PRIME MINISTER
AUSTRALIAN INSTITUTE OF INTERNATIONAL AFFAIRS -26 AUGUST 1983
OPENING. OF 50TH ANNIVERSARY CONFERENCE
" AN AUSTRALIAN VIEW OF THE WORLD"
IT WAS WITH GREAT PLEASURE THAT I ACCEPTED THE
AUSTRALIAN INSTITUTE OF INTERNATIONAL AFFAIRS'I INVITATION TO
ADDRESS ITS 50TH ANNIVERSARY JUBILEE CONFERENCE,
AS AN INDEPENDENT, NON-POLITICAL ORGANIZATION
DEDICATED TO PrROMOTING INTEREST IN INTERNATIONAL AFFAIRS, THE
INSTITUTE HAS OVER THE YEARS MADE A SIGNIFICANT CONTRIBUTION TO
AUSTRALIAN PUBLIC AWARENESS AND UNDERSTANDING OF THE WORLD
AROUND US. THIS IS IMPORTANT.
FOREIGN POLICY SHOULD NOT BE THE EXCLUSIVE PRESERVE
OF POLITICIANS AND BUREAUCRATS.
A SUCCESSFUL FOREIGN POLICY MUST BE GROUNDED IN
WELL-INFORMED PUBLIC APPRECIATION OF THE ISSUES AND THEIR
IMPLICATIONS. A GOVERNMENT'S FOREIGN POLICY WILL ULTIMATELY STAND
OR FALL ON THE EXTENT TO WHICH IT COMMA1NDS THE PUBLIC SUPPORT
* AND UNDERSTANDING OF ITS DOMESTIC CONSTITUENCY. / 2
WHERE SUCH SUPPORT IS NOT FORTHCOMING EVEN
VIGOROUSLY PURSUED POLICIES WILL COLLAPSE, UNITED STATES
POLICY TOWARDS VIETNAM IN THE 1960' WAS A CASE IN POINT.
THE INSTITUTE, PROVIDING AS IT DOES A FORUM AND A
WIDE RANGE OF OPPORTUNITIES FOR THE DISSEMINATION OF
INFORMATION AND THE FREE EXPRESSION OF VIEWS, IS PERFORMING
AN INVALUABLE SERVICE.
I HAVE BEEN INVITED TODAY TO OFFER AN AUSTRALIAN
VIEW OF THE WORLD, AN AUSTRALIAN VIEW MUST INEVITABLY BE'
SHAPED BY THE FACT THAT WE ARE A COUNTRY OF WESTERN TRADITIONS
AND ALLIANCES PHYSICALLY LOCATED IN THE ASIA/ PACIFIC REGION,
THE REGION HAS COME TO OCCUPY A CRUCIAL PLACE IN
OUR PERCEPTIONS, ITS DYNAMISM HAS PRESENTED MAJOR ECONOMIC AND
TRADING OPPORTUNITIES THAT HAVE UNDERPINNED AN HISTORICALLY
MOMENTOUS REDIRECTION OF AUSTRALIAN TRADING INTERESTS, ITS
CULTURAL VIGOUR AND THE INCREASINGLY ACTIVE POLITICAL DIALOGUE
WE SHARE WITH COUNTRIES OF THE REGION HAVE STIMULATED CLOSE
INVOLVEMENT BY MANY AUSTRALIANS WITH THE AREA, THIS HAS ALL BEEN
ACCOMPANIED BY CLOSE AND CONTINUING ATTENTION BY MY GOVERNMENT
TO THE PREOCCUPATIONS AND CONCERNS OF THE REGION,
THE CAMBODIAN ISSUE A MAJOR THREAT TO REGIONAL
P. EACE AND STABILITY STANDS OUT. IT HAS SEEN MY GOVERNMENT
SACTIVELY EXPLORING WITH ALL THE PARTIES PRINCIPAL THE SCOPE
FOR PROGRESS. WE HAVE DONE THIS AGAINST THE BACKGROUND OF AN
ESPECIALLY CLOSE RELATIONSHIP WITH ASEAN COUNTRIES DEVELOPED
OVER MANY YEARS. WE HAVE ALSO SOUGHT TO ENCOURAGE RESUMPTION
BY VIETNAM OF ITS RIGHTFUL PLACE IN THE COMMUNITY OF NATIONS.
AT THE SAME. TIME A VIGOROUS AND MOST FRUITFUL DIALOGUE HAS
BEEN ESTABLISHED WITH CHINA AND THE GROUND HAS BEEN LAID FOR
A REVITALIZATION AND EXTENSION OF THE ABSOLUTELY VITAL
RELATIONSHIP WE ENJOY WITH JAPAN.
THIS REGIONAL FOCUS DOES NOTHING TO GAINSAY THE
FUNDAMENTAL IMPORTANCE AUSTRALIA ATTACHES TO ITS RELATIONS
WITH THE UNITED STATES AND THE WESTERN ALLIANCE MORE GENERALLY.
WE ARE AN ALIGNED NATION AND REGARD THIS FACT AS BEING BASIC
TO OUR INTERNATIONAL APPROACH.
SINCE PRIME MINISTER JOHN CURTIN MOVED TO FORGE CLOSER
LINKS WITH THE UNITED STATES WE HAVE SEEN THE RELATIONSHIP GROW
INTO A MULTIFACETED, MATURE AND MUTUALLY BENEFICIAL PARTNERSHIP.
THAT RELATIONSHIP IS NOW IN BETTER SHAPE THAN AT ANY OTHER TIME
IN THE POST-WAR PERIOD. IT HAS BEEN STRENGTHENED BY A WILLINGNESS
ON BOTH SIDES TO FACE UP TO ISSUES AND TO LOOK AGAIN AT THOSE
ASPECTS OF THE RELATIONSHIP PREVIOUSLY TAKEN FOR GRANTED. THE
UNDERSTANDINGS OF OUR TWO GOVERNMENTS, AND THAT OF NEW ZEALAND,
IN REGARD TO ANZUS IS A CASE IN POINT, OUR RELATIONSHIP WITH THE
UNITED STATES IS VITAL TO US; ITS VIGOUR MUST BE SUSTAINED. S,
AUSTRALIA DOES NOT SEEK AN EXAGGERATED ROLE FOR
ITSELF IN EFFORTS TO ADDRESS THE MAJOR ISSUES BEDEVILLING
WORLD ORDER. WE HAVE A REALISTIC APPRECIATION OF THE LIMITS
TO OUR OWN INFLUENCE. BUT AS A COUNTRY INTIMATELY INVOLVED
WITH. THE ASIA/ PACIFIC REGION, ENJOYING CLOSE RELATIONS WITH THE
INDUSTRIALIZED COUNTRIES ESPECIALLY JAPAN AND THE UNITED STATES
AND BEING A RECOGNISED PARTICIPANT IN MULTILATERAL INSTITUTIONS,
WE CAN EXPECT ATTENTION TO OUR VIEWS.
