Ex-Australia PM urges Canberra to adopt 'more sensible' approach toward Beijing

Canberra has "lost its way", former Australian prime minister Paul Keating said, as he mocked the nation's recent plan to build nuclear submarines to counter China as akin to "throwing a handful of toothpicks at a mountain".

In an address to the National Press Club in Canberra on Nov 10, Keating noted that by the time Australia gets the submarines they will be "50 or 60 years old … it would be like buying an old 747".

The former Labor leader, who served as prime minister between 1991 and 1996, said he believes Australia has lost its way in the region.

In a scathing critique of the nation's current foreign and defence policy, Keating said Australia's decision to work with the United States and the United Kingdom, under a new defence pact known as AUKUS, on nuclear-powered submarines makes no sense.

He said the most obvious choice would have been the original conventional French submarines but using more modern technology.

Keating said building nuclear-powered submarines send the wrong signals.

"Australia has lost its way in Asia and needs to acknowledge China's pre-eminence." And, "the country is now very much at odds with its geography."

Keating argued that China's socio-economic ascent has no modern precedent, and that Beijing is not seeking to overturn the world order but to reform it.

"They are in the adolescent phase of their diplomacy. They have testosterone running everywhere, the Chinese," he said.

"But we have to deal with them because their power will be so profound in this part of the world."

Keating said Australia needs to go back to a "more sensible" relationship with China and not worry about its Taiwan, a part of China as is long and widely recognized.

"Taiwan is not a vital Australian interest ... we have no alliance with Taipei," he said.

He said engaging with China would form a "better framework" for Australia and the US to work on, as the economic and social superpower continues to grow.

He referenced the First Fleet's 1788 landing in Sydney Cove — which marked the beginning of the European colonization of Australia — with just "11 little boats" and the subsequent conquest of the headland, saying "we got away with it" because all they had to do was "be in it — be in the region".

"But no, we're not happy to be in the region, we're still trying to find our security from Asia rather than in Asia," he said.

"I mean the ignominy of it, the appalling ignominy of it speaks volumes about our incapacity to absorb the region, enjoy the region, be part of the region and to celebrate the fact that we've been here."