No armed armada for South China Sea: Labor

A Labor government would give the Australian Navy the nod to undertake independent freedom-of-navigation exercises in disputed waters of the South China Sea.

Opposition defence spokesman Stephen Conroy says it's important to stand up for the international rules-based system, but the Navy would only conduct the exercises if it was deemed necessary and safe to do so.

"This is not some armed armada to go floating around the place," he told a National Press Club defence debate on Thursday.

Senator Conroy is disturbed by recent alleged threats coming out of China about serious economic consequences if Australia undertook an exercise.

"If that is the case, that sort of bullying needs to be stood up to."

Defence Minister Marise Payne said the government did not comment publicly on the future activities of the defence force.

She said it was in Australia's interests to have a stable and secure region.