Dhe South Pacific is increasingly becoming an arena in the geostrategic competition between China and the United States and their allies. Australia is particularly affected as a neighboring country and traditional regional power in the area. But for a long time the Pacific States felt neglected by Canberra. Now the new Australian government is trying to make up for lost time. It is reacting to China’s influence in the strategically important area with additional investments.
The first budget of Anthony Albanese’s Labor government provides, among other things, the equivalent of 580 million euros for additional investments in the Pacific island states in the next four years. Defense Secretary Richard Marles told an Australian broadcaster that some catching up had to be done. The Pacific is “central” to Australia’s national interests.
US Coast Guard ship not allowed to dock
The investments are primarily a response to China’s influence in the region. Without naming China, Secretary of State Penny Wong said the investments should help Pacific countries stop depending on others for their security.
The words echo Australia and the US’ shock at the new China-Solomon Islands security pact. He had raised concerns that he could allow Chinese soldiers to be stationed in the country.
Manasseh Sogavare, the prime minister of the island state, had ruled out the construction of a Chinese military base. But his further decisions gave cause for concern. A US Coast Guard ship was banned from docking in the port of the capital Honiara. For the first time, some police officers from the Solomon Islands have traveled to China for training.
Bring “new energy” to the region
For many of the small island nations, China is the largest trading partner, investor and lender. Chinese companies are building and renovating ports, hospitals and stadiums, laying undersea cables and fishing in the area. Beijing is also successful in the race for diplomatic recognition with Taiwan. The Solomon Islands and the island state of Kiribati only severed relations with Taipei in 2019 and recognized Beijing diplomatically. Now only Palau, Nauru, Tuvalu and the Marshall Islands recognize Taiwan.
Presenting the government’s first budget, Foreign Minister Wong said Australia aims to become the “preferred partner of countries in our region”. The investments are an important step towards increasing Australia’s influence in the world. The government is bringing “new energy” to the region, said Pat Conroy, Australia’s Pacific Minister.
In fact, Canberra has already significantly increased its activities in the area under the Social Democrat government. Foreign Minister Wong has visited twelve Pacific island states since taking office in May. The region is “a priority” for Australia, she said at a Pacific conference in French Polynesia. There, Wong had also announced increased investments for the climate resilience of the countries.
The issue is close to the heart of the Pacific States, as they are directly confronted with the consequences of global warming. Under the old government, Australia was perceived as slowing things down on this issue. Australia has now submitted improved climate targets to the UN. This eliminates one cause of irritation.
In line with the US
Solomonic Prime Minister Sogavare visited Canberra in early October. In a statement, he and Albanese had renewed joint security commitments. Canberra does not limit its activities to the Solomon Islands. Australia and Fiji recently agreed on closer cooperation between their armies. A defense agreement with Papua New Guinea is said to be on the way.
The courtship also happens in tandem with Washington’s Pacific strategy. In October, President Joe Biden met a dozen heads of state and government from the region in Washington for the first time. He announced that he would increase the number of foreign missions in the Pacific region from six to nine and renew existing strategic partnerships. For its part, Washington also promised the equivalent of almost 800 million euros in foreign aid.
After long negotiations, the US government had also convinced the Solomon Islands to sign a joint declaration. To do this, they had to remove all indirect references to China. But Washington had done more with it than the government in Beijing.
At a previous meeting between Chinese Foreign Minister Wang Yi and representatives of ten Pacific island states, a planned trade and security pact had not been concluded. Experts are also skeptical that China will pull off another coup like the security agreement with the Solomon Islands in the near future.
The defense budget is to be increased to more than two percent of GDP
Australia, which is cooperating with the US under the so-called Quad and AUKUS security agreement, is best placed to counter Chinese influence in the region. According to Wong, it is the only country with diplomatic missions in all Pacific Island Forum countries. Concerns are growing over a possible military clash with Beijing as a result of a Chinese invasion of Taiwan, given the Russian attack on Ukraine.
According to Defense Secretary Marles, Australia is facing “the most difficult geopolitical circumstances since the Second World War”. He therefore announced that the Australian defense budget would be increased to more than two percent of gross domestic product. It will reach the highest level in decades.