THE CRITICALLY IMPORTANT TASK MY GOVERNMENT HAS SET
ITSELF IS TO ESTABLISH A NATIONALLY CO-ORDINATED RELATIONSHIP
BETWEEN OUR POLITICAL, DEFENCE, SECURITY AND TRADING OBJECTIVES
WHILE APPRECIATING THAT AUSTRALIA'S DESTINY IS IRRETRIEVABLY
ASSOCIATED WITH OUR REGION, THE FASTEST GROWING AREA OF THE WORLD
ECONOMY. WE CANNOT DETERMINE THE PACE OR PATTERN OF ITS
DEVELOPMENT. BUT WE ARE AIMING TO FASHION A RANGE OF RELEVANT
POLICIES IN A WAY BEST CALCULATED TO ACHIEVE A FRUITFUL AND
CONSTRUCTIVE RELATIONSHIP WITH THE COUNTRIES OF THIS REGION,
COPING WITH THE IMPLICATIONS OF THE INTERNATIONAL
RECESSION AND CREATING THE CONDITIONS FOR PEACE AND STABILITY
MUST RATE HIGH ON ANY INTERNATIONAL AGENDA. AUSTRALIA IS DOING
WHAT IT CAN TO CONTRIBUTE TO INTERNATIONAL ECONOMIC RECOVERY
THROUGH ITS OWN SOUNDLY BASED DOMESTIC POLICIES AND TO PROMOTE,
TO THE EXTENT POSSIBLE, PROGRESS IN THE CRITICAL AREA OF ARMS
CONTROL AND DISARMAMENT,
THE THREAT OF NUCLEAR WAR MERITS PARTICULAR
ATTENTION, THIS IS ESPECIALLY THE-CASE BECAUSE RELATIONS
BETWEEN THE SUPERPOWERS HAVE DETERIORATED TO A POINT WHICH
MUST CONCERN ALL OF US.
LOCALIZED CONFLICTS AND VIOLENCE ALSO CONTINUE
UNABATED, NO REGION IS IMMUNE. THE MIDDLE EAST, CENTRAL
AMERICA, SOUTHEAST ASIA, AFRICA ARE ALL WITNESS TO CONFLICTS
WHICH NOT ONLY ARE EXTRAORDINARILY COSTLY IN TERMS OF LIVES
LOST BUT ALSO FREQUENTLY CARRY THE RISK OF A BROADER
CONFLAGRATION. IT IS ESPECIALLY TRAGIC THAT IN MANY INSTANCES
THESE CONFLICTS ARE TOTALLY FUTILE AND COULD OR SHOULD HAVE
BEEN AVOIDED. SOME OF THESE SITUATIONS REVEAL A FAILURE OF
MULTILATERAL INSTITUTIONS TO ADDRESS EFFECTIVELY THE
UNDERLYING PRESSURES AT WORK.
INDEED IT IS NECESSARY THAT EFFECTIVE STEPS BE
TAKEN TO RESTORE THE CREDIBILITY AND EFFICIENCY OF THOSE
INSTITUTIONS. AUSTRALIA'S CANDIDATURE FOR THE UNITED NATION'S
SECURITY COUNCIL IS A MEASURE OF OUR CONCERN. THE UNITED
NATIONS CAN SUPPLY A MACHINERY WHEREBY COUNTRIES CAN PURSUE s #/ 6
THEIR NATIONAL INTERESTS, OR OPPOSE THE PURSUIT OF THE
INTERESTS OF OTHERS, BY MEANS SHORT OF THE USE OF FORCE,
ITS POTENTIAL SHOULD BE RECOGNISED AND EXPLOITED,
IN THIS WAY, IDEALLY, PRESSURE POINTS IN
INTERNATIONAL RELATIONS CAN BE CONTAINED,
PROGRESS, HOWEVER, IS NOT LIKELY TO BE RAPID,
ACCOMMODATION OF CONFLICTING INTERESTS REQUIRES A
SUBTLE AND REALISTIC APPRECIATION OF THE LIMITS TO PROGRESS,
THIS IS ESPECIALLY THE CASE WHEN THE INTERESTS OF THE
SUPER-POWERS ARE ENGAGED,
BUT COUNTRIES SUCH AS AUSTRALIA ALSO HAVE A
RESPONSIBILITY MY GOVERNMENT WILL NOT SHIRK THIS RESPONSIBILITY,
WE NATURALLY WILL WORK TO PROTECT AND ADVANCE
AUSTRALIAN INTERESTS,
AT THE SAME TIME WE SHALL, WITHIN THE RECOGNIZED
CONSTRAINTS ON OUR OWN CAPABILITY AND INFLUENCE, BRING A
DETERMINED APPROACH TO ESTABLISHING THE CONDITIONS FOR
PEACE, OURS IS A SENSITIVE APPROACH RECOGNISING AT ONCE THE
COMPLEXITY OF THE REAL WORLD BEYOND, AT THE SAME TIME AS
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WORKING FOR CONSTRUCTIVE CHANGE. WE SHALL BE DOING WHAT WE
CAN TO PROMOTE IMPROVEMENT IN THE CONDITION OF THOSE PEOPLE
LESS FORTUNATELY PLACED THAN OURSELVES.
