"China's military build-up is reshaping the balance of power in ways that affect Australian security regardless of China's ability to strike Australian territory," the Lowy Institute said.

The rapid expansion of China’s nuclear-powered submarine fleet and long-range missile stockpile is fuelling its growing ability to hit targets in Australia, a new report warns.

China is capable of a direct missile strike on Australia and the threat is growing as Beijing amasses long-range and hypersonic weapons and builds islands in the South China Sea,…