This effort aims to support regional stability and address Japan’s concerns about potential disruptions to LNG supply and uncertainty around future U.S. foreign policy. As both countries contend with rising pressure from China’s growing influence in the Indo-Pacific, closer strategic alignment has become more pressing.
This initiative was a central theme at the Australia-Japan business conference held in Perth, where senior Australian officials reaffirmed a commitment to deepening bilateral partnerships. Japan, which is Australia’s second-largest customer for energy and resources, has raised concerns about long-term LNG access in light of Australia’s ongoing domestic gas market review. Meanwhile, political developments in Japan point to the emergence of a pro-Western administration, creating fresh opportunities for cooperation across economic and defence sectors.
The Albanese government addressed concerns regarding its east coast gas market review, offering assurances that current contracts and foreign investments, particularly from Japan, will be protected. Officials underscored that the review will not compromise established relationships or Japan’s energy security, and they emphasised Japan’s vital role in building Australia’s gas industry.
Australia is also working to become a preferred supplier of critical minerals, presenting Japan with a reliable alternative to China. Projects such as Mt Weld, the largest non-China rare earths producer, reflect Australia’s long-term capability to deliver secure and transparent sources in the global minerals supply chain. Proposed measures such as a national strategic reserve and a floor price for rare earths are designed to encourage sustained investment from trusted partners like Japan.
This approach highlights a broader realignment of Australia’s international priorities. As global conditions become more unpredictable, regional partnerships like that with Japan are seen as essential. Enhancing cooperation with Japan represents a strategic response to both China’s regional assertiveness and the unpredictability of future U.S. policy.