THIS IS MORE THAN A RHETORICAL COMMITMENT. THE
PROBLEM OF DEVELOPMENT HAS A HUMAN FACE NONE OF US CAN
IGNORE. THOSE AFFLICTED WITH THE SCOURGE OF POVERTY, HUNGER
AND DISEASE MUST NOT BE NEGLECTED, WE SHALL CERTAINLY BE
SUPPORTIVE. BUT IN PART THE SOLUTION LIES, AS MANY OF THE
COUNTRIES OF OUR OWN REGION HAVE DEMONSTRATED, IN AN
APPROPRIATE MIX OF DOMESTIC POLICIES BY THE GOVERNMENTS
CONCERNED. IN PRACTICE THIS WILL OFTEN MEAN COPING EFFECTIVELY
WITH CHANGE. WITHIN THE ASIA/ PACIFIC REGION THE PROCESS OF
CHANGE IS OF QUITE STRIKING PROPORTIONS. RAPIDLY INCREASING
PRODUCTIVITY, GROWING TECHNOLOGICAL CAPABILITY, AND
BURGEONING NATIONALISM CHARACTERISE THE REGION AND PRESENT
AUSTRALIA WITH UNPRECEDENTED CHALLENGES, RISKS AND
OPPORTUNITIES. AUSTRALIANS MUST ACCEPT THE INEVITABILITY OF THEIR
OWN INVOLVEMENT WITH THE CHANGES TAKING PLACE WITHIN THE
ASIA/ PACIFIC REGION. HOW SUCCESSFULLY THEY POSITION
THEMSELVES WILL DEPEND NOT ONLY ON HOW ACCURATELY THEY
APPRECIATE THE DYNAMISM OF THE AREA, BUT ALSO ON THE EXTENT
TO WHICH THEY RECOGNISE THE PARTICULARITIES OF EACH COUNTRY
OF THE REGION AND ADAPT THEIR APPROACH ACCORDINGLY,
IMPORTANTLY THIS RECOGNITION SHOULD INCLUDE APPRECIATION OF
THE IMPORTANT DIFFERENCES IN ATTITUDE AND EXPECTATION
BETWEEN AUSTRALIA AND COUNTRIES OF THE REGION. THE CULTURAL
TRADITIONS AND ECONOMIC INTERESTS AT WORK ARE
EXTRAORDINARILY DIVERSE AND MUST BE FULLY TAKEN INTO ACCOUNT.
IN SHORT AUSTRALIA CANNOT AFFORD TO REMAIN COCOONED-FROM
EVENTS AROUND US.
MOST OF THE GREAT ISSUES OF GLOBAL INTEREST
WHETHER THEY BE ECONOMIC GROWTH AND DEVELOPMENT, THE
RECESSION, THE GAP BETWEEN RICH AND POOR, OR. THREATS TO
PEACE, FIND A REFLECTION IN THIS AREA, I SHOULD LIKE TO PAY
PARTICULAR ATTENTION TO THIS REGIONAL ASPECT AS ITS
IMPLICATIONS ARE OFTEN ONLY VAGUELY APPRECIATED.
THOSE IMPLICATIONS ARE OFTEN COMPELLINGLY DIRECT
NOT ONLY FOR OTHERS IN OUR AREA, BUT EVEN FOR AUSTRALIA
ITSELF. ADVERSE DEVELOPMENTS IN THE INTERNATIONAL ECONOMIC
ENVIRONMENT HAVE CONTRIBUTED IN PART TO THE ACUTE ECONOMIC
DIFFICULTIES WE ARE NOW TRYING TO OVERCOME IN AUSTRALIA,
WE ARE CONFIDENT THAT THE COMBINATION OF OUR OWN
EXPANSIONARY FISCAL POLICIES, OUR EFFORTS TO LOWER
UNEMPLOYMENT AND CURB INFLATIONARY PRESSURES AND THE
REDISCOVERY THAT AUSTRALIANS ARE PREPARED TO WORK TOGETHER
FOR COMMON PURPOSES HAS LAID THE BASIS FOR AUSTRALIAN
ECONOMIC RECOVERY. MY GOVERNMENT AIMS TO WIDEN, STRENGTHEN AND SUSTAIN
THAT RECOVERY. FOR OUR NEAR NEIGHBOURS THE DAMAGE WROUGHT BY THE
RECESSION HAS BEEN PARTICULARLY GREAT,
BOTH PAPUA NEW GUINEA AND INDONESIA WHICH HAVE
HAD GENERALLY GOOD RECORDS OF ECONOMIC STABILITY OVER THE
PAST DECADE HAVE BEEN FORCED INTO MASSIVE DOMESTIC
ADJUSTMENT PROGRAMS BY THE CONTRACTION IN WORLD TRADE AND
LOW COMMODITY PRICES OF THE PAST FEW YEARS.
A STRONG EXPANSION IN WORLD TRADE AS PART OF THE
PROCESS OF INTERNATIONAL ECONOMIC RECOVERY IS CRUCIAL TO
THEIR FUTURE PROSPECTS.
THE ISLAND STATES OF THE PACIFIC HAVE ALSO BEEN
BADLY HURT BY THE RECESSION. AUSTRALIA IS PLAYING ITS FULL
PART AS A SOURCE OF THE FINANCIAL AID THAT IS NECESSARY FOR
THE DEVELOPMENT AND POLITICAL STABILITY OF THOSE NATIONS.
THE COMPLEXITY AND INTIMACY OF AUSTRALIA'S
INVOLVEMENT WITH THOSE COUNTRIES WILL FIND A CLEAR
REFLECTION IN THE WORK OF THE FORTHCOMING SOUTH PACIFIC FORUM.
MORE FUNDAMENTALLY THE RECESSION HAS HIGHLIGHTED
HOW CRITICAL HAVE BECOME THE LINKAGES BETWEEN TRADE,, DEBT,
INTEREST RATES AND THE STABILITY OF THE WORLD FINANCIAL
SYSTEM. SUCH LINKAGES MUST BE RECOGNISED AND ADDRESSED. IT
IS NO LONGER APPROPRIATE TO DEAL WITH SUCH ISSUES IN A
PIECEMEAL FASHION. a THE ItADHOCERY I OF THE PAST HAS BEEN
SHOWN TO BE ENTIRELY INADEQUATE AND INAPPROPRIATE. IN ITS
PLACE A MORE CERTAIN ECONOMIC ENVIRONMENT MUST-BE BUILT.
