China has reacted furiously after Australia signed a new three-way security alliance with the US and the UK and vowed to build nuclear-power submarines.
China's Washington DC embassy spokesman Liu Pengyu accused the nations of adopting a 'Cold War mentality' towards China in reference to the stand-off between the US and the Soviet Union in the twentieth century.
Countries 'should not build exclusionary blocs targeting or harming the interests of third parties,' he said.
'In particular, they should shake off their Cold-War mentality and ideological prejudice.'
Chinese President Xi Jinping visits a chemical company in Yulin City on Monday
Australia's Prime Minister Scott Morrison pictured centre during a virtual press conference on Thursday morning with UK Prime Minister Boris Johnson and US President Joe Biden
Prime Minister Scott Morrison on Thursday morning unveiled Australia's role in a landmark tripartite security group, known by the acronym 'AUKUS', which will see it switch to nuclear-powered submarines with help from its two of its biggest allies.
Mr Morrison was joined virtually for the announcement by US President Joe Biden and UK Prime Minister Boris Johnson in a historic joint press conference.
None of the leaders mentioned China by name but the West is increasingly concerned about Beijing's growing assertiveness.
The submarine deal will mean Australia will walk away from its controversial deal to spend up to $90 billion buying French diesel-powered submarines.
China has inflamed tensions in the South China Sea in recent years by expanding its claimed territory, to the objection of its neighbors in the Asia-Pacific
This is the first time Australia has ever embraced nuclear power after decades of debate - and the first time the US and UK have shared their nuclear submarine technology with another nation.
Mr Morrison said though Australia has no plans to acquire nuclear weapons or build its own nuclear power capabilities.
Australia has at least 40 per cent of the world's uranium supplies and the new submarine deal could pave the way for the country to embrace nuclear power to drastically reduce carbon emissions.
The US president meanwhile appeared to briefly forget Mr Morrison's name at one point during the announcement - referring to him only as 'that fellow Down Under'.
Prime Minister Scott Morrison on Thursday morning unveiled Australia's plan to build its own submarine fleet alongside US President Joe Biden and UK Prime Minister Boris Johnson
'Thank you Boris. I want to thank that fellow Down Under. Thank you very much pal,' Mr Biden said.
The move towards a nuclear Australia has been described as 'China's Worst Nightmare' in a strategic bid to counter its influence in the region - especially in the South China Sea.
'Our world is becoming more complex, especially here in our region – the Indo-Pacific. This affects us all. The future of the Indo-Pacific will impact all our futures,' Mr Morrison said.
'To meet these challenges, to help deliver the security and stability our region needs, we must now take our partnership to a new level.
'So AUKUS is born – a partnership where our technology, our scientists, our industry, our Defence Forces, are all working together to deliver a safer and more secure region that ultimately benefits all.'
Mr Morrison said the submarines would be built in Adelaide in co-operation with the US and the UK.
Thursday's announcement came just days before Mr Morrison travels to Washington DC for the first in-person summit of the four 'Quad' nations - Australia, US, Japan and India.
Australia's relationship with China has become increasingly hostile ever since Mr Morrison demanded an inquiry into the origins of the Covid pandemic, which originated in the Chinese city of Wuhan in late 2019.
Pictured: Chinese ships at Garden Island Naval Base in Sydney in June 2019. The move towards a nuclear Australia has been described as 'China's Worst Nightmare' in a strategic bid to counter its influence in the region
Australia will follow its allies the US and UK, which both use nuclear technology, by building its own nuclear-powered submarine fleet
Arbitrary bans and trade tariffs were imposed on billions of dollars worth of key Australian exports to China including barley, wine, beef, cotton, seafood, coal, cobber and timber.
Australia will follow in the path of the US and UK, who both use nuclear technology, with speculation it would tear up the submarine deal with France.
Senior Australian ministers were involved in a flurry of late-night meetings on the top-secret shipbuilding program on Wednesday, with Anthony Albanese and other senior Labor MPs briefed on the matter.
The Prime Minister reportedly held concerns French-owned shipbuilder Naval Group would be unable to deliver submarines until 2030 with deadline and price disputes.
Mr Morrison reportedly tried to speak with the French President Emmanuel Macron on Wednesday regarding the new deal.
News of Australia's decision was instead reportedly