London Daily

Focus on the big picture.
Wednesday, Oct 21, 2026

Australia has to realize who's actually undermining it

Australia has to realize who's actually undermining it

As Joe Biden’s administration accuses China of launching an economic war against Canberra, guess who is raking in vast profits from this Washington-fuelled spat?
According to the White House’s Indo-Pacific coordinator, Kurt Campbell, China is conducting “dramatic economic warfare” against Australia.

“China's preference would have been to break Australia. To drive Australia to its knees,” Campbell said in a speech in Sydney on Wednesday.

This take from the Biden administration is totally ahistorical and obfuscates the actual causes of the breakdown between China and Australia. It also omits the fact that the US is itself cashing in on the breakdown between the two, showing once again that Washington is a very unreliable partner.

For starters, there is no Chinese aggression against Australia. Australian media and various officials have tried to paint the current situation as one where Australia is valiantly defending its sovereignty against perceived Chinese aggression, using all the familiar Yellow Peril tactics we’re familiar with, when this is simply not true.

The reality is that China has always wanted closer ties with Australia. In 2014, for example, President Xi Jinping visited Australia and agreed to sign the China-Australia Free Trade Agreement (ChAFTA), which ensured increased exports to China and more Australian jobs.

Whether it be raw material exports or middle-income consumer goods like lobsters and wine, trade relations with China have greatly benefited the Australian economy, with China now sitting as the country’s top trading partner.

However, things changed because of decisions by the Australian government, such as its politically-motivated decision to bar Huawei from building its 5G network or the Morrison government’s apparent endorsement of the “lab leak” Covid-19 conspiracy theory.

In response to these actions, the Chinese government came to the conclusion, as Foreign Ministry Spokesman Zhao Lijian said, that no country will be allowed “to reap benefits from doing business with China while groundlessly accusing and smearing China and undermining China’s core interests.”

It hasn’t been just the Chinese government’s retaliatory trade policies that have impacted Australia’s economy, but also regular Chinese consumers and business people that lost interest in the country thanks to the Australian government’s harmful actions.

This was not an escalation that China wanted or sought; it was initiated by Australia, and now Canberra has to deal with the consequences of its own actions.

But it also needs to be said that Canberra wasn’t acting alone but was obviously carrying water for Washington in its escalating New Cold War against China. The irony of this decision-making from Canberra is that it’s objectively against its own interests to do so. Another level to this irony is that the United States is actively benefiting from and economically exploiting the breakdown between Canberra and Beijing.

According to data from the US Energy Information Administration, the US exported 5.4 million tons of coal to China in the first half of 2021, compared to 531,000 tons for the same period a year ago – an absurdly high 920% year-on-year increase. In the same period in 2019, the US exported just over 771,000 tons to China.

This has helped Beijing fill the gap left after it imposed its retaliatory ban on importing Australian coal last year. Canberra shipped 35m tonnes of thermal coal to China in 2020, and around 50m tonnes in 2018 and 2019,. After November 2020, its coal exports dropped to zero, according to industry experts.

So while there has been an effective ban on Australian coal going to China, the US was certainly more than willing to fill this vacuum – even as it treats China like its sworn enemy.

The question is, why does Australia ignore this? If Australian officials are willing to put their country on a chopping block, economically speaking, for Washington’s interests, why does that relationship not go both ways?

Easy. Because the relationship between Australia and America is not an equal one. It is not a relationship of mutual respect; it is a relationship of subservience and domination. That is the exact kind of relationship that the Australian media and the Morrison government claim exists between their country and China ​​– but is actually, verifiably, the case between Australia and America.

Time and time again, Washington pressures allies like Australia into taking hardline stances that inevitably backfire, hurting their national interests and security. Enough is enough. Australia has to come to its senses and realize that allowing Washington to dictate its foreign policy only makes it less safe and prosperous.
Newsletter

