Australia

Thus Australia risks being crushed by US-China tensions

A new Ukraine in the Indo-Pacific? It seems excessive to outline the contours of such a scenario.
Yet, Australia risks finding itself in the middle of the clash of two giants: the United States on one side, China on the other.
If Washington represents a solid military, political and values ally of Canberra, at the same time Beijing is its main commercial partner.
It is no coincidence that Anthony Albanese, the island's prime minister, hailed "the improvement in relations between the two countries", obviously referring to relations between Australia and China.
Relations have deteriorated over the last few years due to accusations of espionage, the Australian choice to exclude the Chinese company Huawei from the country's 5G network, the fierce clash over the origins of the Covid-19 pandemic and, last but not least, the increase in tensions between the USA and the Dragon, which have increasingly forced Australia to take one side against the other.
read also Meetings, agreements and diplomacy: China's anti-US plan takes shape Australia between two fires Australia has understood at its own expense that adopting a clear and intransigent position in the fight between the United States and China entails more risks than advantages .
The Australian government, for example, has agreed to be part of the Aukus, a security pact made by Canberra in 2021 with the United Kingdom and the United States.
In doing so, the island has agreed to transform itself into the Western standard-bearer in Chinese containment in the Indo-Pacific, with all the attendant responsibilities and consequences.
First, the agreement revolves around Australia's commitment to finance the largest military program in the country's history, including the purchase of a small fleet of nuclear-powered attack submarines, complemented by at least three US Virginia-class submarines, as well as other agreements of a technological and military nature.
Estimated cost: 240 billion dollars to be spread over the next few years.
A figure that initially did not weigh enough, then became a boulder that pushed several Australian officials to talk about an expensive plan.
As if that wasn't enough, by becoming a sort of beachhead for the USA, Australia exposed itself to Beijing's ferocious reaction.
read also Russia grappling with "made in China".
A convergence that cannot work The economic risk of Canberra Albanese, aware of Australia's economic situation, has tried to mend relations with China.
The Australian leader recently flew over the Wall to meet his Chinese counterpart Xi Jinping.
The economic mission appears to have been successful, judging by the fact that Beijing has lifted most of the trade blocks imposed on Canberra in 2020, in a move that cost the latter around 20 billion Australian dollars in "frozen" exports of raw materials raw materials and food.
“China is our main trading partner.
It represents more than 25% of our exports, and one in four jobs is linked to the trade sector.
It is therefore an important relationship”, declared Albanese with all due respect to US geopolitical dossiers.
In 2021, just to understand the figures at stake, bilateral trade between the two countries amounted to approximately 231.2 billion dollars, with an increase of 35.1% on an annual basis, and with Chinese imports from Australia which reached 164.82 billion dollars, an increase of 40.6% compared to 2020.
As if that were not enough, the economies of the two countries are highly complementary.
Let's think about Australia's minerals and China's hunger for these goods.
Australian commodities, particularly food and agricultural products (beef, wine, barley and seafood, to name a few), natural resources (coal and gas) and wool, appeal to China's appetite, while Australia's rich reserves of critical minerals, particularly lithium and iron ore, make Canberra a strategic and significant trading partner for Beijing.
With all due respect to Washington.

Author: Hermes A.I.

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