Omari Gates
Australia and the United States have a long history of cooperation in various fields, including defence, security, trade, and investment. The two countries share cultural similarities and have a robust bilateral relationship. They are also members of several of the same international organizations, including the United Nations, the World Trade Organization, and the G-20. The United States is Australia's largest foreign investor, and Australian companies have also invested significantly in the United States. The countries also have a strong defence relationship, with Australia and the United States consulting on mutual threats and working together to address security concerns. However, there have been instances of disagreement, such as over refugee policies. So, while Australia and the United States have a close relationship, it is not accurate to say that Australia is controlled by the United States.
| Characteristics | Values |
|---|---|
| Nature of relationship | The relationship between Australia and the United States is characterised by cultural similarities, a spirit of collaboration, and robust bilateral arrangements. |
| Length of relationship | The two countries celebrated 100 years of mateship in 2018, commemorating their first joint battle in World War I. |
| Economic ties | The United States is Australia's largest foreign investor. In 2018, the U.S. direct investment position in Australia was $163 billion. U.S. firms have operated in Australia for over 100 years and employ more than 300,000 Australians. |
| Trade ties | The Australia–United States Free Trade Agreement demonstrates the strong trade ties between the two countries. |
| Defence and security cooperation | The ANZUS Treaty, signed in 1951, underpins the Australia-United States Alliance. The U.S. provides Australia with access to defence hardware, technologies, training, exercises, and intelligence capabilities. |
| Intelligence sharing | The two countries have shared intelligence for over 75 years. |
| Military exercises | The United States and Australia participate in joint military exercises, such as Talisman Saber, to ensure interoperability between their defence forces. |
| International organisations | Both countries are members of several international organisations, including the United Nations, ASEAN Regional Forum, Asia-Pacific Economic Cooperation (APEC), G-20, and the World Trade Organization (WTO). |
| Political meetings | The Australia-United States Ministerial Consultations (AUSMIN) are held regularly between foreign and defence ministers of both countries. |
| Refugee agreement | The two countries have disagreed over a refugee agreement, with the United States committing to resettle 1,250 refugees from Nauru and Manus Island. |
| Nuclear technology | The United States and the United Kingdom will share their top-secret nuclear submarine propulsion technology with Australia. |
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What You'll Learn
Australia-United States Ministerial Consultations (AUSMIN)
Australia and the United States have a strong relationship, with the US being Australia's largest foreign investor. The two countries have fought together in every significant conflict since World War I, and the US intends to sell Australia submarines with nuclear propulsion technology. They also work together to address challenges and counter foreign terrorist fighters and violent extremism.
The Australia–United States Ministerial Consultations (AUSMIN) is the principal forum for bilateral consultations between the two countries. AUSMIN is held regularly, alternating between Australia and the United States, and brings together the Australian Ministers for Foreign Affairs and Defence with the US Secretaries of State and Defense, along with senior officials from both portfolios. The consultations provide an opportunity to discuss and share perspectives on major global and regional political issues, and to deepen bilateral foreign security and defence cooperation.
The first Australian visit by a serving United States president was that of Lyndon B. Johnson in 1966 to seek support for Australia's ongoing involvement in the Vietnam War. Australia had previously sent advisers and combat troops to Vietnam. In 1992, George H.W. Bush became the second sitting US president to visit Australia.
In 2020, Australia's Foreign Minister, Marise Payne, and Defence Minister Linda Reynolds, flew to the US to attend the annual AUSMIN talks with US Secretary of State Mike Pompeo and Defense Secretary Mark Esper, despite concerns about the coronavirus. The year's talks focused on growing tensions with China. In the joint statement following the meetings, the two countries expressed “deep concern” over issues including Hong Kong, Taiwan, the “repression of Uyghurs” in Xinjiang, and China's maritime claims in the South China Sea, which are “not valid under international law”.
AUSMIN 2022 was hosted by Secretary of State Antony Blinken and Secretary of Defense Lloyd Austin in Washington, D.C. in December. AUSMIN 2023 was hosted by Minister for Foreign Affairs Penny Wong and Deputy Prime Minister and Minister for Defence Richard Marles in Brisbane in July. The 34th AUSMIN was held in Annapolis, Maryland in August 2024, hosted by the US.
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ANZUS Treaty
Australia and the United States have a strong relationship, with close economic, academic, and people-to-people ties. The two countries have fought together in every significant conflict since World War I.
The Australia, New Zealand, and United States (ANZUS) Security Treaty, concluded in 1951, is Australia's pre-eminent security treaty alliance. The ANZUS Treaty was ratified by the United States and entered into force in 1952. It is a collective security agreement between Australia, New Zealand, and the United States. The treaty was negotiated and concluded concurrently with the peace treaty with Japan.
The ANZUS Treaty firstly recommits the parties to the purposes of the United Nations, prohibiting the use of force or threats except in self-defence. The treaty also requires the parties to maintain their "capacity to resist armed attack", consult with each other on security matters in the Pacific, and declares that an armed attack on any of the parties "would be dangerous to [each signatories'] peace and safety". Each signatory agrees to "act to meet the common danger". The treaty also provides for a council of the signatories' foreign ministers to discuss the implementation of the treaty.
The ANZUS Treaty was disrupted in 1984 when New Zealand declared itself a nuclear-free zone and refused entry to US nuclear-powered submarines. New Zealand was partially suspended from ANZUS in 1986, and the trilateral aspects of the treaty were halted. However, in 2007, New Zealand resumed key areas of the treaty, and the US lifted a ban on visits by New Zealand warships in 2012. While the revived partnership does not clearly fall under the 1951 treaty, the two countries have since defined a "strategic partnership".