THE MACRO-ECONOMIC POLICIES OF THE MAJOR INDUSTRIAL
COUNTRIES ARE CRUCIAL IF MOMENTUM IS TO BE ESTABLISHED FOR
GLOBAL RECOVERY, BETTER EXPORT PROSPECTSi LESS PROTECTION
AND MORE CAPACITY TO SERVICE DEBT. CAREFULLY CO-ORDINATED,
WELL-CONSIDERED STRATEGIES MUST BE PUT IN PLACE.
THE COMPARATIVE ECONOMIC PERFORMANCE OF SEVERAL OF
THE COUNTRIES IN THE REGION HAS BEEN IMPRESSIVE. THE MANNER
IN WHICH THEY HAVE ADJUSTED TO THE REQUIREMENTS OF
MAINTAINING A COMPETITIVE EDGE IN A TIGHT AND UNFORGIVING
MARKET PLACE HAS LESSONS FOR US ALL. WHILE MISTAKES HAVE
BEEN MADE, THE SPEED WITH WHICH MANY OF OUR NEIGHBOURS HAVE
ALTERED INDUSTRIAL STRUCTURES IN LINE WITH CHANGING
COMPARATIVE ADVANTAGE HAS BEEN STRIKING. MORE* ADVANCED
INDUSTRIAL DEVELOPMENT, GROUNDED IN AN INCREASINGLY
SOPHISTICATED TECHNOLOGICAL BASE, IS APPARENT IN THE DYNAMIC ./ 11
GROWTH PATTERNS OF VERY MANY COUNTRIES OF THIS AREA. THE
ADAPTATION OF EDUCATION PROGRAMS TO THE REQUIREMENTS OF
DEVELOPMENT HAS BEEN ESPECIALLY IMPRESSIVE,
AUSTRALIANS MUST RECOGNISE WHAT IS HAPPENING AND
ACCEPT THAT WE EITHER KEEP UP OR LOSE OUT. KEEPING UP WILL
INVOLVE, INTER ALIA, ACCEPTANCE OF PLANNED STRUCTURAL CHANGE
AT HOME. THIS IS FEASIBLE IN A DEMOCRATIC ANDi STILL,
SUBSTANTIALLY EGALITARIAN SOCIETY LIKE AUSTRALIA ONLY IF
THE COMMUNITY IS CONFIDENT THAT THE FRUITS OF ECONOMIC
GROWTH, AND THE BURDENS OF ADJUSTMENT, ARE BEING SHARED
EQUITABLY. FOR AUSTRALIA THERE IS ALSO THE SOBERING
REALIZATION THAT OUR OWN F. UTURE IS NOW MORE DEPENDENT ON OUR
NEIGHBOURING DEVELOPING COUNTRIES THAN THEIRS WILL BE ON US.
THIS SHOULD NOT FRIGHTEN US; BUT IT SHOULD GIVE US CAUSE TO
THINK. COMPLACENCY CERTAINLY SHOULD HAVE NO PLACE. RAPID
GROWTH WITHIN THE REGION WILL PRESENT CONSIDERABLE
OPPORTUNITIES FOR AUSTRALIAN EXPORTERS. THE RAPID RISE IN
ASIAN LIVING STANDARDS SHOULD SEE SHARP GROWTH IN POTENTIAL
DEMAND FOR MANY AUSTRALIAN PRIMARY PRODUCTS. AUSTRALIA'S
LEVEL OF TECHNOLOGY IS IDEALLY SUITED TO CONTEMPORARY ASIAN
NEEDS. OPPORTUNITIES FOR THE PROVISION OF AUSTRALIAN
SERVICES AND SKILLS ARE CONSIDERABLE. WE MUST HOWEVER BE
PREPARED TO WORK AND WORK HARD TO MAINTAIN A COMPETITIVE
EDGE. WE MUST TAKE SERIOUSLY THE TASK OF EXPLORING THE / 12
POSSIBILITIES OF CLOSER ECONOMIC PARTNERSHIP WITH THE
REGION. A SIMPLE STARTING POINT MIGHT BE TO ASK OURSELVES
WHETHER WE ARE MARSHALLING OUR RESOURCES BOTH HUMAN AND
MATERIAL EFFECTIVELY ENOUGH TO ENSURE WE ARE NOT LEFT
BEHI ND? THIS POINT CAN BE MADE NOT ONLY IN RESPECT OF OUR
ECONOMIC AND TRADING RELATIONS WITH SEVERAL OF THE
DEVELOPING COUNTRIES OF THE REGION BUT ALSO WITH REGARD TO
OUR BIGGEST AND MOST IMPORTANT TRADING PARTNER JAPAN.
THE FUNDAMENTAL IMPORTANCE OF THE-ECONOMIC
RELATIONSHIP BETWEEN AUSTRALIA AND JAPAN HAS BEEN RECOGNISED
BY BOTH SIDES FOR MANY YEARS. CONSTANT REITERATION OF THIS
RECOGNITION HAS, HOWEVER, TENDED TO OBSCURE FOR ALL BUT THE
MOST ASTUTE OBSERVERS THE FACT THAT SUBSTANTIAL STRUCTURAL
CHANGES HAVE BEEN AT WORK, A VIRTUAL TRANSFORMATION OF THE
ECONOMIC BASIS OF THE RELATIONSHIP HAS OCCURRED, FEW HAVE
RECOGNISED IT, EVEN FEWER HAVE PLANNED FOR IT. A
REVITALIZATION IS NOW NEEDED,
THE BALANCE: OF TRADE SURPLUS WHICH WORKED IN OUR
FAVOUR FOR SOME DECADES HAS BEEN SLASHED IN HALF IN THE LAST
HALF DECADE. JAPAN'S RAPID ECONOMIC GROWTH, THOUGH STILL
HIGH BY INDUSTRALIZED COUNTRY STANDARDS, HAS DECLINED.
