A reliance on English-speaking allies outside of the Asia-Pacific region was limiting the country's ability to "survive and thrive" the 21^st century, the Australian National University report released on Sunday evening said.

Instead, the report calls for Australia to take stock of its regional partner and begin work to bring the two countries, and their populations, closer through tourism and language too.

Director of the university's Japanese research centre and report author Associate Professor Shiro Armstrong said the two countries already shared a lot of common strategic interests.

With China acting more assertive in the region and the United States becoming more inward-looking in recent years, it was time for Australia to step things up with Japan, he said.

"We really do need to double down on understanding Japan, building the capacities to relate to Japan and improve that relationship as we deal with uncertainties going forward," Associate Professor Armstrong said.

"We want to get the relationship right for the future."

The east Asian country is Australia's second largest source of investment and was Australia's second largest trading partner until a fall in commodity trade last year.

Two-thirds of Japan's energy consumption is supplied by Australia's fossil fuels industry, which is facing a reckoning as nations look to pivot to greener industries and technologies.

Associate Professor Armstrong said now was the time to start considering these major reformations.

"We're a big chunk of their energy use, but that's in coal and LNG, so that's going to change over time," the associate professor said.

"We need to get out ahead of that and create bilateral frameworks where we can take advantage of Japanese investment coming into hydrogen, to renewables, to transform that trade relationship."

A meeting between the countries' leaders during the COP26 meeting in early November reaffirmed their joint commitment to tackling climate change with newly elected Japanese Prime Minister Fumio Kishida respecting Australia's recent net zero emissions by 2050 target.

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But a reimagination would mean more than just bolstering defensive co-operation and boosting trade deals.

Reducing the cultural and linguistic gap between the two populations was also essential, the report said.

Increasing the number of cultural and school exchange programs, encouraging and rewarding take-up of the Japanese language and removing barriers for working visas, such as the working visa agreement with the UK, were possible avenues.

The report's release comes months after the Japanese ambassador to Australia Shingo Yamagami told business and government leaders Japan will be a "real friend" to Australia amid rising tensions within the region.

Mr Yamagami said it was important to follow the rule of law in difficult times and not resort to unilateral, arbitrary measures when disputes arise.

But if relations were to deteriorate further, Japan would be a "real friend" to Australia, he said.

"We have to be careful not to escalate the tensions on our part, but when push comes to shove, you will know who's your real friend," Mr Yamagami said in June.

"This is the kind of moment Australia needs real friends and Japan is hereby standing with Australia."

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