London Daily

Focus on the big picture.
Saturday, Aug 15, 2026

UK and Australia launch pact against Chinese economic ‘coercion’

UK and Australia launch pact against Chinese economic ‘coercion’

Move will be seen as an attempt to counter pressure placed on companies by Beijing to toe the line.

The U.K. and Australia are teaming up to tackle economic “coercion” by a small number of countries including China.

Top ministers from both governments announced Thursday that their officials will start a new “economic security dialogue” to tackle growing challenges in the Indo-Pacific, keep global supply chains diverse and address the risk of economic “coercion” by hostile nations.

The move is part of the West’s response to pressure applied by Beijing to prominent overseas companies or sectors in a bid to prevent them from making public statements on sensitive issues or to gain their support for China’s policies.

The announcement came at the end of a two-day visit to London by Australia’s Deputy Prime Minister and Defense Minister Richard Marles and its Foreign Minister Penny Wong. The pair met their British counterparts Ben Wallace and James Cleverly — a format known as “Aukmin.”

“It is important that we recognize that, sadly, the rules-based order is under threat like never before, human rights are being threatened by a range of characters around the world and people are testing the sovereignty of nation states in a way that should worry us all,” Wallace told a press conference in Portsmouth, south England.

In a joint statement issued Thursday, the four ministers stressed their “strong opposition to any coercion or destabilizing actions in the South China Sea,” where China is increasing its military presence.

Amid heightened tensions between China and Taiwan, the U.K. and Australian ministers highlighted the importance of “peace and stability” across the Taiwan Strait, a critical waterway for global supply chains, and their shared opposition to “unilateral changes to the status quo.”

Britain and Australia are close defense partners, and members of the three-way AUKUS pact with the U.S. since September 2021 aimed at providing nuclear-powered submarines and other cutting-edge defense equipment to Australia. Canberra is expected to decide whether those subs will be built by the U.S., the U.K. or a combination of both early in the spring.

Marles told the press conference the AUKUS submarine plan was “a huge moment” in Australia’s history.

“This will change Australia’s international personality, it will dramatically build our capability, and with that, our sovereignty,” he said.

The U.K. and Australia will also carry out a comprehensive refresh of their 2013 bilateral Defense and Security Cooperation Treaty.

Two British warships are permanently stationed in the Pacific, “and there will be more of that to come,” Wallace said.


Colonial baggage


Cleverly also responded to calls by Wong for Britain to acknowledge its “uncomfortable” colonial past as it engages in a so-called “tilt” to the Indo-Pacific.

Cleverly said Britain has a duty to show its relationship with former colonies such as Australia is a “partnership of equals.”

“I think it is incumbent upon the U.K., in our dealings with Australia or any other country with which we were once a colonial power, to recognize that we need to demonstrate that this is a modern partnership, a partnership of equals — different but equal, geographically separated but emotionally and historically bound,” Cleverly said.

Wong had evoked her father’s Hakka and Cantonese Chinese background in her Tuesday address, recalling how many people including her own grandmother had worked as “domestic servants for British colonialists.” She warned the U.K. won’t be able to build strong ties with the region if remained “sheltered in narrower versions” of its history.

Cleverly insisted there was “no tension, no awkwardness” in his first face-to-face bilateral meeting with Wong, and stressed that the visit had “reinforced what is a very long-standing, very intimate bilateral relationship which is embedded in so much shared history.”

“You cannot eradicate or erase your history — so you need to be conscious of it,” Cleverly said.

Sophia Gaston, head of foreign policy and U.K. resilience at the Policy Exchange think tank, said Britain still has “much to learn” from Australia’s experience in its own neighborhood.

“The capacity to interrogate our history is a key strength of modern democracies such as ours, and should be embraced frankly and fearlessly,” she said.

“Far from engaging in a project of colonialist nostalgia, as some have interpreted the ‘tilt’, Britain’s recent engagement in the region has shown sensitivity and cultural understanding, with an emphasis on being a constructive and committed partner.”

