Responding to the challenges we face: An Australian perspective

E ngā mana, e ngā reo, e ngā iwi, e rau rangatira mā.

Tēnā koutou, tēnā koutou, tēnā koutou katoa. 

Thank you for the invitation to join you today. It’s wonderful to visit Nelson for the first time and I look forward to returning.

I started today with an acknowledgement in Te Reo Māori. 

As an Australian, I would like to follow our practice and acknowledge the traditional custodians of the land on which we meet today, recognise their legacy and the role they play in caring for the land and waters of this region.

I also pay my respects to their Elders and extend this to any indigenous leaders in the room.

At the outset, I’d also like to acknowledge the Nelson branch Chairman, John Fitchett, and Alison McAlpine, although she could not be here this evening, for her assistance in organising my visit.

Tonight, I encourage you to listen critically to my presentation. I will speak about the world as Australia sees it, including some of the pressing foreign policy issues facing us today.

I will then outline how we are choosing to respond, share some examples and discuss some key relationships, including the important Australia-New Zealand relationship.

There will be time for questions and a discussion at the end of my remarks.

If I don’t cover an issue of interest, or my comments provoke a question, please do raise these.  Please engage and express your views – critical or otherwise.

I value this sort of discussion and debate as it is through such contestation that we test ideas, sharpen our thinking and learn.

The world as Australia sees it

It’s no exaggeration that the world today is a more volatile and challenging place than it has been since World War II.

As New Zealand Prime Minister Luxon has noted, our world is increasingly based more on power, and less on the rules that have underpinned our shared prosperity for decades.

In the context of this uncertainty and change, Australia’s Foreign Minister Penny Wong reminds us that we must 'deal with the world as it is, not as we wish it to be.’

Fundamentally, the goal of Australian foreign policy is to ensure the security and prosperity of Australia and all Australians.

And we use all tools of statecraft towards this goal.

To ‘deal with the world as it is’ is not just the job of the Department of Foreign Affairs and Trade or diplomats overseas.

It is the job of departments and agencies across the Australian government working together, including those responsible for defence, immigration, employment, education, climate change and indigenous affairs. It is the job of domestically and internationally oriented government departments as these traditional policy areas become increasingly connected.

Drawing this work together, Australia is focussed on our region, our relationships, rules and resilience.

 A contested Indo-Pacific

In the face of increasing competition and a volatile changing world, a stable prosperous resilient region is in all our interests.

We are seeing increasing strategic competition between the US and China, which all countries in our region have to manage.

In this context, Australia works to support a strategic balance, where great powers – the US and China, but in the future others – can engage in a way that reduces the risk of misunderstanding or miscalculations.

A balance where deterrence in all its forms – military, diplomatic, economic – deters conflict and encourages engagement.

While there is regular commentary on the US Administration, our view remains that the United States play an indispensable role in the region – it, for example, underpins alliances and networks, essential for balance in a multipolar region.

As Australian Foreign Minister Wong has argued, we should also be confident in our ability to navigate the changes that were foreshadowed by the Trump Administration.

Australia has engaged with the United States, as we always do, in our own interests.

This has included not shying away from areas where we disagree – such as the US’ tariff policy, which Prime Minister Albanese has described as ‘not the actions of a friend.’

It also means engaging where we have a common interest, for example, on strategic issues, critical minerals or investment.

The Albanese Government has also worked to establish a stable and constructive relationship with China. We cooperate where we can, disagree where we must, and always engage in the national interest.

It is through this approach that we have stabilised our relationship with China – seeing all trade impediments on Australian exports lifted without compromising on our interests.

As Foreign Minister Wong has said, we should not be distracted by a false binary around our relationship with China, or in fact other countries, – safeguarding our sovereignty is not mutually exclusive with productive economic ties.

Relationships, working together in support of shared interests

Our relationship, and our region, are more complicated than that.

We know that the world we want today - and the world that we want our children to inherit - is not only a matter for the great powers.

And this is why middle powers such as Australia, Republic of Korea, and Japan are making purposeful efforts to contribute to a favourable balance in the Indo-Pacific – so no country dominates, and no country is dominated.

We are also looking at our relationships with fresh eyes – identifying shared challenges and designing solutions together to support our shared interests.

Prime Minister Albanese has described this as ‘breaking new ground with old friends.’

In the Pacific, the Falepili Union Treaty with Tuvalu is one example of this in action.

The Falepili Union, which uses the Tuvaluan word meaning good neighbourliness, was initiated at the request of Tuvalu, recognising the existential threat of climate change and sea level rise to the low-lying atoll nation.

The Treaty provides for greater funding from Australia in support of climate adaptation and a permanent residency pathway for 280 Tuvaluans each year to Australia, facilitating climate mobility with dignity while recognising sovereignty.

It also creates a security partnership between Australia and Tuvalu, helping us to guarantee a peaceful, stable and prosperous Pacific.

