'IN DENIAL': French slap down Morrison government as spat continues

Diplomatic relations between Australia and France show no sign of improving in the wake of the fallout from a broken submarine deal which saw Scott Morrison labelled a liar by his French counterpart after walking away from the $90 billion contract.

While the French government has mended relations with the US, who Australia sensationally turned to in an unspecified deal to build a nuclear-powered submarine fleet, the same can't be said for Australia.

Christophe Penot, France's ambassador for the Indo-Pacific region and former ambassador to Australia, said his country had restored "a degree of trust" with the United States.

But the rift with Australia continues because the government in Canberra is still "in denial" about communication of the decision, he says.

France accused its allies in September of stabbing it in the back when the Morrison government announced its intentions to partner with the US and the UK, without notifying France in advance.

A flurry of diplomatic contact with the US resulted in an acknowledgement by president Joe Biden that the deal's announcement "was not handled in a graceful way," Mr Penot told reporters in Bangkok.

Mr Biden met with Mr Macron in October ahead of the G20 summit.

"So we think that we have restored a degree of trust, mutual trust with our American ally," Mr Penot said.

But no such trust had been regained with Australia.

"I don't think we have the same perception of how and why this happened," Mr Penot said.

"So it is difficult to make progress and restore trust if they are in denial."

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Mr Morrison insists he indicated to the French president that his government might walk away from the deal over concerns the submarines wouldn't meet Australia's defence needs amid the growing threat from China's military posturing in the region.

The PM leaked private text messages with Mr Macron to the media to support the assertion.

However the ongoing diplomatic spat has fuelled questions around Mr Morrison's record on trustworthiness with critics saying he operates in his own reality.

"Scott Morrison is someone who himself doesn't have regard for his own words," Opposition leader Anthony Albanese said of the French fallout.

In November, his predecessor former prime minister Malcolm Turnbull, told media "Scott has always had a reputation for telling lies".

Australia turns to US to replace helicopter fleet early

In a move that echoes Australia's controversial decision to switch to US-built submarines, Australia is reportedly set to ditch its entire fleet of trouble plagued, European-built Taipan helicopters for new Black Hawks and Seahawks imported from the United States.

According to the ABC, the upgrade to the helicopter fleet comes a decade ahead of schedule, in a move that will cost billions.

The Australian Army currently has 41 Taipan helicopters in service which have been in use since 2007, the ABC reported.

Defence Minister Peter Dutton is set to announce the decision on Friday.

with AAP

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