Australia is positioning itself as a military adversary to China rather than an economic partner by signing a new security pact for the Indo-Pacific that is expected to trigger further trade retaliation from Beijing, analysts say.
While China was unlikely to retaliate immediately with new bans on Australian exports, the Morrison government’s UK-US security pact would have long-term ramifications for the country’s $150-billion-a-year export trade with the world’s second-largest economy.
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Michael Smith is the health editor for The Australian Financial Review. He is based in Sydney. Connect with Michael on Twitter. Email Michael at michael.smith@afr.com