Kevin Andrews (Menzies, Liberal Party) Share this | Hansard source

On behalf of the Joint Standing Committee on Foreign Affairs, Defence and Trade, I present the committee's report entitled Inquiry into the implications of the COVID-19 pandemic for Australia's foreign affairs, defence and trade.

In accordance with standing order 39(e) the report was made a Parliamentary Paper.

by leave—It's my pleasure to present the Joint Standing Committee on Foreign Affairs, Defence and Trade report for the inquiry into the implications of the COVID-19 pandemic for Australia's foreign affairs, defence and trade. The COVID-19 pandemic has shown how closely an interconnected world links domestic outcomes with international events. Over the medium and long term, the pandemic will affect every aspect of Australia's global relationships.

COVID-19 presents one of the greatest threats to global human health since the influenza pandemic of 1918. In addition to the number of cases and deaths directly attributable to the virus, the pandemic will have a wide range of other implications for global health and health systems.

The committee inquiry concluded the lessons from the COVID-19 are not primarily about health. One of the key findings of the inquiry was the behaviour of nation-states in response to COVID-19 has called into question assumptions about the extent of adherence to global rules based order. Assumptions such as these have underpinned many aspects of Australia's foreign affairs, defence and trade policy in recent decades.

For Australia, COVID-19 has exposed structural vulnerabilities in some of the crucial national systems that enable us to function as a secure, prosperous and First World nation. Many of these vulnerabilities are caused by supply chains that rely on just-in-time supply from the global market. In some cases this is exacerbated by supply coming, in whole or substantial part, from companies that are subject to extrajudicial or coercive direction from some foreign governments. Decreased support for the norms of the rules based order negatively affects collaboration and conflict resolution between nation-states as well as the efficacy of commercial relationships between companies throughout the supply chains.

A key lesson from COVID-19 is that returning to business as usual is not an option if Australia is to be resilient, remaining secure and prosperous, in the face of future crises. Another zoonotic pandemic like COVID-19 is only one of the potential crises facing Australia and our region that would disrupt business as usual. Unexpected or sustained disruption due to grey-zone coercive or military actions is likely to substantially degrade if not disable one or more of Australia's critical national systems. Australia must identify the supply chains that underpin critical national systems and work with industry to reduce, if not eliminate, vulnerabilities and increase resilience. This will require changes to the Commonwealth Procurement Rules to specifically recognise the value for money that is inherent in partnerships with industry that create or expand sovereign capabilities which provide identified enablers for a critical national system. It will also require more whole-of-government strategic assessment, investment and diplomatic effort into increased resilience through trusted and transparent partnerships with like-minded nations.

Australia, like much of the Indo-Pacific region, has benefited from the global rules based order, which has underpinned increased security and prosperity. Poor outcomes from some key multilateral institutions have decreased engagement by some nations, and there is evidence of authoritarian nation-states seeking to influence global rules and standards away from the transparent, plural and democratic values that have informed global norms in recent decades. It is clearly in Australia's national interest to work with like-minded nations to ensure that reforms to key multilateral institutions are effective and consistent with democratic values and the rule of law. COVID-19 has seen Australia respond effectively, including with novel approaches to governance such as national cabinet and partnerships with industry that have placed strategic outcomes over rigid adherence to established process. Responding to the lessons of COVID-19 identified in this report will require a similar commitment to whole-of-government outcomes-focused assessment and timely funded implementation of novel solutions which will challenge the status quo.

I thank all the members of the committee and the members of the secretariat and commend the report to the House.

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