Rules and norms need to change, but continue to support security and prosperity

Undergoing Australia’s international engagement is an ongoing commitment to rules and norms.

Australia, like New Zealand, places a high priority on these rules and norms because we know they deter conflict, enable free trade, and underpin our security and prosperity.

The multilateral system – even when challenged – has delivered clear benefits for countries like ours since its establishment.

That’s why we continue to support these rules and demonstrate best practice in bilateral and plurilateral trade agreements.

We also work with likeminded partners to advocate for outcomes across the UN, WTO and broader multilateral system where our interests are aligned.  And we are working with these same partners to support work to update and develop these rules and institutions to meet contemporary challenges.

Building resilience

We are increasingly focused on how we can build resilience to traditional and non-traditional threats – such as climate change, cyber threats, supply chain disruptions, foreign interference, and disinformation.

We are focussed, for example, on working with Pacific Island countries to address the challenges posed by climate change, which for some countries is existential.

This has led to increased funding for adaptation and mitigation in the region and joint work this year to host a pre-COP leaders climate change meeting to highlight the challenges faced by Pacific Island countries and small island states.

Another stark example of the importance of resilience is the ongoing fuel crisis and emerging second order impacts following the Middle East conflict.

The fuel crisis is causing economic pain to individuals, families, and businesses across the globe and comes on top of what were already tough times for many.

The impacts are truly global and diverse. I wish to acknowledge, for example, the immediate impact on a reduction in flights to and from Nelson due to jet fuel prices, and the impact on freight costs for horticultural or fishing products from this region.

Recognising our shared interests, New Zealand and Australia have been in regular contact across government on fuel reserves, fuel supplies, and the continued flow of secondary markets such as fertiliser.

This complements our ongoing work advocating for open and stable global supply routes and adherence to international trading rules so essential shipments can reach our region.

We are sharing analysis, perspectives, explaining our respective approaches and coordinating joint action where appropriate.

The Middle East regional conflict is complex as will be its resolution.

Australia welcomes the ongoing talks between Iran and the US.

We have been calling for de-escalation and the end of this conflict for some time.

As Prime Minister Albanese has noted, Australia is not a party to this conflict.

But we have been doing what we can – including working with international partners in support of diplomatic efforts to reopen the Strait of Hormuz, so critical supplies can flow to those who need them, including the most vulnerable.

We continue to call on all parties to uphold international humanitarian law and protect civilian life. 

Using all the tools of statecraft

Relationships, region, rules and resilience provide one framework to guide Australia’s response to the uncertainty in the international environment.

Implementing them requires us to use all the tools of statecraft.

Australia is a middle power.

We cannot impose our will on others, but instead we work by bringing together parties to collaborate for our shared interests.

Using all the tools of statecraft means thinking creatively about what Australia can bring to the table and how to use our resources in the most impactful way.

This could be through more ‘traditional’ social and economic activities under our aid program, or by financing infrastructure projects.

The Australian Government remains committed to these programs.  It has announced in its 2026-27 budget that Australia will maintains its level of funding for Official Development Assistance programs when others are cutting theirs.

Working within this envelope of funding, Australia has reprioritised some multilateral funding to ensure the aid program is strategic, effective, and sustainable and to meet the immediate needs of the Indo-Pacific.

This reprioritisation ensures that over 75 cents in every development dollar is directed to the Indo-Pacific, a region that Australia and New Zealand share.

Using all the tools of statecraft means more than traditional development cooperation.

It includes, for example, labour mobility programs that respond to the economic needs in Australia and our partner countries.  And cultural exchanges, education and vocational training, the introduction of common standards, immigration settings and defence and policing agreements.

Our recent agreements with Papua New Guinea, for example, blend sports diplomacy with aid and development outcomes, as well as a strengthening security relationship.

As you may be aware, Australia is supporting the entrance of a PNG rugby league team into the NRL.

Rugby league is a beloved sport in PNG; a passion we share also in Australia and New Zealand.

In this case, using all the tools of statecraft meant connecting with PNG through rugby league.

Through this program, Australia is not only supporting a national team, but also programs in schools that teach health and nutrition, foster leadership, and promote gender equity through rugby league.

PNG and Australia have also recently signed defence agreements that upgraded our relationship to a formal alliance.

These agreements provide security assurances to both countries and work toward our shared interest of regional stability.

Using all the tools of statecraft also means drawing on the diversity of Australia.

Australia is a nation of migrants and indigenous peoples.

Almost a third of Australians today were born overseas. Two thirds of us are a first-generation migrant or our parents were.

This brings a diverse mix of cultures, languages, and identities together, alongside our indigenous cultures, as part of modern Australia.

Our diversity helps us understand the world and to form genuine connections with counterparts from across the globe.  We see ourselves in the world and the world sees some of itself in us.

This is not a perfect interchange, but Australia’s diversity provides insight and understanding to our work.

