Don Randall (Canning, Liberal Party) Share this | Hansard source

I am very pleased to speak on this motion today. Australia's relationship with Japan is one of the closest and most mature in our region. It is built on a foundation of mutual respect and trust, closely aligned economics and strategic interests and a shared commitment to democracy, human rights and the rule of law. It is a relationship I care deeply about, both as chair of the Australia-Japan Parliamentary Friendship Group and as a local member from Western Australia who knows the importance Japan plays economically, stimulating jobs growth through trade and investment.

It is important for Australia to remember that a lot has changed in 69 years. Whilst we have to acknowledge the past, we must not let it rob us of the future—a future that Japan will play a key role in. We are seen by the Japanese as their second most important strategic partner in the East Asia Summit to achieve common goals and our troops have served side-by-side in Iraq, assisting in the development of the Al Muthanna province. Our new defence technology agreement with Japan is the natural evolution of our relationship and will see Australian and Japanese scientists work together on the design of our next submarine to ensure the Royal Australian Navy's next boats are the world's quietest and stealthiest.

Australia's strategic relationship does not just extend to defence and foreign affairs. Japan and Australia have demonstrated consistently the ability to work together to respond effectively to a number of civil and natural disasters. Two Japanese P-3 Orion aircraft and 50 disaster response personnel were deployed to RAAF Base Pearce in WA to support the international search for MH370 after the aircraft went missing and the search zone was identified off the Western Australian coast. Australia supported Japan in the aftermath of the March 2011 tsunami and earthquake by sending a 72-person urban search and rescue team, a team of Defence operations-response officers, C17 aircraft for use in relief operations, and a donation of $10 million to the Australian Red Cross in Japan and the Pacific Disaster Appeal. This was followed by an outpour of support from the Australian community.

As I have previously stated, our relationship with Japan is not just limited to disaster relief and defence. Japan is Australia's second-largest export market, with Australia's stable political, business and investment environment making us a critical supplier to Japan of clean and safe food products, as well as minerals and energy. Japan is Australia's third-largest source of foreign investment, with an investment stock of $126.4 billion as at the end of 2012. Over $52 billion of Japan's total investment in Australia is in direct investment. Japanese direct investment has been essential in the development of many of the export industries that have driven Australia's growth, including large-scale projects to meet Japanese demand for resources such as iron ore, coal and motor vehicles. An example of this in my home state of WA was the investment by Japanese bank Mitsubishi UFJ Financial Group of $325 million into rare earth mining at Mt Weld, creating jobs at the mine and supporting local industry and suppliers. Further to this, on 7 April this year Prime Minister Tony Abbott announced the conclusion of negotiations on the Japan-Australia Economic Partnership Agreement. This agreement will provide valuable preferential access for Australia's exports, better than any of Japan's agreements with other partners. Australia and Japan are natural partners with highly complementary economies. The agreement will bring our economies and societies even closer and underpin a strong relationship for many years to come.

A conservative estimate of the net benefit of the EPA to the Australian economy would be an increase of 0.66 per cent of GDP by 2020, while the net benefit to Japan would be an addition of 0.03 per cent of Japan's GDP. This amounts to a net gain in the present value terms over 20 years of $39 billion for Australia and $27 billion for Japan.

In conclusion, Australia and Japan have had a close relationship—one which has been developing over the last six decades. Our relationship with Japan is only getting stronger and I, for one, believe that it is a good thing. While Australia must always be a friend to all nations in our region, Japan will hold a special place as one of our key partners in developing an economy which is sustainable and working towards maintaining peace in our region. Before I commend this motion to the House, I would like to congratulate His Excellency Mr Yoshitaka Akimoto, Ambassador of Japan, his staff and the embassy for their proactivity in Australia. It has been a magnificent job and the way they connect with our parliament is something to be congratulated. I would also like to thank the Consul-General in Perth, Mr Funayama, his wife and staff for the hospitality they gave to the Minister for Defence and me last Friday night—this shows our relationship right across Australia is one that is continually growing.

I commend this motion to the House and look forward to working with the Japanese in the future to build a stronger and better future for both countries.

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