Australia-China relationship chills

Australia has failed to heed the success of some of its ASEAN neighbors, failing to recognize their ascendancy and growing diplomatic aptitude, and missing valuable lessons. Malaysia, with disputed territories and frequent maritime confrontations, even managed to renegotiate a number of BRI deals and carry Chinese respect. Indonesia also has territorial issues with China but understood the art of focusing on outcomes rather than letting unbeneficial rhetoric fly over differences.

Singapore has a close relationship with China, due to the assistance Singapore gave to China on development over the past 40 years. China has said little about Singapore troops stationed in Taiwan for training, or jet fighter squadrons based within the United States.

Staunch anti-communist Thailand is working on a number of strategically important projects to both countries, particularly the opening of a new gateway from Yunnan Province into Southeast Asia. The common thread here is all these countries have independent foreign policies, and work bilaterally and multilaterally for each countries' benefit.

This is what China has wanted – respect, mutually beneficial bilateral and multilateral cooperation, and diplomatic support. China's contentious borders since 1949 have been primarily solved politically. Australia has prospered under the China relationship with massive growth in trade. Australia's position as a middle economic power has been mostly dependent on its exports to China.

China sees Australia as ungrateful, leading to a supposedly leaked document from the Chinese Embassy in Canberra recently which claims that:

1. Australia id blocking more than 10 potential Chinese investments on opaque national security concerns,
2. Huawei Technologies and ZTE are banned from the 5G network, over national security concerns,
3. Foreign interference legislation is being enacted which is viewed as targeting China's BRI agreement with Victoria,
4. Australia-China cultural, education, and economic exchanges are being politicized, and visas are being revoked for Chinese scholars,
5. Australia has called for an international independent inquiry into the origins of COVID-19,
6. Australia has interfered in in internal Chinese matters such as Xinjiang, Hong Kong, and Taiwan, and spearheaded a crusade against China in multilateral forums,
7. Australia has made hostile statements about the South China Sea to the United Nations,
8. Australia has sided with the US anti-China campaign, spreading disinformation about China's efforts in containing COVID-19,
9. Australia has funded an anti-China think-tank spreading untrue facts about Xinjiang and manipulated public opinion against China. Chinese journalists' homes and properties have been raided without laying charges or giving explanations,
10. China is accused of conducting cyber-attacks against Australia without any evidence,
11. Australian MPs have made racist attacks against Chinese and Asian people, and
12. The Australian media has made unfriendly and antagonistic reports about China

The relationship is set to get worse. Australia is paying a price for being too pro-US in its narratives, a perception that China is a threat to be contained. Global Times' comment on Morrison's statement that "we will always be Australia: we will set our own laws and rules according to our national interests" is a claim that Australia is just a vassal state of the United States.

An independent foreign policy is one of the most important prerequisites to a healthy Australia-Chinese relationship. Treasurer Josh Frydenberg based next year's economic growth in Australia on a strong China recovery, with the IMF estimating the Chinese economy will grow 8.2 percent in 2021. This must be factored into defense and foreign policy.

Australia must come to terms of the loss of its status as a middle-sized defense power and rely much more on the region for future defense. Australian international commentary must take this into account. There is no point in aggressively calling for an independent inquiry into COVID-19 source within China when there will be one anyway.

The Canberra mandarins must see China as an opportunity rather than a threat and realign the narratives. China needs to be re-understood by policymakers. It is time for Australia to reassess where mutual benefit exists, enhance cooperative research, and work earnestly on multilateral issues where there is mutual benefit.