Our rich Aboriginal and Torres Strait Islander cultures also have a role in modern Australia.

That means we celebrate these cultures. And it means that we don't shy away from uncomfortable conversations about our past and the path ahead.

New Zealand has over the yeas also led work on these sorts of issues domestically and internationally.

In Australia, our Ambassador for First Nations People, Justin Mohamed, the first to hold such a position internationally, leads a team that works to incorporate indigenous perspectives in our foreign policy.  

This has led Australia, for example, to include provisions on indigenous intellectual property in new free trade agreements and consider how we can reflect indigenous perspectives in other work.

The Ambassador and his team act as a bridge, connecting international communities to Australia's indigenous cultures, and First Nations people to global institutions.

Connecting with our region, the Indo-Pacific

In discussing how Australia sees the world and our engagement, I’ve focused on a few countries. 

I will not go much further, but I do want to underline that Australia’s engagement extends across the globe with a particular focus on the Indo-Pacific.

In her first year, for example, Foreign Minister Wong visited every PIF and ASEAN country (other than Myanmar).  She and other ministers continue to regularly engage with leaders from this region, North and South Asia and further afield.

We know that it is only through strong relationships with our neighbours that we can have a peaceful, stable, and prosperous region.

And as a region with many small and middle powers, we all benefit from the international system of rules and norms that govern trading relationships, and the use of international waters, protect sovereignty and more.

Australia-New Zealand relations

Looking across our bilateral relationships, I’m reminded that Australia has no closer partner than New Zealand.

In an insecure world, friends and partners matter.

Our relationship is built on deep historical, economic, geographic, community, and personal ties.

From the ANZAC tradition that binds us in remembrance and respect, to the friendly banter over culture and sport we engage in regularly.

There is a unique trans-Tasman identity.

Many of us – including myself – have family that live or move between our two countries.

Over 70,000 Australians live here in New Zealand, and nearly 1.5 million tourists a year travel from Australia to New Zealand.

I imagine many of them come here - to enjoy the sunshine, the national parks, the local art scene and the craft beer that Nelson is well-known for.

Looking the other way, almost 670,000 New Zealanders are resident in Australia.

I would guess that many of you have friends and family that are living on the other side of the ditch.

Business also plays a significant part in our relations, our prosperity, and jobs.  Our economies offer opportunity and our economic links provide stability.

The Closer Economic Relations (CER) Agreement is among the world’s most comprehensive FTAs and remains key to trans-Tasman economic integration.

We want to do more to strengthen our Single Economic Market, including partnering with business through groups like the Australia New Zealand Leadership Forum to identify new opportunities and strengthen our economies.

Our Prime Ministers are committed to progressing this initiative. 

Australian and New Zealand officials are now working towards a new set of policy ideas to lift economic growth and further ease the cost business.

We also of course share a longstanding alliance and a deep defence and security partnership.

This year we celebrate the 75th anniversary of the Australia-New Zealand alliance.

It is no coincidence that Australian and New Zealand Defence Ministers have agreed on more exercises and the importance of interoperability with Australia. 

This will help us work more closely together towards an integrated ANZAC force, while maintaining our sovereign decision-making.

It is also important to remember we are different countries.

Our societies, our people, and our politics, while sharing characteristics, have differences.

Part of my job as High Commissioner, and that of my New Zealand counterpart in Canberra and our teams is to interpret these differences in order to strengthen our cooperation.

What binds us is that while we may start from a different points, we often come to the same conclusion. Why? Because we understand we have common interests and realise we can achieve more together.

For example, our economies have both thrived under a rules-based international order, under institutions like the WTO and UN that have supported trade, investment and the movement of people and ideas.

We’ve benefitted over seventy years from a relatively secure strategic environment, one that has allowed us to focus on economic growth, development, innovation, and integration.

In the face of change, we both acknowledge that the peace, stability and prosperity of our neighbourhood, the Indo-Pacific, directly affects us at home and is worth preserving.

From these common interests, we work together every day on global issues.

From fuel resilience to transnational crime, and from international politics to climate change, we have no closer partner.

Importantly, this is not just a government project. For all the reasons I’ve outlined, all of us, you and me have a stake and a role to play in Australia and New Zealand’s relationship.
 

Conclusion

To conclude, in an unpredictable and uncertain global environment, Australia is focusing on building strong relationships, strengthening the resilience of our region, and working with likeminded partners to sustain and develop the international rules and norms that have benefited us all.

As a middle power, Australia employs all the tools of statecraft to achieve this goal.

We think creatively and work across government to maximise the impact of our resources.

In these endeavours, New Zealand is Australia’s most trusted partner.

This deep trust has never been more valuable than it is today.

As High Commissioner, I’m privileged to be a steward of this relationship and an advocate, including tonight with you.

Thank you. I look forward to our discussion.

 

VIEW ORIGINAL ARTICLE HERE