JAPAN HAS HAD TO REASSESS ITS ENERGY AND INDUSTRY POLICIES
AND PUT IN PLACE MAJOR PROGRAMS OF STRUCTURAL ADJUSTMENT IN
THE FACE OF A LOSS OF COMPETITIVENESS OF ENERGY-INTENSIVE
INDUSTRIES. WITH THISj THE GROWTH IN THE MARKET FOR RAW
MATERIALS IN JAPAN THE MAINSTAY OF THE RECENT
AUSTRALIAN/ JAPAN TRADE HAS SLOWED AND CAN ONLY BE EXPECTED
TO GROW AT MORE MODERATE RATES DURING THE REMAINDER OF THE
EIGHTIES. FROM 1970 TO 1981 AUSTRALIA'S EXPORTS AS A
PERCENTAGE OF TOTAL JAPANESE IMPORTS FELL FROM 8 PER CENT TO
MARGINALLY OVER 5 PER CENT. THIS DROP IN AUSTRALIA'S SHARE
OF THE JAPANESE IMPORT MARKET REFLECTS THE MAGNITUDE OF THE
CHANGES THAT HAVE TAKEN PLACE AND THE SCALE OF ADJUSTMENT
NOW REQUIRED ON BOTH SIDES. AUSTRALIA'S EXPORTS TO JAPAN OF
ENERGY FUELS AND INDUSTRIAL RAW MATERIALS WILL REMAIN
IMPORTANT TO JAPAN AND LARGE IN ABSOLUTE TERMS. BUT THE
PROSPECTS FOR FUTURE GROWTH ARE LESS THAN WAS THE CASE IN
THE PAST, AND WILL DEPEND IMPORTANTLY ON A SUSTAINED
RECOVERY IN THE INTERNATIONAL ECONOMY.
A MATTER OF RECENT AND PARTICULAR CONCERN TO
AUSTRALIA HAS BEEN THE PRESSURE APPLIED BY SOME OF JAPAN'S
MAJOR TRADING PARTNERS TO HAVE HER SWITCH HER BUYING PATTERN
AT THE EXPENSE OF COUNTRIES SUCH AS AUSTRALIA, ATTEMPTS BY
THE MAJORS TO NEGOTIATE SPECIAL DEALS WITH JAPAN THAT
DISADVANTAGE US AS AN EFFICIENT, LOW-COST SUPPLIER SHOULD NOT
BE ALLOWED TO CAUSE NEW PROBLEMS. THERE MUST BE NO CORROSION OF
OUR COLLECTIVE INTERESTS AND RESPONSIBILITIES. ,/ 14
SHOULD JAPAN SUCCUMB TO SUCH PRESSURE THE
IMPLICATIONS FOR AUSTRALIA'S BEEF, STEELMAKING, RAW MATERIAL
AND ENERGY EXPORTS WOULD BE EXTREMELY SERIOUS. ASSURANCES
BOTH MR BOWEN AND MR HAYDEN RECEIVED IN TOKYO THAT JAPAN
WOULD TAKE ACCOUNT OF AUSTRALIA'S INTERESTS AND CONCERNS
WERE WELCOME, AS ALSO WAS THE ASSURANCE THAT AUSTRALIA'S
TRADING INTERESTS WOULD NOT BE IMPAIRED AS A RESULT OF
PRESSURES ON JAPAN FROM THE THE E. C. AND OTHER
COUNTRIES. MY GOVERNMENT ATTACHES IMPORTANCE TO THESE
ASSURANCES AND WILL BE WORKING TO SEE THAT THEY ARE PUT INTO
EFFECT. WHAT IS NEEDED NOW TO DEVELOP THE AUSTRALIAN
TRADING RELATIONSHIP WITH JAPAN IS HARD WORK,
RESOURCEFULNESS AND IMAGINATION. WE CAN BUILD ON THE HABITS
OF CO-OPERATION BUILT UP WITH-JAPAN OVER MANY YEARS, BUT
EXPECTATIONS MUST BE MORE REALISTI. C AND MOTIVATED BY THE
LONGER-TERM VIEW. WE MUST BROADEN OUR TRADE INTERESTS IN
JAPAN BY ACTIVELY SEEKING OUT TRADE OPPORTUNITIES IN THOSE
SECTORS OF THE JAPANESE ECONOMY WHICH ARE GROWING FAST,
THE RECENT AGREEMENT ACHIEVED BY MR BOWEN WITH
JAPANESE MINISTERS TO ESTABLISH A DIALOGUE BETWEEN AUSTRALIA
AND JAPAN TO EXAMINE CONCRETE WAYS OF ASSISTING AUSTRALIAN
MANUFACTURERS AND OTHER EXPORTERS TO IDENTIFY MARKET
OPPORTUNITIES AND TO PENETRATE THE JAPANESE MARKET IS A
USEFUL AND VALUABLE DEVELOPMENT. THIS NOW NEEDS TO BE BACKED
UP BY A HARD-NOSED, SELF-RELIANT APPROACH THAT COMBINES $ 14/ 15
MAXIMUM BACKING FROM THE INSTITUTIONAL SUPPORTS THAT ARE
AVAILABLE WITH A MEASURE OF COMPETENCE AND
PERSISTENCE NOT ALWAYS APPARENT PREVIOUSLY. THE COMPLACENCY
OF THE PAST, ENGENDERED AS IT MAY HAVE BEEN BY THE EXTENT
AND DEPTH OF THE JAPANESE RELATIONSHIP, MUST NOW GIVE WAY TO
A CONSTRUCTIVE EXPLORATION OF WAYS OF CARRYING THE
RELATIONSHIP FORWARD.
THE BASIS OF AUSTRALIA'S RELATIONSHIP WITH JAPAN
IS, AS FOREIGN MINISTER ABE RECENTLY PUT IT TO MR HAYDEN,
" FIRM AND UNSHAKEABLE', TOGETHER WE SHARE A BASIC
COMMITMENT TO THE STRATEGIC INTERESTS OF THE INDUSTRIAL
DEMOCRACIES. BOTH OUR COUNTRIES VALUE THE STABILITY OF THE
ASIA/ PACIFIC REGION AS A WHOLE AND MY GOVERNMENT HAS
WELCOMED JAPAN'S WILLINGNESS TO PLAY AN INCREASINGLY ACTIVE
ROLE IN THE POLITICAL AND ECONOMIC AFFAIRS OF THE REGION.
ITS EFFECTIVE CONTRIBUTION TO WESTERN STRATEGIC INTERESTS
WITHIN THE FRAMEWORK OF THE JAPAN UNITED STATES TREATY OF
MUTUAL SECURITY AND CO-OPERATION HAS BEEN APPRECIATED.
