For Australia, the rise of China and India combines vast economic gain
with challenges in security and values. The Asian giants have become
principal markets for Australia's resources, major sources of human
capital, and critical strategic players in the region. China brings
Australia greater economic benefits than India, but its growing military
power, combined with differences over values, poses security anxieties.
Thus, Canberra has tried to intensify diplomatic engagement and
economic enmeshment with both powers, yet is also seeking to hegde
against Chinese power. This involves strengthening Australia's defence
posture, enhancing the U.S alliance and forging new kinds of strategic
ties with Asian partners, including India. In the wake of President
Obama's 2011 visit, Labor's policy shift on uranium exports to India,
and a challenging phase in China's regional diplomacy, this lecture will
raise questions about the nature and viability of an Australian
strategy to sustain good relations with the giants of the Asian century.