Introduction

Thanks for your welcome. I'm delighted to be able to speak at this inaugural Symposium being organised by the Korea-Australasia Research Centre. The establishment of the Centre last year was an important initiative and I commend the Korea Research Foundation and the University of New South Wales for supporting it. The regional dimension of the Centre's work is impressive, embracing not only Australia, but New Zealand and Southeast Asia as well.

This keynote address gives me the chance to underline Australia's ongoing commitment to the closest possible engagement with our region, and with Korea in particular. I have three broad themes in my address today: the first is Australia's current bilateral relationship with Korea; the second is the broader regional dimension of our relationship in institutions like APEC and the ASEAN Regional Forum and in recent developments such as those on the Korean Peninsula itself; and the third is how we in Australia, Korea and the region as a whole might build on our relationships in the future.

My essential point is that the Australia-Korea relationship is a very good one - a relationship reinvigorated by recent events. In its various dimensions, the relationship provides an excellent example of the approach Australia is taking in its engagement with the wider Asia Pacific region.

Recent developments on the Korean Peninsula

Recent developments on the Korean Peninsula have made the establishment of the Centre and the convening of this Symposium very timely.

Events like the recent North-South leaders' summit have enormous significance for the security of the Asia-Pacific region as a whole. North-South rapprochement in 2000 was a triumph for President Kim Dae-jung's engagement policy and was acknowledged when he received the Nobel Peace Prize last year.

We were pleased to have contributed to this process and at times to act as trailblazers. I initiated a dialogue between Australia and North Korea about eighteen months ago. This initiative was pursued in the spirit of President Kim Dae-jung's policy towards the DPRK. It was also in accord with thinking in Washington, where former Defence Secretary William Perry was working towards mapping out a new US approach to the Korean Peninsula.

So whilst we had our own dialogue, we made sure it was conducted in close collaboration with South Korea, the US and other key partners such as Japan. It was a coordinated effort to discover new ways of dealing with a dangerous leftover of the Cold War. These activities culminated in the restoration of formal diplomatic relations between Australia and the DPRK on 8 May last year, and my own visit to Pyongyang last November.

We have also worked to help bring North Korea into the broader regional framework, including through helping to bring about North Korean membership of the ASEAN Regional Forum. We stand ready to help with other practical steps such as participation in relevant APEC activities and regional environment mechanisms.

These developments have been matched by the sensitive and critical exchanges that have been continuing between North Korea and the United States on key proliferation concerns. We have been pleased to contribute to the Korean Energy Development Organisation, which was established to provide energy sources for North Korea in return for an end to North Korea's own nuclear activities, which had raised the spectre of a new nuclear power in North Asia.

Efforts are also underway to contain North Korea's missile activities. I was encouraged during my recent visit to Pyongyang by the frank discussions I was able to have with the DPRK on the subject of missiles. The new US Secretary of State, Colin Powell, in his 17 January confirmation hearing before the US Senate Foreign Relations Committee, made clear that efforts to contain North Korea's missile activities remain a high priority for the new Bush administration.

We should not underestimate the significance of this process. Security and stability on the Korean Peninsula go to the heart of Australia's strategic interests. Around 40% of our exports go to Northeast Asia. With the exception of the DPRK, all the countries in the region are among our top ten export markets. The humanitarian and economic consequences of a security breakdown on the Korean Peninsula would be huge, not only for the immediate region but for countries like Australia too.

There is a huge amount of commercial activity linking Korea with the Asia Pacific region. That activity builds on, and contributes to, a growing web of inter-governmental and non-governmental networks - of which the Korea-Australasia Research Centre can be cited as an example - that in turn contributes to regional security, and human wealth and well-being.

Australia and Korea: a flourishing bilateral relationship

I turn now to examine our strong, indeed flourishing bilateral relationship with South Korea.

The first important contacts between Australia and Korea occurred in the 1880s, when Australian missionaries began working in Pusan, leaving an important legacy in areas such as religion, public education and health. I was interested to learn that Sir Robert Menzies, the chief founder of my political party and Australia's longest serving Prime Minister, had an aunt who was a Presbyterian missionary in Korea for many years. It was personal links like these that helped to give real substance to our bilateral relationship with the Republic of Korea.

