Territorial ambitions cause tension

He repeated his previously stated public message that China's territorial ambitions were one of the more counterproductive foreign policies it had undertaken and was a driving the smaller threatened nations such as Brunei, Malaysia, Vietnam and Taiwan closer to the US.

Sources said United States President Barack Obama noted on the sidelines of last week's Asia-Pacific Economic Co-operation summit in Manila that China's policy, inadvertently, had been extremely successful in uniting the ASEAN nations.

China found itself isolated on the issue at both last week's G20 summit in Turkey, at APEC and at Sunday's East Asia Summit in Kuala Lumpur.

A communique released at the end of the EAS was deliberately ambiguous given China was one fo the signatories. It called on all nations to "undertake to resolve their territorial and jurisdictional disputes by peaceful mean without resorting to the threat or use of force, through friendly consultations and negotiations by sovereign states directly concerned."

Australia's Minister for Foreign Affairs Julie Bishop walks with Japan's Minister for Foreign Affairs, Fumio Kishida; Ms Bishop said two-thirds of Australia's trade passed through the South China Sea and, therefore, it has a direct and substantial national interest in maintaining peace and stability in the region. Pool

It called on all parties to "exercise self-restraint in the conduct of activities that would complicate or escalate disputes and affect peace and stability."

China has created tensions by using the construction of artificial islands in the sea to then extend its territorial claim over both aviation and maritime routes as well as islands.


It argues nations such as Australia and the United States should stay neutral because they are not directly involved in the disputes.

In Sydney, where the issue featured prominently in talks between the foreign and defence ministers of Australia and Japan, Foreign Minister Julie Bishop rejected China's argument.

Chinese Premier Li Keqiang, right, and Australian Prime Minister Malcolm Turnbull, top left, prepare before the start of the 10th East Asia Summit at the 27th ASEAN Summit in Kuala Lumpur, Malaysia. AP

Direct and substantial interest

Ms Bishop said two-thirds of Australia's trade passed through the South China Sea and, therefore, it has a direct and substantial national interest in maintaining peace and stability in the region.

"We don't take sides on the competing territorial claims in the South China Sea but we have acknowledged that land reclamation and construction activity that's undertaken by China and other claimants raises tensions in the region," she said.

Japanese Defence Minister Gen Nakatani and Foreign Minister Fumio Kishida linked the two nation's mutual concerns about China to Japan's bid to build Australia's next fleet of submarines.

"Both of our nations are maritime nations, we have key interest in freedom of navigation and freedom of overflight in the high seas and these will have to be ensured and international law should be followed and use by force should never be condoned," Mr Fumio said.


Prime Minister Turnbull and Chinese Premier Li Keqiang during their bilateral meeting at the ASEAN Summit in Kuala Lumpur yesterday.

"So this is not just about co-operation in the field of submarines but this, I believe, is something fundamental for the maritime security for both of our nations."

At the East Asia Summit, China foreign relations expert Victor Gao pushed back at the critics of his country, noting China was one of the few nations in the region not to have invaded or occupied a neighbour. Countries such as Japan could not say the same.

Mr Turnbull also used his talks with Mr Li to encourage him to continue with economic and political reform, Mr Turnbull said China risked falling into the "middle-income trap", meaning without former reform, it would struggle to become a high-wage prosperous economy.

Mr Turnbull has been on the road for 10 days in a trip overshadowed by terrorism. Upon his arrival in Canberra on Monday morning, Mr Turnbull will convene a meeting of the national security committee of cabinet.

Prime Minister Turnbull receives a gift from with Chinese Premier Li Keqiang after their bilateral meeting at the ASEAN Summit in Kuala Lumpur. Brad Hunter - brad.hunter@pm.gov

United against terrorism

The EAS nations were united against terrorism. They released a joint statement to increase co-operation in countering terrorism and violent extremism. Mr Turnbull singled out for praise Malaysia Prime Minister Najib Razak whose country has a big problem with its people going to fight in Syria and Iraq and is leading the way with initiatives to try and combat the radicalisation of its people.

Mr Turnbull said Australia could learn from Malaysia.

"We need to be sharing our experiences, seeing what works, what doesn't work and making sure that the right messages are out there that counter these extremist narratives, which regrettably are drawing a lot of young people from the path of moderation and good sense," he said.

"The challenge of combating Daesh and similar groups online is very real. They may be promoting a very barbaric, primitive message but they do so skilfully through social media, and so effective counter-messaging, counter-narratives of moderation are very important."