Australia appears to be on the verge of finalising a landmark security and economic agreement with Fiji, a key component of the Albanese government's strategy to curb China's expanding influence across the Pacific region. However, Beijing's pushback has weakened a separate pact with Vanuatu, leading to a scaled-down version of a deal intended to establish Australia as Vanuatu's primary security partner.
Diplomatic Visit to Suva
Foreign Minister Penny Wong and Minister for Pacific Island Affairs Pat Conroy are scheduled to arrive in Suva on Tuesday afternoon for a three-day visit focused on fuel security and strategic ties. The pair are expected to advance negotiations on a new treaty known as the Vuvale Union during talks with Fiji's Prime Minister Sitiveni Rabuka and cabinet ministers.
Wong and Conroy have significantly increased engagement across the Pacific since Labor's 2022 election victory, amid concerns that China is buying influence through funding for major infrastructure projects and the provision of services, including policing. This week's visit is also set to include discussions on energy security and major supply chain disruptions caused by the war in Iran. The ministers will also meet with Baron Waqa, Secretary General of the Pacific Islands Forum Secretariat.
Pre-COP31 Summit and Climate Collaboration
Fiji is due to host a pre-COP31 summit in October, which is part of a negotiated settlement between Australia and Turkey over hosting rights for the major climate event in November. Wong emphasised the enduring partnership between Australia and Fiji, which helps keep the Pacific region 'secure, stable and resilient.'
'Strengthening our ties with Fiji is a key part of Australia's broader commitment to the Pacific, grounded in listening, partnership and long-term collaboration,' Wong said. 'Australia will continue to stand alongside Fiji and other Pacific Island partners to address fuel security challenges, including advocating for open and stable global supply routes so essential shipments can reach our region.'
Focus on Transnational Crime
Conroy welcomed the opportunity to progress the Vuvale Union, including efforts to combat organised criminal activity in the region. 'We recognise that after climate change, transnational crime is a top security threat for the region,' he said. 'That's why we'll discuss how Australia can support a coordinated regional response to transnational organised crime.'
Regional Security Deals and Challenges
Australia has used regional security deals to lock in cooperation with countries including Tuvalu and Nauru, as well as upgrading diplomatic ties with Papua New Guinea to a formal alliance. This strategy followed the Solomon Islands government's signing of a secretive security agreement with China in 2022, which caught the Morrison government and New Zealand's government off guard.
However, efforts to secure the so-called Nakamal agreement with Vanuatu were blocked in September last year as government ministers raised concerns about infrastructure funding promises from China. Despite a visit from Prime Minister Anthony Albanese last year, Vanuatu's leader, Jotham Napat, confirmed the delay related to Vanuatu's ability to continue seeking infrastructure funding from other countries.
China-Vanuatu Negotiations
China and Vanuatu are negotiating their own deal, known as the Namele agreement. Napat said in April it was a 'comprehensive development cooperation agreement' and not a security deal. Beijing has paid millions for upgrades to government buildings in Vanuatu, including an $86 million gift to renovate the prime minister's office last year.
Labor hopes to sign some form of a deal with Vanuatu soon. A previous security agreement struck with Vanuatu in 2022 was never formally ratified by the country's parliament, amid concerns over a lack of consultation and whether it was consistent with Vanuatu's philosophy of non-alignment in foreign policy.