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Bilateral investment and trade
Australia and the United States have a robust trade and investment relationship. The two countries have worked together closely to further economic prosperity through free and open trade. This relationship is underpinned by the Australia-United States Free Trade Agreement (AUSFTA), which came into effect in 2005. Since AUSFTA, two-way trade has grown by 138%, from US$32 billion to US$77 billion. This makes the United States Australia's largest economic partner.
US direct investment in Australia is more than in any other country in the Indo-Pacific. In 2018, the US direct investment position in Australia was $163 billion, and the total stock of FDI into the US from Australia was $71.5 billion. US trade with Australia supports US jobs; Australian companies employ approximately 150,000 people in the US, including around 19,000 in both California and Texas. Over 12,000 Australian companies export to the United States, and notable Australian investors in the US include Woodside, Westfield, Brambles, Atlassian, Worley, Visy, Bluestone Lane, Rio Tinto, and Tritium.
The US runs a large trade surplus with Australia, with US goods exports to Australia in 2024 worth $34.6 billion and goods imports from Australia worth $16.7 billion, resulting in a trade surplus of $17.9 billion. Over 97% of Australia's non-agricultural exports to the US are duty-free, and three-quarters of agricultural tariff lines have been eliminated. Under AUSFTA, Australian companies also have access to the US federal government procurement market, valued at US$637 billion, and the government procurement markets of 31 US states.
The two countries have also signed agreements on health cooperation, space, science, and technology, and emergency management cooperation. They have a mutual legal assistance treaty to enhance bilateral cooperation on legal and counter-narcotics issues, and they have established committees on goods, agriculture, and financial services under the AUSFTA.
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Military cooperation
Australia and the United States have been allies since World War I, and their military cooperation is extensive. The two countries have fought together in every major U.S. military conflict since, including World War II, the Korean War, the Vietnam War, the Gulf War, and the War on Terror.
This close military partnership was formalized with the Australia, New Zealand, United States (ANZUS) Security Treaty of 1951, which is Australia's pre-eminent security treaty alliance. Australia has invoked the treaty only once, in response to the September 11, 2001, terrorist attacks, which led to the invasion of Afghanistan.
In addition to ANZUS, the two countries have several other agreements that facilitate their military cooperation. These include the Agreement concerning the Status of United States Forces in Australia (SOFA) of 1963, the Logistics Support Agreement (LSA) of 1989, the Acquisition and Cross-Servicing Agreement (ACSA) of 2010, the Treaty concerning Defense Trade Cooperation of 2013, and the Force Posture Agreement signed in 2014.
The U.S. and Australia also conduct joint military exercises, such as Talisman Saber, a biennial exercise designed to train military forces from both nations to plan and conduct Combined Task Force operations and improve their interoperability and combat readiness. The two countries also work closely in Afghanistan and cooperate on efforts to defeat ISIS in Iraq and Syria, as well as address the challenges posed by foreign terrorist fighters and violent extremism.
In recent years, the U.S. has approved the sale of defense articles and services to Australia, including aircraft, electronics, and gas turbine engines. In 2023, the U.S. announced it would help Australia build nuclear-powered submarine capabilities, sharing top-secret nuclear submarine propulsion technology with Australia for the first time.
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Cultural similarities
Australia and the United States have a unique relationship, with a breadth, depth and length characterised by a genuine cultural affinity and a spirit of collaboration. The two countries have a lot in common, some obvious, some more subtle. Both are large land masses, both are predominantly English-speaking, both have ancient native populations and both were relatively recently settled by European cultures. They are democracies and meritocracies, with many economic, political and cultural alliances. Both countries are committed to working together to help shape international norms to advance vital shared interests.
Both countries share a similar ancestry, with a majority Caucasian/Anglo-Saxon population and a shared English heritage and language. They are also relatively young cultures, with similar histories. Both were conceived as British colonies, with settlers eventually conquering the indigenous people and working the land for mining and farming. The earliest immigrants to the United States were the Pilgrims, who were escaping religious persecution in Europe. They had a strong Calvinist religious tradition, which emphasised hard work and individual salvation. Australia, on the other hand, was settled by convicts who were considered renegades of the law and the church. From its earliest days, community was emphasised as an alternative to the central “command-and-control” religious structures that classified law and order in England.
Australians and Americans are hard-working and results-oriented. They tend to be fairly materialistic and open to new ideas and risk in business. Both cultures value a professional and slick presentation. Australians believe firmly in ‘mateship’, showing loyalty to friends, family and colleagues. Americans, on the other hand, may be more loyal to the concept of performance and profit. Australians may use humour and come across as self-deprecating, whereas Americans value showmanship and a convincing sell. Australians are quick to spot a person they regard as ‘phony’.
In terms of infrastructure, an American living in Australia for a bit was surprised by how familiar the infrastructure felt. Australian friends who visited the US a few years later had the exact same reaction. While there are clear differences, none felt that immediate shock/change upon getting to the other country that they felt when travelling to Europe. This is perhaps due to the fact that both countries like their skyscrapers and have similar small-town Main Street cultures.
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Frequently asked questions
No, Australia is not controlled by the United States. Australia is a stable, democratic, and culturally diverse nation with a strong economy and its own political system.
Yes, the two countries have a unique and strong relationship, with cultural similarities and robust bilateral arrangements. They are also allies and have a history of cooperating on defence and security matters, including joint military exercises.
The United States is Australia's largest foreign investor, with US firms operating in Australia for over 100 years. Australian companies also invest in the US, and both countries have strong bilateral trade and investment links.
Yes, the two countries have an intelligence-sharing relationship, with Australia producing almost 4% of the world's new knowledge. They are also members of several of the same international organisations, including the United Nations, ASEAN Regional Forum, Asia-Pacific Economic Cooperation (APEC), and the G-20.
