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The United States-Australia alliance has been an important component of the US-led system of alliances that has underpinned regional security in the Indo-Pacific since 1945. However, recent geostrategic developments, in particular the rise of the People's Republic of China, have posed significant challenges to this US-led regional order. In turn, the growing strategic competition between these two great powers has generated challenges to the longstanding US-Australia alliance. Both the US and Australia are confronting a changing strategic environment, and, as a result, the alliance needs to respond to the challenges that they face. The US needs to understand the challenges and risks to this vital relationship, which is growing in importance, and take steps to manage it. On its part, Australia must clearly identify its core common interests with the US and start exploring what more it needs to do to attain its stated policy preferences. This book consists of chapters exploring US and Australian perspectives of the Indo-Pacific, the evolution of Australia-US strategic and defence cooperation, and the future of the relationship. Written by a joint US-Australia team, the volume is aimed at academics, analysts, students, and the security and business communities.

In June 2014 the Sunni fundamentalist terrorist organisation the Islamic State of Iraq and Syria (ISIS) expanded rapidly across parts of central and northern Iraq.¹ They captured significant cities such as Mosul and Tikrit, adding them to their existing strongholds in a number of restive Sunni-majority towns and cities in Iraq (including Ramadi and Fallujah, which they had held since January 2014) and in Syria (such as Raqqa, which they controlled from March 2013). Their stated goal was to create a new Islamic caliphate across the Arab world by smashing the borders imposed on the Middle East nearly a century