In last week’s expansionary budget, one area that felt a bit underdone was defence. Here, the government delivered what it promised 12 months ago: $44.6 billion, an increase over last year’s budget of 4.1% in real terms. At any time in the last 25 years a defence budget growing at that level would have been welcome. But now Australia and the wider region faces the direst strategic outlook since perhaps the end of World War II.
It’s clear that Scott Morison and his ministers understand that the region is facing a crisis brought on by an increasingly bellicose Chinese Communist Party. Taiwan is the immediate flashpoint and the level of risk will peak in perhaps four to five years’ time. In that period, according to the United States Defense Department, the People’s Liberation Army will gain a strong military edge over the Taiwan Strait in air power, missiles and ships...MORE
