Defence Secretary Ben Wallace on Thursday said Britain was not out to "antagonise the French" but accepted their frustration about Australia's decision to scrap a submarine deal with Paris.
France has called Canberra's move "a stab in the back" after it abandoned a contract for diesel-powered subs in favour of nuclear-powered ones from the United States.
But Wallace told the BBC television: "I understand France's disappointment… the Australians have taken this decision that they want to make a change.
"We didn't go fishing for that but as a close ally, when the Australians approached us, of course we would consider it. I understand France's frustration about it."
Wallace told Sky News separately France remained one of Britain's closest military allies, adding: "We have no intention of doing anything to antagonise the French."
US President Joe Biden, Britain's Prime Minister Boris Johnson and his Australian counterpart Scott Morrison announced the new defence pact on Wednesday evening.
The tie-up demonstrates Western concern about China's growing influence in the Indo-Pacific region, where France also has interests, including overseas territories.
Wallace said Australia's decision made sense given the scale and speed of Chinese military spending on its navy and air force.
"It's right that the UK, alongside other allies such as Australia stand up for the rules-based system and international law," he told the BBC.
Diplomatic ties between London and Beijing have been strained, notably over concerns about an authoritarian crackdown in Britain's former colony of Hong Kong.
This week, China's ambassador to London was banned from speaking to pro-Beijing lawmakers at parliament, after China sanctioned critical British MPs.
China has also been angered at British criticism of alleged human rights abuses against Uyghur Muslims in the Xinjiang region.
The president of the Beijing-based Center for China and Globalization think-tank, Henry Wang, told BBC radio the new defence alliance was "part of a Cold War mentality".
"I think there's a question over the purpose of setting up such an alliance in peacetime in the 21st century," he added.
France lambasts Australia, US after 'stab in back' on subs
Paris (AFP) Sept 16, 2021 – France on Thursday accused Australia of back stabbing and Washington of Donald Trump-era behaviour after Canberra scrapped a huge submarines deal with Paris for US-made nuclear subs.
"It's really a stab in the back. We had established a relationship of trust with Australia, this trust has been betrayed," Foreign Minister Jean-Yves Le Drian told France Info radio.
"I'm very angry today, and bitter… this is not something allies do to each other," he said, noting that Australia would now have to explain how it would exit the contract.
Le Drian also said conduct of the administration of President Joe Biden was reminiscent of his predecessor Trump, who exasperated Europe with unpredictable decision-making.
"This unilateral, sudden and unforeseeable decision very much recalls what Mr Trump would do," Le Drian added, describing what has happened "unacceptable" and "incomprehensible."
France's Naval Group, partly owned by the state, had been chosen to build 12 conventionally powered submarines for Australia, based on France's Barracuda nuclear-powered subs in development.
The contract was worth around Aus$50 billion (31 billion euros, $36.5 billion) when announced in 2016.
But Biden and the prime ministers of Australia and Britain announced Wednesday a new defence pact that would see Canberra get a nuclear-powered submarine fleet, a privilege reserved for few American allies.
The move underscores growing concerns about China's expanding influence in the Indo-Pacific, where France is also looking to protect its interests that include the overseas territories of New Caledonia and French Polynesia.
Asked if Paris had been "duped" by Washington over what Le Drian once called a "contract of the century" for France's naval yards, the minister replied: "Your analysis of the situation is more or less correct."
He said France and its allies had been working on a "coherent and structured Indo-Pacific policy" in the face of Beijing's growing regional might.
"We had been discussing that with the United States just recently, and here comes this break," Le Drian said, calling it "a huge breach of trust."
"We'll need clarifications. We have contracts — the Australians need to tell us how they intend to get out of them," he added.
– 'Clear-eyed' –
Defence Minister Florence Parly called Australia's about-face "very bad news with regards to keeping one's word," while adding that France is "clear-eyed as to how the United States treats its allies."
"In terms of geopolitics and international relations, it's serious," she told RFI radio on Thursday.
Parly and Le Drian had already denounced a "regrettable" move by Canberra in a statement overnight, saying it underscored the need to bolster "a European strategic autonomy."
"There is no other credible way to defend our interests and our values in the world, including in the Indo-Pacific," they said.
President Emmanuel Macron — who is due to meet German Chancellor Angela Merkel for already scheduled talks later Thursday — has repeatedly said that Europe needs to develop its own defence capabilities to be less reliant on the US.
Parly and Le Drian said that France retains its ambitions in the Indo-Pacific region as the "only European nation" with a presence there, due to its overseas territories with nearly two million French citizens and over 7,000 troops.
"France is a reliable partner and will continue to stick to its engagements, as it has always done," they said.