Newsletter

Related Articles

0:00
0:00
Close
UK and Finland Discuss European Defence and Continued Support for Ukraine
Nigel Farage Wins Clacton By-Election to Return to the House of Commons
UK Government Deploys Military to Help Fight Wildfires and Bans Disposable Barbecues
UK Records Hottest Day of the Year as Fifth Summer Heatwave Peaks in Southern England
UK Condemns Houthi Actions and Warns of Red Sea Threat to Global Trade
UK and Solomon Islands Open Wildlife Photography Exhibition in Honiara
UK Small Businesses Face Continued Cash Flow and Tax Pressures
Greatham Marsh Restoration Restores Tidal Wetland in Hartlepool After More Than 200 Years
UK Health Regulator Urges University Students to Check Meningitis and Measles Vaccination Status
Mining Remediation Authority Completes Major Ground Stabilization Works in Scottish Community
UK Food Crime Investigators Seize 33 Tonnes of Illegal Food in Multi-Agency Operation
Technical Qualification Uptake Hits Record High as Advanced Mathematics Results Improve
UK Summer Temperatures on Course to Challenge Long-Standing Records, Met Office Says
UK Farmers Bring Forward Cereal Harvests as Drought Threatens Yields
Wildfires Surge Across England and Wales as Fire Chiefs Report Record July
UK Nurses Warn of Heat Risks as Hospital Staff Struggle With Extreme Temperatures
Southern Water Seeks Drought Order for Hampshire and Isle of Wight Amid Water Shortages
UK Heatwave Pushes West London Temperature to 38.1 Degrees as Health Alerts Continue
UK Economy Grows 0.4% in Second Quarter Despite Global Uncertainty
China’s Kimi Launches AI-Focused Credit Card With Agricultural Bank of China and American Express
UK Residents Gather to Watch Rare Partial Solar Eclipse
Reform UK Deputy Leader Richard Tice Faces Criticism Over Legal Threat Against Guardian Journalist
Michael Forsyth Elected Speaker of the House of Lords
Cambridge Researchers Launch £20 Million Human Organoid Drug Testing Programme
Heathrow Loses European Passenger Traffic Lead to Istanbul Airport
Households Near New UK Electricity Pylons to Receive £250 Annual Energy Bill Discount
UK Government Estimates Zero-Hours Contract Ban Could Cost Employers Up to £3 Billion a Year
Robert Jenrick Leaves Conservatives for Reform UK in Major Parliamentary Defection
UK Police Chiefs Urge Government to Block Early Release of Andrew Harper Killers
UK Government Holds Emergency Cobra Meeting as Drought and Heatwave Raise Wildfire Risks
Former Labour Adviser Arrested on Suspicion of Spying for China Held Privileged Access as Top Party Donor
Turkish Parliament Passes Landmark Bill Granting Conditional Amnesty to Disarmed PKK Members
Donald Trump Warns FIFA Against Ousting Gianni Infantino Amid Revolt by Global Football Leaders
Jeff Bezos Joins Investor Group Closing In on $6 Billion Liverpool FC Stake
Police Conduct Cross-Border Raids Against Northern England Drug Network
Nicola Sturgeon Protested at Edinburgh Festival Fringe Event
Major UK Retail Chain Enters Administration With One Hundred Fifty-Four Stores Set to Close
Heathrow Renews Call for Runway Expansion After Losing Europe’s Busiest Airport Ranking
Government Condemns One Million Pound Thames Water Executive Bonus Amid Drought
NHS England Says More Than One Hundred Thousand Hepatitis C Patients Have Been Cured
UK Foreign Secretary Ed Miliband Calls for End to West Bank Settler Violence
UK Prepares for Deepest Partial Solar Eclipse Since Nineteen Ninety-Nine
UK Heatwave Triggers Amber Health Alerts as Economic Losses Reach Four Point Four Billion Pounds
UK Offers Electricity Bill Discounts to Communities Hosting New Power Infrastructure
Bank of England Expected to Hold Interest Rates at Three Point Seven Five Percent
UK Government Moves to Ban Subscription Traps and Misleading Retail Discounts
Andy Burnham Gives Councils New Powers to Block Betting and Vape Shops
UK Councils to Receive Sweeping Planning Powers to Ban New Vape and Betting Shops
Nicola Sturgeon Says She Has No Contact With Estranged Husband After SNP Embezzlement Case
Police Arrest Two Men After Aberdeenshire Defense Technology Office Break-In
×