Scott Morrison digs in on China, and takes a swipe at Labor too

Scott Morrison has hit back at Chinese President Xi Jinping’s swipe at AUKUS, accusing Labor of each-way bet on security.

Scott Morrison leaves Bert Newton's state funeral in Melbourne on Friday. Picture: Andrew Henshaw

Scott Morrison has warned Chinese President Xi Jinping Australia will not compromise on its national interests or democratic institutions, and warned trade “coercion and bullying” was threatening a free and open Indo-Pacific.

The Prime Minister hit back at Mr Xi’s thinly veiled criticism of the AUKUS military pact with Britain and the US on Friday, and also accused Labor of joining Beijing in undermining Australia’s defence sovereignty and having an “each-way bet on national security”.

Ahead of speaking at the APEC leaders’ summit overnight, Mr Morrison responded to Mr Xi by invoking the list of 14 grievances released by the Chinese embassy – and vowing he was “never going to compromise on those issues”.

“If that means Australia gets targeted because of that, if that means we will attract criticism because we decide to get better submarines and that upsets people and they want to have a sledge at me – well, so be it,” Mr Morrison said.

“I observed those comments from President Xi, and what I know is this: everyone is very aware of the 14 points that were raised. Those points talked about the freedom of our press. They talked about the freedom of our parliament. They talked about Australia’s right to make sovereign decisions in our own defence interests. I am never going to ­compromise on those issues.”

Mr Morrison, who has elevated national security as a central election issue alongside economic and pandemic management, was expected to tell APEC leaders the post-Covid-19 recovery must be business and trade led.

With Australian exporters targeted by the Chinese government in recent years as relations soured, Mr Morrison said that rules-based trade would determine how countries could engage freely and openly in the Indo-Pacific. “That countries are not subject to trade coercion, trade bullying, and that the rules of the trade ­system are respected … that’s what a free and open Indo-Pacific means,” he said.

Mr Morrison was expected to use the APEC summit to push for World Trade Organisation reforms and join Indo-Pacific leaders in supporting higher rates of vaccination in the region, with Australia working with the COVAX facility and Quadrilateral Security Dialogue partners to increase the supply of safe and ­effective jabs to all countries.

Ramping up pressure on Anthony Albanese during his blitz of marginal and target seats in NSW and Victoria this week, he said Labor could not have an “each-way bet on national security”.

“I do find it disappointing at the same time – when implied in those comments … by President Xi there is a criticism of AUKUS – that in the exact same time, the Labor Party here in Australia seems to be joining in on those criticisms for what they are seeking to do and undermining it here in Australia,” Mr Morrison said.

“You can’t have an each-way bet on national security. Australians know where I stand when it comes to national security, on AUKUS, on the submarines that we should have. And I’ve stood up for those things. And you can’t have an each-way bet on it.”

Mr Albanese on Friday described Mr Morrison’s claim that he was appeasing China as “nonsense” and pushed back against former Labor prime minister Paul Keating’s criticism that the ALP was failing on foreign policy. “I disagree with Paul Keating. I have respect for Paul. I think he’s always worth listening to. But I think China, under Xi, has chan­ged its positioning. It has changed the way it relates to other nations in our region, and to Australia,” the Opposition Leader said.

He said while Australia’s response to Beijing must change, “we need to always be prepared to stand up for Australian values”.

“The document that came from the Chinese embassy asking for a range of changes in Australia’s posture and our positioning is something that we should never compromise on,” he said.

In a speech to the APEC CEO’s summit this week, Mr Xi warned the Indo-Pacific region must not “relapse” into Cold War-style confrontation, which was viewed as a jibe at the AUKUS military pact.

“Attempts to draw ideological lines or form small circles on geopolitical grounds are bound to fail,” Mr Xi said.

Joe Biden’s national security adviser Jake Sullivan told a Lowy Institute event on Thursday that the US would move swiftly to implement the AUKUS security partnership, and he rejected claims of a new cold war.

Mr Morrison welcomed Mr Sullivan’s comments and said his focus was on working with like-minded partners, including Quad and AUKUS allies – the US, India, Japan and Britain – to protect a free and open Indo-Pacific.

Foreign Affairs Minister Marise Payne on Friday met with New Zealand counterpart Nanaia Mahuta to reaffirm their commitment for “open, rules-based trade based on market principles”.

As China has sought to increase its influence in the region, the ministers endorsed the importance of Australia and New Zealand maintaining a leading presence in the South Pacific.

“The ministers emphasised the importance of an open and inclusive Indo-Pacific region of sovereign, resilient and prosperous states that can pursue their interests free from coercion,” the statement read. “They reaffirmed their intent to work together to preserve the liberal international order that has underpinned stability and prosperity in the region, and to foster a sustainable regional balance where all countries – large and small – can freely pursue their legitimate interests.”

Deputy Labor leader Richard Marles said Labor was aware of “the concerns and challenges that China represents for Australia”.

“But what we’ve seen in the past 24-hours is a pathetic attempt on the part of the Prime Minister, lying again, to try to spark a fight about our views on China which just doesn’t exist,” Mr Marles said.