Moreover, in 1947, Australia was a founding member of the United Nations Temporary Commission on Korea. Following the outbreak of war on the Peninsula, Australia sent 17,000 troops to fight under the United Nations flag. 339 Australians gave their lives in the conflict. That loss of life obviously created a strong and poignant bond between us.

Our current relationship, therefore, has firm foundations. As these foundations have developed, South Korea has emerged as one of the most important economies in the Asia Pacific region. Its economy ranks as the 13^th largest in the world - with GDP of over US$400 billion. On latest complete figures, South Korea is Australia's 4^th largest trading partner and New Zealand's 5^th largest partner. ASEAN's share of ROK's overall trade is in excess of 10%.

Our trade relationship continues to expand. The great strength has been, and remains as a supplier of resources like coal, iron ore and uranium. But our trade now encompasses ETMs such as car engines and gear systems, foodstuffs and services like tourism, education, IT, as well as financial and legal services.

Our political relations have also broadened: as long-standing allies of the United States, both our countries can claim much credit for the decades of peace and stability that delivered prosperity to East Asia. More recently we have, together, driven the development of new regional structures, worked closely to uphold international principles of human rights and democracy, and made strong contributions to effective solutions to threats to our regional security environment.

Much has been done in the past few years to reinforce the vigour of the bilateral relationship. We were pleased to welcome President Kim Dae-jung to Australia in 1999 and Mr Howard visited Seoul in May last year. Trade Ministers now aim to meet annually through the forum of the Australia-Korea Ministerial Joint Trade and Economic Commission (MJTEC), the first of these being held in October 2000 in Canberra. I myself have visited Seoul on a number of occasions in the past. I am also committed to establishing annual Foreign Minister meetings, hopefully starting this year with a visit to Seoul.

But the vigour in the bilateral relationship will only be maintained if we continue to look at new means of extending it. Therefore, Australia and Korea are now launching studies that will examine how to capture new and emerging bilateral trade and investment opportunities in our two economies. From our side, the work will have a particular focus on expanding trade in services, encouraging cooperation in "high tech" and "new economy" sectors and facilitating investment flows.

People to people links

Our people to people links are also growing strongly.

Increasing numbers of Korean students and tourists are taking home with them a better understanding of Australia - and increasing appreciation of Korea in Australia. We hosted 160,000 Korean tourists in 2000 - and over 10,000 students. While the numbers are still below the very high levels achieved before the Asian economic crisis, the bounce-back is strong.

Around 40,000 Australian citizens of Korean descent have brought a greater understanding of Korean history, customs, traditions, and language to the broader Australian community. As a multicultural society, Australia is proud of their contribution across a wide range of areas. For example, Koreans in Australia have become increasingly prominent in small and medium enterprises and are now exporting their products back to Korea. Equally significantly, they are contributing to our cultural and intellectual life - as is evident from the many Korean Australians participating in this Symposium.

Cultural and educational links

Recent cultural exchanges have enhanced our relationship. A wonderful exhibition of Korean ceramics was associated with the Olympics. From Australia, the indigenous dance group Janganpa has successfully performed in Korea. In July, an Australia festival is to be held at the Seoul Arts Centre. From this month until June, Seoul and Kyongju (pronunciation: Key-yong-joo) will be hosting a major retrospective of photographic work by Sydney artist, Tracey Moffatt.

The Government has initiated projects to promote mutual understanding through education. Korean is one of the four priority languages taught in Australian schools, supported by a joint Commonwealth and State/Territory initiative under the National Asian Languages and Studies in Australian Schools (NALSAS) Strategy. While the number of secondary school students studying Korean is small, careful direction of resources could see steady growth. Through the University Mobility in Asia and the Pacific program (UMAP), the Government has promoted cooperation and the exchange of students and staff with Korea.

The Australia-Korea Foundation (AKF), established by the Government in 1992, has also been actively promoting bilateral links, particularly in education, science and technology, commerce and industry, media, the arts and sport. Together with the Department of Education, Training and Youth Affairs (DETYA), the Foundation has developed a multi-media kit, Investigating Australia, and related website - to be found at www.auskorea.com. Designed to educate young Koreans about life in Australia, the kit has now been distributed to 3000 middle schools in Korea. The AKF has also funded the Australia Asia Young Leaders Program delegation visits to Korea, involving government and business in both countries.

