US-China relations have been in a nosedive of late due to disagreements and tensions over a number of issues, including trade practices, America's crackdown on tech giant Huawei, and Chinese military installations in the disputed waters of the South China Sea.
Newly appointed US Secretary of Defence Mark Esper stated during a press conference in Sydney on 4 August that the country won't tolerate Beijing's activities in the South China Sea, which he labelled “destabilising” and “aggressive”. He added that the US won't “stand by idly” while one nation tries “to reshape the region to its favour”.
“We firmly believe no one nation can or should dominate the Indo-Pacific and we are working alongside our allies and partners to address the region's pressing security needs”, he said.
Esper further slammed Beijing's regional policy of providing financial aid and loans to Asian states, in line with Washington's previous clams that they are used by China to control indebted governments.
“[China] is weaponising the global commons using predatory economics and debt-for-sovereignty deals, and promoting state-sponsored theft of other nations' intellectual property”, the secretary of defence said.
Australia in turn offered to allocate around $2 billion in grants and cheap loans in a bid to counter this alleged Chinese policy.
During the same presser, Secretary of State Mike Pompeo assured that Asian countries won't have to pick sides in a conflict between the US and China, but still…
