio on the NYSE and by a 1.46-to-1 ratio on the Nasdaq. The S&P 500 posted 12 new 52-week highs and three new lows while the Nasdaq Composite recorded 37 new highs and 16 new lows.


Perth Now
2 hours ago
- Perth Now
Wall Street dips as investors focus on US jobs data
US stocks have dipped, dragged down by Tesla's shares, while investors looked ahead to the monthly jobs report to gauge the health of the labour market amid concerns of an economic slowdown. Chinese President Xi Jinping held talks with US President Donald Trump by phone, China's state-run news agency Xinhua reported, as bilateral relations have been strained by trade disputes. The call comes amid accusations between the US and China in recent weeks over critical minerals in a dispute that threatens to tear up a fragile truce in the trade war between the governments of the two biggest economies. Weaker-than-expected US private payrolls and services sector data on Wednesday raised concerns about the effects of Trump's erratic trade policies, with investors focusing squarely on Friday's non-farm payrolls report. Initial jobless claims data showed people in the US filing new applications for unemployment benefits last week rose for a second straight week. "I don't think it's some sort of big warning sign right now but it speaks to the fact that the labour market has been softening more and just getting gradually weaker," said Kevin Gordon, senior investment strategist at Charles Schwab. The jobs report comes ahead of the Federal Reserve's policy decision later this month, where policy makers are widely expected to hold interest rates. Despite continued calls from Trump to slash interest rates, Fed chair Jerome Powell has opted to stand pat so far, awaiting further data to help dictate the policy decision as tariff volatility prevails. US equities rallied sharply in May, with investors boosting the S&P 500 index and the tech-heavy Nasdaq to their biggest monthly percentage gain since November 2023, thanks to a softening of Trump's harsh trade stance and upbeat earnings reports. The S&P 500 remains nearly 3.0 per cent below record highs touched in February. US central bank officials including Fed Board governor Adriana Kugler, Fed Kansas City president Jeffrey Schmid and Fed Philadelphia president Patrick Harker are scheduled to speak later in the day. In early trading on Thursday, the Dow Jones Industrial Average fell 126.69 points, or 0.30 per cent, to 42,301.05, the S&P 500 lost 12.71 points, or 0.21 per cent, to 5,958.10 and the Nasdaq Composite lost 31.13 points, or 0.16 per cent, to 19,429.36. Eight of the 11 major S&P 500 sub-sectors fell, with consumer staples declining the most with an about 1.0 per cent fall. Brown-Forman fell 14.9 per cent, the most on the S&P 500, after the Jack Daniel's maker forecast a decline in annual revenue and profit. Procter & Gamble said it will cut 7000 jobs, or about 6.0 per cent of its workforce, over the next two years, as part of a restructuring. Shares of the consumer goods bellwether fell 1.3 per cent. Tesla fell 4.5 per cent, touching an over three-week low. The car maker's sales dropped for the fifth straight month in several European markets, data early this week has showed. Declining issues outnumbered advancers by a 1.08-to-1 ratio on the NYSE and by a 1.46-to-1 ratio on the Nasdaq. The S&P 500 posted 12 new 52-week highs and three new lows while the Nasdaq Composite recorded 37 new highs and 16 new lows.