THE MATTER OF JAPAN'S BASIC DEFENCE POSTURE, AND
PRESSURES ON HER FOR A DRAMATIC ACCELERATION OF HER DEFENCE
SPENDING ARE RELEVANT IN THIS REGARD. IN THE FINAL ANALYSIS
WHAT JAPAN DOES IS A MATTER FOR HER TO DECIDE TAKING FULL
ACCOUNT OF ITS OWN DOMESTIC CONSTRAINTS AND REGIONAL
SENSIVITIES. I AM CONFIDENT THE JAPANESE LEADERSHIP
RECOGNISES AND UNDERSTANDS THIS LATTER CONCERN. ,./ 16
AUSTRALIA FOR ITS PART WILL CONTINUE TO ENCOURAGE
JAPAN'S WILLINGNESS TO MAKE A NON-MILITARY CONTRIBUTION TO
REGIONAL SECURITY. JAPAN'S ACTIVE POLITICAL AND DIPLOMATIC
ROLE AIMED AT RESOLVING REGIONAL CONFLICTS AND PRESERVING
STABILITY IS ESPECIALLY VALUABLE.
IT WILL BE APPARENT THAT AUSTRALIA'S RELATIONSHIP
WITH JAPAN IS AT ONCE COMPLEX AND FAR FROM STATIC. THE
STRENGTH AND SIGNIFICANCE OF AUSTRALIA'S RELATIONSHIP WITH
JAPAN IN THE WESTERN PACIFIC SHOULD NEVER BE UNDERESTIMATED.
BUT NOTHING IN THE RELATIONSHIP CAN OR SHOULD BE TAKEN FOR
GRANTED. THE ACHIEVEMENTS OF THE PAST CARRY NO GUARANTEE OF
BEING SUSTAINED " IN PERPETUITY".
CONSTANT ATTENTION MUST CONTINUE TO BE GIVEN TO THE
FUNDAMENTALS IF OUR MUTUAL INTERESTS ARE TO BE FURTHERED.
THE SAME IS TRUE, IN A QUITE DIFFERENT CONTEXT, OF
AUSTRALIA'S RELATIONS WITH CHINA.
THERE HAS BEEN REMARKABLE GROWTH IN AUSTRALIA'S
LINKS WITH CHINA AND IN CHINA'S CONTACTS WITH THE
INTERNATIONAL COMMUNITY. FOR MY OWN PART I WAS ESPECIALLY
PLEASED EARLIER THIS YEAR TO HAVE HAD THE OPPORTUNITY TO HAVE
ADDRESSED THE INTERNATIONAL LABOUR ORGANIZATION AT THE
SESSION WHERE CHINA ASSUMED HER RIGHTFUL PLACE IN THAT
AUGUST BODY. / 17
17
THE OPPORTUNITIES OPENING UP AS CHINA HAS DEVELOPED
ECONOMIC POLICIES FACILITATING TRADE AND COMMERCIAL ACTIVITY
HAVE BEEN CONSIDERABLE. INDEED WHAT IS HAPPENING IN CHINA
TODAY IS CRUCIALLY IMPORTANT TO THE WORLD AT LARGE. I DOUBT
THE MOMENTOUS CHARACTER OF THE CHANGES TAKING PLACE THERE IS
AS FULLY APPRECIATED AS IT SHOULD BE.
CHINA HAS MADE A DRASTIC CHANGE IN THE RURAL
SECTOR; THEY HAVE GIVEN THE PEASANTS THE OPPORTUNITY OF
PRIVATE ACCUMULATION. AND THIS HAS HAD A DRAMATIC IMPACT ON
PRODUCTION LEVELS. MORE IMPORTANTLY THE WHOLE CONCEPT IS
BEING INTRODUCED INTO SECONDARY INDUSTRY AND INTO THE
CITIES. IT HAS BEEN DONE IN A QUITE FUNDAMENTAL WAY. THE
CONCEPT OF PRODUCTION TARGETS ARE BEING DISPLACED NOW BY
PROFIT TARGETS, AND IF ENTERPRISES ARE NOT PROFITABLE THEY
EITHER GO OUT OF BUSINESS OR THEY ARE TAKEN OVER BY
ENTERPRISES WHICH ARE PROFITABLE. ASSOCIATED WITH THIS IS A
TOTAL CHANGE TAKING PLACE IN THE BASES OF REMUNERATION
HORIZONTALLY AND VERTICALLY. HORIZONTALLY NOW THERE IS NOT
EQUALITY OF REMUNERATION, INSTEAD THERE IS REWARD ACCORDING
TO OUTPUT. VERTICALLY THERE IS A MUCH WIDER DISPERSION OF
REWARDS ACCORDING TO SKILLS AND RESPONSIBILITY.
AN ABSOLUTELY FUNDAMENTAL CHANGE NOT MERELY IN
ECONOMIC MANAGEMENT PRACTISES BUT IN THE PHILOSOPHY OF CHINA
IS THEREFORE TAKING PLACE,
IT IS VERY IMPORTANT, THEREFORE THAT AUSTRALIA HAVE
A STRONG AND CONSTRUCTIVE RELATIONSHIP WITH CHINA. MORE AND
MORE THE CHINESE SYSTEM AND ITS PHILOSOPHY IS BECOMING
COMPATIBLE WITH OUR SORTS OF VALUES. IT IS NOT GOING TO
BECOME A DEMOCRACY IN OUR SENSE, BUT IN TERMS OF ITS
CONCEPTS, AND PRACTISES IT IS GOING TO BE MUCH MORE
COMPATIBLE WITH THE WAY WE GO ABOUT THINGS.
PREMIER ZHAO ZIYANG'S AUSTRALIAN VISIT EARLIER THIS
YEAR CERTAINLY SHARPENED MY GOVERNMENT'S APPRECIATION OF THE
POTENTIAL IN THIS SITUATION. PREMIER ZHAO FOR HIS PART TOOK
AWAY, I KNOW, A KEEN APPRECIATION OF THE DYNAMIC SKILLS AND
PROSPECTS OF THIS COUNTRY; HE HAS SINCE WRITTEN EXTENDING
ME AN INVITATION TO VISIT CHINA. I HOPE BEFORE MUCH LONGER
TO TAKE UP THIS INVITATION SO AS TO ACQUAINT MYSELF AT FIRST
HAND WITH THE NEW CHINA.
