In this subject we survey the development of Australian foreign policy. We begin with an historical overview of foreign policy, highlighting the core concepts and themes required to interpret and evaluate the conduct of foreign affairs. We then survey the key issues in foreign policy-making and Australia's major foreign relations. Issues include: strategic culture, internationalism and dependence on 'great and powerful friends'. Relationships covered include the United States, China, Japan, Indonesia and the South Pacific. We conclude with an appraisal of recent opportunities and challenges, successes and failures, such as responding to the 'China Choice', interventions in the South Pacific and active participation in the 'war of terror'.