TRANSCRIPT: ABC NEWS BREAKFAST INTERVIEW, 18 November 2020

7:42AM

E&OE

Subjects: Reciprocal Access Agreement, Trade Relations, Coronavirus, South Australia, Border Closures;

PAUL KENNEDY

The Prime Minister, Scott Morrison, is due to leave Japan later today after a visit highlighting the relationship between the two countries. The Acting Prime Minister, Michael McCormack, joins me now from Wagga Wagga. Acting Prime Minister, thanks for your time this morning.

MICHAEL McCORMACK

Morning, Paul.

PAUL KENNEDY

Now, what is this Reciprocal Access Agreement, that has been agreed to in principle, mean to Australia's practical Defence operations?

MICHAEL McCORMACK

It means that we are going to actually have a good, as we always have had, but even better relations with Japan when it comes to military operations – our troops training with them, their troops training with ours. And that has got to be encouraged, we have been long-time friends of Japan, economically and militarily and we will continue and strengthen those close relationships that we have had with Japan.

I come from a tri-Defence town, we got the Air Force, we have the Navy – even though we are 350 miles from the nearest drop of sea water – and we have got the home of the soldier here at Wagga Wagga Kapooka where every one of our soldiers gets trained. So I'm sure that even regionally they can tap into this new military bond as well.

PAUL KENNEDY

Beyond having a closer bond, as you put it, just what does it mean? How is this somehow different from a Status of Forces Agreement?

MICHAEL McCORMACK

What it means is that we will obviously have stronger ties, we’ll have stronger security ties. Japan, as I always say, is a very strong friend of ours. We have got that free trade agreement with Japan to strengthen our military ties to ensure that our troops and military forces can train together. That has got to be seen to be a good thing. I know the Prime Minister was keen, along with the Prime Minister Suga, to sign that deal and that is what they have done overnight.

PAUL KENNEDY

And those talks of a deal were stalled over the issue over the condition of the Australian troops being subject to the death penalty in Japan. The Prime Minister wasn’t as clear as he might have been last night on that, do you have any more clarity on the situation there?

MICHAEL McCORMACK

No, he was clear, Australia will obviously always tie into international commitments as far as that is regarded. He was very clear about that. But this is important. I don't think we should get stuck on this one issue. I think the important thing is that we have signed this arrangement with Japan's military and of course, we always place our military people and their safety as our number one priority and that is why we invest so heavily in defence. That is why we invest way beyond what the Labor Government did when it had six years of opportunity in government to invest in defence. We have an incredible amount of money on the defence industry to give our troops, our soldiers, airmen and sailors and airwomen too, the best-possible opportunity going forward.

PAUL KENNEDY

I will ask you about the relationship with China in a moment because that is critical with what is going on in the region but briefly, the Prime Ministers spoke, we believe, about what a Joe Biden Presidency would mean for the Indo-Pacific region, what was the focus of that discussion as you have been told?

MICHAEL McCORMACK

Well the focus is on, of course, recovering from COVID. The focus is on making sure that we have the trade arrangements in place and the opportunities there that that is going to create – the RCEP Agreement, the 15-nation agreement, Australia is a part of that. Of course, I say again, America are great friends of ours. You only have to go to the Top End during the season when the Marines arrive to see not only the military benefits that it brings to the US troops and ours as well but also obviously the economic benefits that that brings to the Northern Territory, I know my Senator Sam McMahon is always delighted to see those Americans in Darwin and I know that certainly, the Joe Biden administration and the Scott Morrison administration are going to be working very closely with economic ties, to boost our region here and in the Indo-Pacific.

PAUL KENNEDY

The Treasurer is due to make a speech about Australia's relationship with China today –

MICHAEL McCORMACK

I spoke to the Treasurer last night about this.

PAUL KENNEDY

Yes, how many Australian businesses are losing money at the moment through China’s trade sanctions?

MICHAEL McCORMACK

These are affecting Australia’s trade, there is no question about that.

PAUL KENNEDY

[Interrupts] You must have crunched the numbers. I'm interested in how many companies are really suffering and what is at stake?

MICHAEL McCORMACK

The Treasurer will make his speech today but the important thing is that the Treasurer is speaking about the right diplomatic relations with China. Our largest trading nation – $146.7 billion of trade with China and I know that the Riverina farmers that I represent are very keen to ensure that that trade continues whether it is sheep meat, grain, wine, whatever the case might be –

PAUL KENNEDY

[Interrupts] Just quickly on that, Mr Michael McCormack, we are running short on time. I have to get a couple more questions to you, the quote from Josh Frydenberg is that he is ready to engage with China, that is not the problem is it? It is that China doesn't want to engage with us on this issue.

MICHAEL McCORMACK

Well, China is engaging with us, they are still buying our grain, they are still buying our meat, they are still buying our resources and they are still buying our wine. The relationship, yes, trade relations sometimes go through rocky periods and sometimes these things happen but we are working very closely and diplomatically. I know we need this trade, China needs us, just as much as we need China, as far as trade is concerned.

PAUL KENNEDY

We will wait to see what businesses say about that speech today. What did the Defence Chief tell the international counterparts about the investigation into Australian solider war crimes? That report due out tomorrow.

MICHAEL McCORMACK

That report is due out tomorrow. We will wait for those reports to land properly and we will follow due process and protocol when it comes to this. This is a very important thing, our troops, our soldiers, they are trained very, very well. I know many of them are trained right here at Wagga Wagga. We need to support them. We need to obviously let the legal processes run their course and I think commentary about what might or might not happen is probably unnecessary. Let's let the proper processes take their proper course.

PAUL KENNEDY

We will see tomorrow. What criticisms, if any, do you have of the States and Territories' reactions to border restrictions put in place with that South Australian cluster, which may or may not be under control within 24 hours?

MICHAEL McCORMACK

Well, I spoke to the Premier Steven Marshall yesterday. Twenty cases in South Australia, there are going to be these outbreaks. There are going to be these pockets of virus outbreaks. I think Premier Berejiklian in New South Wales did very well by keeping the borders open to South Australia but warning New South Wales' residents to reconsider perhaps their travel arrangements to South Australia. But these things are going to happen. The public health response by South Australia has been very, very good and robust. They have done thousands of tests, they have upped the ante, we have provided 104 Defence personnel who are working very closely with front-line medical officials and health experts in South Australia. And I thank the South Australians for largely doing the right thing. They have been very, very good. We have kept the case rates low right across the nation and it is to be commended, when you compare Australia to anywhere else in the world.

PAUL KENNEDY

We are out of time. Acting Prime Minister, thank you.

MICHAEL McCORMACK

Thank you, Paul.

ENDS 7:49AM

Shane Manning