AUSTRALIA AND CHINA HAVE BOTH GAINED FROM THE FACT
THAT RELATIONS TO DATE HAVE BEEN BUILT ON THE BASIS OF
RESPECT FOR AND. UNDERSTANDING OF EACH OTHER'S INDEPENDENCE
AND SOVEREIGNTY. THERE ARE DIFFERENCES BETWEEN US AND THEY MUST BE
NARROWED. CAMBODIA IS A CASE IN POINT.
AUSTRALIA IS TRYING TO ESTABLISH COMMON GROUND IN
THE SEARCH FOR A NEGOTIATED SETTLEMENT OF THE CAMBODIAN
19
SITUATION, POWERFUL, OFTEN DIFFERENT AND CONFLICTING
INTERESTS ARE INVOLVED, BUT AS A COUNTRY WHICH COUNTS AMONG
ITS CLOSE FRIENDS THE UNITED STATES, ASEAN AND CHINA, AND AS
A COUNTRY ACCEPTED BY VIETNAM AS GENUINELY COMMITTED TO
BRINGING PEACE TO THE REGION, AUSTRALIA IS UNIQUELY WELL
PLACED TO IDENTIFY A BASIS FOR THE NECESSARY DIALOGUE
HOPEFULLY WITH SOME SORT OF USEFUL RESULT,
THIS IS WHAT YOU MIGHT EXPECT OF A COUNTRY WITH A
RIGHTFUL ROLE TO PLAY IN THE ASIA-PACIFIC REGION,
I BELIEVE OUR ROLE IS NOT ONLY RECOGNISED BUT
RESPECTED, SOME PROGRESS IS BEING MADE ALBEIT PAINSTAKINGLY
SLOWLY, IF NOTHING ELSE THE SITUATION HAS BEEN LOOSENED UP
A BIT AND SIGNS OF FLEXIBILITY NOT PREVIOUSLY APPARENT
ARE BEGINNING TO EMERGE, THIS HAS JUSTIFIED THE EFFORT TO
DATE AND SUGGESTS WE ARE ON THE RIGHT TRACK,
WE MUST, HOWEVER, BE WARY OF THE TRAP OF EXPECTING
DRAMATIC RESULTS, ALL HERE TODAY WOULD AGREE THAT ACQUIESCENCE IN THE
STATUS QUO IN KAMPUCHEA WOULD BE INTOLERABLE VIETNAMESE
TROOPS MUST BE WITHDRAWN FROM KAMPUCHEA AND THE PEOPLE OF
THAT COUNTRY GIVEN THE OPPORTUNITY FREELY TO DECIDE THEIR
OWN FUTURE, ,,, 1/ 20
THERE IS NOW A VARIETY OF APPROACHES SUGGESTED AS
A MEANS OF SECURING THESE OBJECTIVES. THE BASIS FOR THE
DIFFERENCES BETWEEN THESE APPROACHES IS UNDERSTANDABLE. THE
RECENT ASEAN FOREIGN MINISTERS' COMMUNIQUE HAS PROVIDED SOME
BASIS FOR OPTIMISM THAT THESE DIFFERENCES CAN, IF NOT
RECONCILED, AT LEAST BE NARROWED. WE SHALL CERTAINLY KEEP
UP OUR EFFORT AIMED AT HELPING TO MOVE THINGS FORWARD.
THE SITUATION IS NO EASIER IN ANOTHER AREA TO WHICH
MY GOVERNMENT HAS ATTACHED PARTICULAR PRIORITY ARMS
CONTROL AND DISARMAMENT,
THE NUCLEAR ARMS RACE MUST BE BROUGHT UNDER THE
CONTROL OF EFFECTIVE AGREEMENTS, WE OWE THIS TO OURSELVES
AND TO FUTURE GENERATIONS.
ACCORDINGLY WE HAVE MOVED RAPIDLY TO ESTABLISH OUR
INTEREST IN AND SUPPORT FOR BILATERAL AND MULTILATERAL NEGOTIATIONS
FOR GLOBAL AND REGIONAL DISARMAMENT ARRANGEMENTS.
WE ARE WORKING ESPECIALLY HARD FOR THE
REVITALIZATION OF THE INTERNATIONAL NON-PROLIFERATION REGIME
AND FOR THE CREATION OF AN INTERNATIONAL CLIMATE WHICH COULD
LEAD TO AGREEMENT ON A COMPREHENSIVE AND FULLY VERIFIABLE
BAN ON NUCLEAR TESTING. / 21
WE SIMPLY CANNOT AFFORD TO STAND-BY WHILE ISSUES OF
SUCH CRUCIAL MOMENT TO THE FUTURE OF MANKIND BECOME SOURCES
OF CONFRONTATION RATHER THAN A BASIS FOR CO-OPERATION,
EVERY EFFORT MUST BE MADE TO BUILD CONFIDENCE AS A BASIC
PREREQUISITE TO PROGRESS IN THIS CRUCIAL AREA,
WHILE THE ULTIMATE RESPONSIBILITY AND INITIATIVE IN
THIS AREA RESTS WITH THE SUPER-POWERS, WE FOR OUR PART
HAVE DELIBERATELY SOUGHT TO PUT INTO PLACE A COMPREHENSIVE
RANGE OF ACTIONS AIMED AT ADDRESSING IN AS IMMEDIATE AND AS
EFFECTIVE A WAY AS POSSIBLE THOSE AREAS WHERE AUSTRALIAN
INTERESTS ARE DIRECTLY ENGAGED OR AUSTRALIAN ACTION STANDS
SOME PROSPECT OF SUCCESS,
THESE MEASURES HAVE INCLUDED:
DEVELOPING IN A MANNER CONSISTENT WITH OUR ANZUS
TREATY COMMITMENTS, THE CONCEPT OF A NUCLEAR FREE
ZONE IN THE SOUTH PACIFIC, I EXPECT THIS MATTER TO
FIGURE PROMINENTLY IN THE DELIBERATIONS OF THE
SOUTH PACIFIC FORUM NEXT WEEK,
VIGOROUS CONDEMNATION OF CONTINUED UNDERGROUND
TESTING OF NUCLEAR WEAPONS BY FRANCE IN THE SOUTH
PACIFIC,
CONTINUED PRESSURE FOR NEGOTIATION OF AN EFFECTIVE
COMPREHENSIVE NUCLEAR TEST BAN TREATY,
STRENUOUS EFFORTS, IN CO-OPERATION WITH OTHERS, TO
DEVELOP A TREATY TO OUTLAW ALL FORMS OF CHEMICAL
AND BIOLOGICAL WARFARE
APPOINTMENT OF AN AMBASSADOR FOR DISARMAMENT
THESE MEASURES OF THEMSELVES ARE NOT LIKELY TO
PRODUCE A RADICAL TRANSFORMATION IN THE CURRENT GLOBAL
SITUATION. BUT THEY DO REPRESENT A SERIOUS COMMITMENT BY
THE AUSTRALIAN GOVERNMENT TO WORKING FOR A MEANINGFUL
DETENTE AND EFFECTIVE MEASURES OF ARMS CONTROL.