Korea: a key player in the Asia Pacific region

On many key regional issues, South Korea shares common views with Australia and our near regional partners in the South Pacific and South East Asia. We share similar views with Korea on regional security and a commitment to regional dialogue through a range of forums designed to enhance regional cooperation. We are also committed to a fair and open multilateral trading system.

Korea has been a major player in APEC from the beginning. Our two countries worked closely together at APEC's inception, thus sharing from the outset a unique link in its development. APEC has grown in sophistication and complexity as the range of tasks assigned to it have grown, and Korea continues to contribute to its work on promoting regional prosperity and balanced development by freeing-up and facilitating regional trade.

South Korea, like Australia, is also an active founding member of the ASEAN Regional Forum (ARF)- the primary mechanism for regional dialogue on key political and security issues. We share close interests in the ARF. As I have mentioned, we worked successfully to welcome North Korea into the organisation - thereby enhancing its credibility and utility as a venue for exchanges on some of the most vital regional security issues, including stability on the Korean Peninsula, and preventing the proliferation of weapons of mass destruction. Also, like Australia, Korea has a strong and abiding alliance with the United States, providing a vital foundation for our common endeavours to promote better understanding and to buttress regional security.

Korea participated in a very substantial and timely manner alongside Australia, New Zealand, Thailand, the Philippines and Malaysia in the International Force in East Timor (INTERFET), and continues to play an important role in the subsequent Peace-Keeping Operation of the United Nations Transitional Administration in East Timor (UNTAET PKO). These commitments gave a new dimension to regional security cooperation. They also marked a new phase in our bilateral relationship with South Korea, further developing our dialogue and cooperation, as we worked together in seeking regional solutions to regional problems.

Evolving networks of regional cooperation

In general, the Asia Pacific region's political, economic and social architecture is evolving rapidly. The legacies of the Second World War and Cold War are being confronted as countries buffeted by the economic turmoil of the late 1990s seek to create additional avenues for dialogue, early warning and support.

Some of the most welcome developments have been the recent warming of relations between Korea and Japan, most recently with the impetus of fresh initiatives from President Kim Dae-jung and former Prime Minister Obuchi, China's progress towards WTO accession and the easing of tensions on the Korean peninsula. These developments have led to talk of closer North East Asia economic cooperation. Korea has welcomed proposals for open-ended regionalism and has encouraged studies of possible approaches to creating a regional "community" through its sponsorship of the East Asian Vision Group. Also, practical progress is being made within the "ASEAN plus 3" towards currency swap arrangements designed to reduce the risk of future meltdowns of financial systems. Australia encourages these signs of emerging, strengthened regional structures and the prospects they bring for enhanced cooperation.

All these initiatives should build on the foundations established over the last decade, particularly APEC and the ASEAN Regional Forum. While duplication should be avoided, overlapping arrangements will add to the strength of the regional fabric. Also, regional frameworks need to be reinforced by sub-regional exchanges tailored to meet local circumstances.

Similarly, there is a role for enhanced bilateral linkages. In the past year, a number of countries have also expressed renewed interest in bilateral free trade agreements. Korea and Chile commenced negotiations over a year ago, New Zealand and Singapore have concluded negotiations, and Japan and the US have started negotiations with Singapore. We are also exploring options compatible with our commitment to the global trading system and our hope for an early launch of a new round of negotiations under the WTO. For example, we look forward to progress on a FTA with Singapore, continued work on enhanced linkages with AFTA and closer economic links with Japan, as well as the special links we are forging with Korea.

Conclusion

I believe that there is still scope for even greater awareness amongst Australians, and I dare say other countries of our immediate region, of Korea, and similarly, amongst Koreans, of our corner of the region. While we have done much to support this objective, there is a limit to what Governments can achieve alone. Your work in advancing education and learning, and your personal networks and connections, are also important elements in our relations with Korea.

I hope that, at conferences like this one, useful ideas will emerge as to how we can interest others in the community in learning about Korea. Korea is important to all of us in the region and I hope that, through your efforts, a structure of regional cooperation and collaboration in Korean studies can result.

In this spirit, I wish you every success in your deliberations.