This is one of the reasons I challenged your notion of negotiating with the US, earlier. To go even further, Australia was not an autonomous, sovereign entity but rather a Crown Territory. Australia's leadership was responsible to the Crown and, like Canada, was tied to Britain a bit more strongly than mere allegiance to the Union Jack.chuck wrote:...the US would undoubtedly demand concessions from Australia in terms of its relationship to Britain that would probably not go down well in London at all at the time.
Beyond p****ing off London, the question of legality can be raised i.e., was Australia even capable of negotiating her own terms without Crown involvement or, at the very least, approval? Not long into the Pacific War she did just that, mainly because Britain had hijacked most of her troops and land defense capabilities in Burma, and the Australians were reluctantly coming to the realization their contributions, naval as well, were not to be reciprocated.
But, none of this applied in 1938 and Australia was still very much a member of the British Empire. Would anyone in her government have had the political will (let alone, authority) to go against the grain in such a manner? I cannot imagine a Sydney equivalent of the Boston Tea Party.