Australia should brace for a strong response by China after reports the Federal Government was in talks about strengthening US military capability in the Northern Territory, an expert has warned.
American military planners want to base a stockpile defence equipment and munitions at bases in the Top End as well as manufacturing US-designed ballistic missiles here, The Australian reports.
Acting US ambassador to Australia Mike Goldman said the closer links "just makes sense" in light of the "new geostrategic context" in the Asia Pacific region.
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But John Coyne, of the Australian Strategic Policy Institute, told nine.com.au that Beijing is likely to react strongly amid rising tensions between Australia and China.
"Australia should expect a large amount of rhetoric from state-backed media or a foreign ministry spokesman," Dr Coyne said.
He said the Biden administration was keen to increase its defence logistical holdings in Northern Australia.
Following US-Australia talks last year, diesel fuel storage capacity in the region increased to $200 million.
Currently about 2500 US marines deploy to Darwin every year but the US is looking to potentially increase the number to 5000.
Mr Goldman said the US wanted to be more ambitious in its joint plans with Australia for a formal naval base in Papua New Guinea.
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But he stressed any change in the posture from Washington would be done with the full cooperation of Canberra.
Mr Goldman also condemned Beijing for targeting Australian exports to China with trade sanctions.
His comments come amid rising tensions between Australia and China.
Home Affairs Minister Karen Andrews said closer US-Australia defence ties was about being prepared for any potential conflict.
"It is sending a very strong message that we are alert, we are not alarmed but we are doing all that we can to be prepared," Ms Andrews said.
"The United States is a very strong ally of Australia and we will continue to work with them."
But Greens Senator Adam Bandt said a greater US military presence in northern Australia had risks.
"There is a real risk that if Australia just does whatever the US wants, that we are leading ourselves closer to a war that would be devastating," Mr Bandt said.
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