The Australian government is currently engaged in talks with the United States to manufacture American missiles on its territory amid ongoing tensions with China. The U.S. military is looking to store ammunition and other combat equipment, including missiles, in bases in northern Australia, which are closest to China. The U.S. ambassador to Canberra referred to this storage as "advanced deployment," according to the British newspaper "Daily Mail." Goldman, the ambassador, added that close cooperation is "logical" between the two countries given the "new geopolitical context" facing the region, referring to Beijing.
Although no agreement has been reached between the two parties yet, Australian Prime Minister Scott Morrison stated that the government plans to spend a billion dollars to produce advanced missiles in Australia. Goldman said, "These things are not immediate, but our militaries and our strategic thinkers are engaged in discussions on the best ways to face these new challenges together."
The American diplomat criticized China and its leader Xi Jinping for their "economic coercion" policy against Australia. He also stated that the United States would not leave Australians "alone on the playground." Over the past year, China has imposed more than $20 billion in trade bans and tariffs on Australian exports in retaliation for Canberra's call for an independent investigation into the origins of the coronavirus pandemic in the Chinese city of Wuhan, the epicenter of the outbreak.
Tensions escalated last month when Australian officials stated that "the drums of war" are sounding in the region. U.S. allies in Asia fear that China may become bolder and use its growing military power to assert control over Taiwan. Goldman reiterated that the alliance between Australia and the United States, which is approaching its seventieth anniversary, will continue to confront "hostile actions."
The United States and Australia are also part of the "Quad" alliance, which includes Japan and India. This alliance, launched in 2007, aims to establish a balance of power with China in Asia and the Pacific to counter its rising influence there.