Topic: Defence and National Security
Australia is bolstering the Philippines' defensive capability. ( Foreign Correspondent: Tim Swanston )
Australia is set to sign a defence deal with the Philippines to bolster its navy and coastguard.
The Philippines has been at the frontline of efforts by US allies to counter China's "aggression" in the South China Sea.
The agreement is set to be signed on Sunday.
Australia and the Philippines are on the cusp of signing a major defence cooperation agreement, as tensions continue to flare between the Philippines and China over control of the highly strategic South China Sea.
The agreement, which is set to be signed on Sunday as Prime Minister Anthony Albanese meets with senior Philippines officials on the sidelines of the ASEAN summit in Manila, is expected to expand reciprocal military access and information sharing, as well as bolster the Philippine Navy and coastguard.
It comes as an informal defence bloc of four nations — Australia, the United States, the Philippines and Japan — nicknamed "the Squad", looks to bolster the Philippines' defensive capability and carry out more military exercises, in an attempt to counter China's maritime influence in the South and East China seas.
Top defence officials met in Cebu last month, and on Tuesday revealed the Squad would set up a Combined Coordination Centre that would likely serve as a joint hub to build the capacity of the country's navy and coastguard.
The Squad countries' defence ministers met in Cebu on October 28. ( Reuters: Rolex Dela Pena/Pool )
The Philippines has been at the frontline of combined efforts by US allies to counter China in the South China Sea, a highly strategic waterway through which a significant portion of global trade passes.
The atolls and reefs are also rich with marine life.
Several South East Asian nations have overlapping claims in the South China Sea, but China claims almost all of this waterway through its "nine-dash line", a claim it argues is based on historic rights.
A decade ago that claim was ruled as having no legal basis under international maritime law by a tribunal at The Hague. China has rejected the ruling.
Under international law, the Philippines has an Exclusive Economic Zone (EEZ) for 370km from its coast, but China claims the waters inside its nine-dash line. ( Foreign Correspondent: Andy Talbot )
China has been creating artificial islands that host military bases in the South China Sea, including in the Philippines' exclusive economic zone and in the heavily contested Spratly Islands.
Clashes frequently occur between both countries' coast guards , particularly in the Spratly Islands and at Scarborough Shoal, off the northern Philippines island of Luzon.
China is accused of "grey zone" tactics, including water cannoning and maritime harassment, that are designed to apply pressure on the Philippines but deliberately fall short of triggering war.
Philippine Navy personnel and the China Coast Guard clashed near a grounded Philippine warship in July. ( CNC Photo via Reuters )
Philippines Defence Secretary Gilberto Teodoro said China's actions in the South China Sea were his country's greatest traditional security challenge.
"[China's behaviour] is irresponsible, escalatory and provocative," he told the ABC earlier this year.
"Its nine-dash line is the biggest threat to regional stability and peace."
Philippines Defence Secretary Gilberto Teodoro calls China's behaviour "provocative". ( Foreign Correspondent: Haidarr Jones )
The new defence agreement comes as Australia ramps up support for the Philippines' maritime defence and security.
Since April last year, Australia has provided more than $13 million in support to the Philippine Coast Guard, mostly in the form of drones and drone operator training, helping the Philippines monitor Chinese naval and coastguard vessels, as well as protect subsea cables, keep a close eye on illegal fishing and track drones deployed by the Chinese military.
Australia has also helped build up defence infrastructure across five Philippine military bases on Luzon .
In a report released earlier this week, David Dutton from the Australian Strategic Policy Institute said the Philippines had "become pivotal for Canberra's regional balancing and deterrence objectives", with the country emerging as "the state under greatest coercive pressure from China".
Mr Dutton said the agreement would be a "milestone in the transformation of the relationship into a genuinely strategic partnership".
Maritime security expert Jennifer Parker said the agreement would "bundle up the package of things [Australia] has already been doing … focusing on interoperability with the Philippines, the ability of our defence forces, particularly our navy, to work with the Philippines".
Ms Parker also hoped there would be enhanced information sharing.
Australia's increasing defence cooperation with the Philippines comes as China and the Philippines have been escalating verbal barbs.
Philippines President Ferdinand Marcos Jr accused China's ambassador to Manila Jing Quan of making a threat after Mr Quan said Beijing could "easily win" in a conflict with the Philippines.
The ambassador was summoned by Philippines Foreign Secretary Theresa Lazaro and denied he was being threatening.
China's foreign ministry said Foreign Minister Wang Yi told Ms Lazaro during a phone call last week that "a handful of Philippine politicians, driven by political bias and selfish gains, have repeatedly attacked and smeared China", and said the country should strengthen restraint over those individuals.
Australia has also drawn rebukes from China , including in July after the Philippines and China blamed one another for a physical confrontation in the Spratly Islands between China Coast Guard and Philippine Navy personnel.
Foreign Minister Penny Wong said Australia was concerned about "aggression" and "destabilising conduct".
It prompted a Chinese foreign ministry spokesperson to urge "the relevant countries to stop exaggerating tensions and inciting confrontation".
South-East Asian countries will hold high-level leaders' talks from Sunday as part of this year's ASEAN summit, with the South China Sea set to be a key issue.
ASEAN nations and China have been negotiating a code of conduct for more than eight years, in a bid to provide a way to resolve disputes.
Philippine officials have said they cannot confirm whether the code would be finalised by the end of this year's summit.
The verbal and physical tensions over the South China Sea come as analysts have observed greater Chinese navy activity in waters near Taiwan .
The Institute for the Study of War has analysed what it describes as a "rare" coordination of China's geographical naval commands, in a deployment that "suggests the People's Liberation Army is conducting a major exercise that simulates isolating Taiwan".
These have taken place in the context of US naval resources being moved to the Middle East for the war on Iran and operations in the Strait of Hormuz.
"The US Navy is under significant pressure … you have seen a significant drawdown in naval forces in this region.
"In the last six months we have seen China both intensify their operations in the South China Sea around the Philippines and also expand them to the east of Taiwan into the Pacific.
"You are seeing China seek to take advantage, I would say, of the lack of US assets in the region."