Related Articles

0:00
0:00
Close
Housebuilding Across Scotland Plummets to Eleven-Year Low Despite Government Pledges to Tackle National Housing Emergency
Greggs Announces Factory Closures Across Northern England and Scotland Affecting Seven Hundred Forty Jobs
United Kingdom and Singapore Conclude Eleventh Financial Dialogue in Singapore to Deepen Cooperation on Digital Finance and Capital Markets
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs to Gas Bills and Tap Windfall Profits to Lower Consumer Prices
British Broadcasting Corporation Announces Major Cost-Cutting Overhaul to Close Linear Broadcast Services for Television Channels BBC Three and BBC Scotland Alongside Digital Radio Station BBC Radio Four Extra
London Capital Markets Face Renewed Scrutiny After High-Profile Offerings Underperform Post-Listing
Green Party Wins Historic First Westminster Parliamentary By-Election in Gorton and Denton
Environment Secretary Emma Reynolds Unveils Sweeping Regulatory Overhaul for English Water Industry
United Kingdom Health Security Agency Confirms Thirty-Four Cases in Kent Meningitis Outbreak
Ministry of Defence Prepares Heat Pump Subsidy Cuts to Fund Urgent Military Modernization
British and European Union Officials Schedule Long-Awaited Bilateral Leaders Summit for November Twentieth
Bank of England Governor Andrew Bailey Urges Strict Fiscal Credibility to Protect British Bond Markets
United Kingdom Inflation Rises to Three Point One Percent Driven by Escalating Fuel Costs
Profit Warnings Among London-Listed Companies Reach Two-Year High Amid Global Energy Shocks
Chancellor John Healey Signals Targeted Tax Changes on Banks and London Corporate Offices Ahead of Budget
British Government Reallocates Twenty-Five Per Cent of International Climate Finance to Global Biodiversity Projects
Initial British Carbon Border Taxes Set to Undercut Parallel European Union Tariffs on Industrial Imports
Whitehall Prepares National Zero-Interest Loan Initiative to Accelerate Domestic Heat Pump and Solar Adoption
European Union Offers British Automakers Access to Hybrid Vehicle Trade Protections Subject to Strict Regulatory Alignment
British Probation Officers Threaten Widespread Industrial Action After Rejecting Five Per Cent Government Pay Offer
Microsoft Abandons Major British Artificial Intelligence Data Centre Citing Severe National Grid Power Constraints
United Kingdom Inflation Accelerates to Three Point Four Per Cent Ahead of Chancellor John Healey's Inaugural Autumn Budget
Surging Cloned Number Plates Severely Complicate Traffic Enforcement and Police Investigations
Mounting Opposition Challenges Planned Rollout of Autonomous Taxis Across London
Influential Think Tank Urges Rejoining European Union to Navigate Geopolitical Crises
Government Review Recommends Slashing Benefits to Fund Youth Employment Initiatives
Senior Minister Shabana Mahmood Seeks New Law Enforcement Pact With European Union
Airbus Executive Warns Britain Risks Losing Crucial Role in European Space Industry
Exorbitant Electricity Costs Push British Steelmakers to Worst Competitive Position in Three Years
British Food and Beverage Exports to European Union Collapse by Over a Third Since Brexit
Up to Twenty English Maternity Units Face Impending Closure Due to Safety and Staffing Crises
Government Declares Severe Drought Across Southern England Following Record Dry Spell
Corporate Profit Warnings Reach Two-Year High Amid Middle East Conflict and Rising Costs
International Monetary Fund Warns Chancellor John Healey Against Proposed Bank Tax Raid
Northern Ireland Secures Favorable Agricultural Export Agreement with European Union
Scottish Government Approves Major Offshore Floating Wind Farm Near Aberdeenshire
High Speed Two Rail Project Faces Three Billion Pound Cost Escalation on Initial Phase
National Health Service Warns of Winter Capacity Crisis Across English Hospitals
Tata Steel Confirms Two Thousand Job Cuts at Port Talbot to Fund Green Transition
Global Microchip Developer Announces Three Billion Pound Semiconductor Plant in Cambridge
United Kingdom Artificial Intelligence Safety Institute Proposes Mandatory Licensing for Generative Models
United Kingdom Commits Additional Long-Range Weapons and Air Defenses to Ukraine
British Chancellor Overhauls Infrastructure Financing to Bypass Borrowing Constraints
Bank of England Holds Benchmark Interest Rate at Four Point Five Percent
First Minister Rhun ap Iorwerth Confirms Constitutional Discussions Over Welsh Independence During Initial Bilateral Call with Prime Minister
Labour Party Instructs Local Council Groups to Sever Power-Sharing Accords with Green Party Over New Controversial Policy Positions
Institute for Fiscal Studies Warns of Thirty-Five Billion Pound Fiscal Gap Ahead of Chancellor John Healey Upcoming Autumn Budget
House of Lords Backs Landmark Legislative Amendment to Decriminalize Abortion Across England and Wales
United Kingdom Defence Secretary Wes Streeting Travels to Pentagon for High-Level Strategic Talks Amid Escalating Tensions Over Ukraine and United States Policy Shifts
Bank of England and International Monetary Fund Officials Issue Urgent Warnings Regarding Potential Artificial Intelligence Financial Market Shocks
×