Stuck between superpowers: How Australia navigates the China-US rivalry - BBC News
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The Frenemy: How Australia navigates superpower rivalry
Image source: Reuters
Image caption: China's Xi Jingping and Australia's Anthony Albanese in 2024. Relations between the two countries have been rocky in recent years
By
Katy Watson
Australia correspondent
,
Reporting from
Townsville, North Queensland
Published
28 September 2026
Snipers shatter the silence of the Australian bush. Then the missiles hit, the smoke rising in the distance. The buzz of drones starts up, soon to be drowned out by helicopters flying overhead. Every piece of hardware is being deployed, no expense spared. But this is no war zone – the last time Townsville saw conflict was during World War Two. This is a show of military might.
"We live in a volatile world," says Australian Army Brigadier Ben McLennan. "Training an army to be prepared to fight a war that is potentially more likely than it has been previously, [is] very important."
War is no longer an abstract concept for Australians who often feel removed from the problems facing other parts of the world. Thousands of miles from active conflict, the country, like everywhere else, is facing the knock-on effects of Iran and Ukraine such as higher fuel prices and rising inflation. With China's military capabilities also on the rise and its increasing influence in the Pacific, there's also more concern about the threat it represents.
Australia has responded by deepening its relationship with the US, its security ally and China's rival superpower. But that also puts Australia in a tricky position - for China's rise has also given Australia its biggest trading partner.
It's a paradox that most people are well aware of - which is probably why we've been invited to report on what Australia is doing to protect itself but nobody is willing to say whom they're preparing to fight.
"We're rehearsing for a war - the worst type of war - a World War Two-like war, a World War One-type war, a total war," says Brigadier McLennan, preferring to remain vague when asked who the enemy is.
Binding tighter to the US
The war scenario playing out before us is part of a major joint exercise known as "Southern Jackaroo" - a training programme involving the Australian, American and Japanese armed forces aimed at strengthening defence co-operation across the Indo-Pacific.
"We like to call ourselves America's 911 response force," US Marine Kevin Hicks says.
And in terms of numbers, they are more prepared than ever. In 2012, just 200 US Marines were deployed to Australia for an annual six-month deployment. Today, that figure has risen to around 2,500.
A quick read of Australia's 2026 National Defence Strategy gives you an easy answer as to why these numbers are growing.
"Intense competition between major powers – principally the United States and China – will be an enduring feature of our strategic environment," it said. "China continues to undertake the largest military build-up in the world today, without the transparency or strategic reassurance the region expects."
The military tie-ups aren't just being seen in terms of troops but in bases too - most obviously in the north of the country such as RAAF Tindal air base in the Northern Territory which has been upgraded to support long-range American B52 bombers.