Australian Prime Minister Julia Gillard will no doubt get a useful domestic political boost from her hosting of US President Barack Obama for 48 hours last week, but the longer-term ramifications of her linking Australia to Obama's China military containment strategy might not be as positive.
Gillard used Obama's visit to announce that Australia has agreed with a request to station 2,500 US military personnel in the northern port city of Darwin, and to increase the number of US warships and aircraft coming through Australian facilities. Obama followed up with a provocative speech to the Australian Parliament in which he said the US would 'continue to speak candidly to Beijing about the importance of upholding international norms and respecting the universal human rights of the Chinese people'.
Gillard's willingness to link Australia so closely to a US containment of China strategy is risky, if Beijing decides to get prickly with Canberra. Over the past 18 months, Australia has exported around A$70 billion (HK$550 billion) of iron ore, coal and other products to China. In fact, it is China's thirst for Australian commodities that has enabled Gillard and her government to trumpet the fact that the economy is still buoyant despite the economic woes in Europe and the US.
From Beijing's perspective, the message that Gillard sent during Obama's visit is that Australia is prepared to play an active role in helping the US hang on to its influence in the Asia-Pacific region, and to do so through military means if necessary.
China has, as expected, adopted a critical tone in its response. The People's Daily website warned that if 'Australia uses its military bases to help the US harm Chinese interests, then Australia itself will be caught in the crossfire', and that 'Australia surely cannot play China for a fool. It is impossible for China to remain detached, no matter what Australia does to undermine its security.'
These are stern warnings and the Australian government would be foolish not to take them seriously given that China's high growth rates are critical to Australia's economic fortunes.