Externally, Australia has little choice to finally recognize the nation is actually domiciled within the Asian region. It must make a serious pivot to Asia, where it now has much more in common with its regional neighbors than ever before. It will be a much poorer nation, and like Covid-hit countries within the region will need to restart its economy.
Australia is not the only country that has had a falling out with China. Some countries in the region have deep seated issues with China over BRI and/or the South China Sea. Canberra has to learn how to engage countries within the region far beyond the transactional relationships of the past. To assist with this, Australia has a golden asset to rebuild neglected relationships, the Asian diaspora resident in Australia.
Although Australia is no match for China when it comes to aid diplomacy, past experiences by some countries whose BRI investments have resulted in a debt trap may present a welcome mat for a sincere Australia. There is a wide array of areas for mutual benefit. These include culture, education, trade, medicine, research, and military cooperation. Military cooperation is potentially Australia's ultimate long-term defense against potential enemies. It is here Australia must think out of the box, such as inviting and facilitating the relocation of Singapore's armed fighter squadrons from the US to Australia as Singapore's rear and last-resort defense strategy.
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China's military and diplomatic expansion are not without weaknesses. China's aggressive diplomacy should be seen as a welcome wake up call to Australia. This was a great strategic mistake, letting out rhetoric that reflected China's national ego, rather than serving its national interest. 'Wolf warrior' rhetoric unnecessarily telegraphed China's potential future punches, particularly when read with what is happening in Hong Kong.
China's trade sanctions on Australia's beef and barley exports and the threat to wine exports is a message to diversify. Neighboring markets are still relatively untapped for Australian business to enter and develop. China's increasingly threatening position in the South China Sea opens up all sorts of possibilities for future military cooperation within the region closest to Australia's shores.
Domestically, there is a need to cleanse the political landscape, educational institutions and local media of undue foreign influence. This is particularly important in those who hold public office, so there is a pressing need to screen those running for public office for any indications of loyalty towards other nations. Strategic assets such as utilities, ports, transport, and water resources need much greater scrutiny when sold to foreign parties.
Strategically, Australia has to determine whether foreign influence actually equals threat. What does an expanding China really mean? And how can Australia earn China's respect? Probably by being strong-minded and independent. China is not necessarily the enemy. China is doing on a much more massive scale what Australia did in Timor Leste, and tried to do in Indonesia.
Australia has to correct problems with the way policy is made. Canberra is too isolated for faceless mandarins behind closed doors to be responsible for such important issues. Much more diversity in policy making is required. The US alliance doesn't have to be completely broken, just a more independent view coming out of Canberra will be important for regional engagement.
Finally, the narrative needs multicultural diversity that is much more representative of the Australian nation today rather than what Australia once was. Former prime minister Keating's pivot to Asia back in the 1990s failed because of the narrative. Australian was physically part of Asia but not in soul.
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As the Chinese proverb says, in every crisis, there is opportunity. Certainly, for Australia there is, if there is a dream about what the region could be, and this becomes a shared vision of the region. There is so much common ground between Australia and the region, physically, socially, economically and militarily. This is what Australia needs to explore.
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