Stuck in the middle? That’s not what Australia wants
BUSINESS
By Gao Yun

2017-03-24 20:45:02

By CGTN's Landi Sun
With Chinese Premier Li Keqiang officially kicking off his visit to Australia, the relationship between the two countries has come under the spotlight. The large business delegation accompanying Premier Li is a clear sign the visit aims to further upgrade the bilateral free trade agreement between the two countries, and strengthen economic ties.
However, it's been reported that Canberra has declined to integrate its 2030 Vision for Developing Northern Australia with China’s Belt and Road Initiative, a move which seems to be at odds with Australia’s economic interests.
Trade between China and Australia covers multiple industries including agricultural goods, raw materials, electronic accessories and clothing. From 2015-16, Australia’s exports to China exceeded 65.43 billion dollars, taking up 27.5 percent of Australia’s total export. /CFP Photo
Hugh White, professor of strategic studies at the Australian National University, told CGTN that Australia was “caught in the middle” between its economic interests and strategic concerns, as it was “careful not to be seen by the US as too closely aligned to China”.
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China is Australia’s biggest trade partner, and the two countries cooperate across a broad spectrum of areas. However, the trade prospects do not relieve Australia’s uncertainty and anxiety on how the Trump administration will react to its deeper economic connection with China.
Thus, if its economic interests and strategic aims are in conflict with each other, will Australia be forced to choose between China and the US?
As Professor White suggests, it is very difficult for Australia to maintain a balance between the two powers. That balance hinges on how China-US relations will evolve, and how the US would respond to China taking a leadership role in Asia.
The rise of China and a perceived decline in US power should be carefully dealt with, and Australia certainly welcomes a peaceful and healthy China-US relationship.
According to Professor White, what Australia wants is to avoid any dilemmas and embrace trade integration with China, without having to compete strategically.

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