For Australia, the rise of China and India combines vast economic gain with challenges in security and values. The Asian giants have become principal markets for Australia's resources, major sources of human capital, and critical strategic players in the region. China brings Australia greater economic benefits than India, but its growing military power, combined with differences over values, poses security anxieties. Thus, Canberra has tried to intensify diplomatic engagement and economic enmeshment with both powers, yet is also seeking to hegde against Chinese power. This involves strengthening Australia's defence posture, enhancing the U.S alliance and forging new kinds of strategic ties with Asian partners, including India. In the wake of President Obama's 2011 visit, Labor's policy shift on uranium exports to India, and a challenging phase in China's regional diplomacy, this lecture will raise questions about the nature and viability of an Australian strategy to sustain good relations with the giants of the Asian century.