THEY SHOULD ALSO CONTRIBUTE TO A QUALITATIVE
IMPROVEMENT IN CONDITIONS WITHIN OUR OWN REGION WHERE, QUITE
LEGITIMATELY, WE AND OUR REGIONAL PARTNERS CAN EXPECT OTHERS
TO RESPECT OUR CONCERNS.
WE ARE CONSCIOUS THAT THERE IS A STRONG
UNDERCURRENT OF PUBLIC SENTIMENT ON THESE ISSUES, NOT ONLY
IN AUSTRALIA BUT IN EUROPE AND THE UNITED STATES THERE IS
GROWING PUBLIC AWARENESS OF THE RISKS INVOLVED IN THE
CURRENT SITUATION, IT IS UNFORTUNATE THAT SUCH PUBLIC CONCERN
DOES NOT ALSO HAVE AN OPPORTUNITY TO FIND EXPRESSION IN THE
SOVIET UNION. FOR OUR PART, A DIALOGUE BETWEEN THE GOVERNMENT
AND INTERESTED GROUPS IN AUSTRALIA ON HOW BEST TO PURSUE THE
SEARCH FOR PEACE AND STABILITY THROUGH ARMS CONTROL AND
DISARMAMENT IS SOMETHING I LOOK FORWARD TO AND ENCOURAGE. / 23
MR CHAIRMAN, INEQUALITY, OPPRESSION AND CONFLICT CONTINUE TO
RESTRICT THE DEVELOPMENT OF MANKIND AND CAUSE HUMAN
SUFFERING. HENCE THE NEED MY GOVERNMENT FEELS TO WORK TO
ERADICATE SOURCES OF INJUSTICE, TO REVERSE THE TREND TOWARDS
MILITARISM IN INTERNATIONAL AFFAIRS AND TO PROMOTE HARMONY
AND MUTUAL TRUST BETWEEN STATES.
EMBARKING ON THIS COURSE DOES NOT IMPLY ANY RADICAL
REDIRECTION IN AUSTRALIA S APPROACH TO THE WORLD, INDEED AS
I HAVE NOTED BEFORE A HIGH DEGREE OF CONTINUITY, CONSISTENCY
AND CONSENSUS CHARACTERIZE AUSTRALIAN FOREIGN POLICY.
WHAT IS APPARENT IS THAT THE WORLD IS NOT STANDING
STILL. AUSTRALIA S RELATIONS. WITH MOST COUNTRIES ARE IN
GOOD SHAPE, NEVERTHELESS THERE ARE ALWAYS ISSUES AND
SITUATIONS ARISING WHICH OFFER THE PROSPECT OF DEVELOPING
MOST OF THOSE RELATIONS IN MUTUALLY HARMONIOUS AND
BENEFICIAL DIRECTIONS. ESTABLISHED FRIENDSHIPS CAN BE
REINFORCED AND NEW LINKS FORGED, / 24
SIMILARLY THE BIG GLOBAL ISSUES OF THE DAY WILL NOT
AND SHOULD NOT BE ALLOWED TO PASS US BY, WE WANT TO DEAL
WITH THE WORLD AS IT REALLY IS, NOT AS WE MIGHT PREFER OR
WANT IT TO. BE.
WE SHALL NOT SHIRK OUR RESPONSIBILITIES. WE WILL,
WHERE APPROPRIATE, SEEK TO REGISTER AS EFFECTIVELY AS WE ARE
ABLE AUSTRALIAN VIEWS AND CONCERNS.
WE ARE WORKING BOTH DELIBERATELY AND
SELF-CONFIDENTLY TO ESTABLISH A RESPECTED AUSTRALIAN
IDENTITY IN THE INTERNATIONAL ARENA.
THE PRESSURES TO REACT TO CHANGE WILL AT TIMES BE
CONSIDERABLE, BUT THE OPPORTUNITIES PRESENTED WILL OFTEN
ALSO HOLD OUT THE PROSPECT OF. CONSIDERABLE BENEFITS TO
AUSTRALIAN INTERESTS. THE CHALLENGE IS TO RESPOND
APPROPRIATELY. IN THIS SENSE CHANGE IS NOT SOMETHING TO BE FEARED.
INDEED CHANGE,,,.. PROGRESS IS SOMETHING OFTEN WORTH WORKING
FOR IF NOT FOR ITS OWN SAKE, AT LEAST FOR THE BENEFITS IT
WILL OFTEN BRING. SUPPORT FOR CHANGE MAY INDEED BE A MORAL
IMPERATIVE. WHERE IT IS, WE MUST BE PREPARED TO STAND UP
AND BE COUNTED. THIS MAY SOMETIMES BE THE ONLY WAY TO DRAW
ATTENTION TO AND HOPEFULLY ACHIEVE REDRESS FOR SITUATIONS OF
INJUSTICE,
ULTIMATELY, HOWEVER, PROGRESS HINGES ON NATIONS
BEING PREPARED TO WORK TOGETHER. FOR ITS PART MY GOVERNMENT
IS PREPARED TO GET OUT AND GRAPPLE WITH THE ISSUES, TO BRING
A SENSITIVE AND FLEXIBLE APPROACH TO BEAR. WE ARE A
REALISTIC AND CONSTRUCTIVE PEOPLE, AND I BELIEVE AUSTRALIA
CAN MAKE A USEFUL CONTRIBUTION. THE STATE OF THE WORLD
AND ESPECIALLY THE CIRCUMSTANCES OF OUR OWN REGION, DEMAND
IT.