Could Australia and its Asian neighbours one day share the same currency and allow free movement across their borders? The idea of an Asian Union involving Australia would have sounded far-fetched to former prime minister John Howard, who placed the nation firmly in the western sphere. But this month the nation's new leader, Kevin Rudd, floated the idea of an Asian-Pacific Community by 2020 that could eventually rival the European Union and include Australia, Japan, China, India, Indonesia and the US. Mr Rudd's idea is confirmation of my belief that the country's future prosperity is linked to its ability to integrate with the region. But will it be possible for a western nation to link so closely with a collection of disparate Asian countries so far apart culturally and politically? To be sure, the EU was created from nations that, between them, had fought two of the most murderous wars in history in the space of 50 years. But the states and peoples of Europe were always closer in terms of shared cultural and social values and that made a union not only feasible but, in a globalised world, almost inevitable. It will be much harder for a nation like Australia to form any sort of union with Asia, let alone for traditional enemies like Japan and China to join hands. Australia is now a successful multicultural nation, but there is still a large portion of the population who see Asia as a land of threat rather than opportunity. Part of that stems from Australia's small population of 20 million, who inhabit the country's 7.7 million sq km of land mass. Unfortunately, a fortress mentality, an inability to picture itself surviving without a powerful protective ally like Britain or the US, and a belief that the country is 'isolated' has been burned into the Australian psyche. Any move towards a union with Asia would have to reckon with this powerful feeling. There is only one way such a union would work: if Australia became much more culturally and genetically linked with Asia, through a large increase in the number of Asians living there. Currently, only 6 per cent of the population is of Asian extraction, and the political hurdles to increasing that ratio through immigration cannot be underestimated. But changing attitudes inside Australia, and changing global conditions, give some hope that Mr Rudd's dream may one day become a reality. The rise of China and India as economic superpowers, and Australia's pivotal role in supplying the raw materials for that expansion, are paving the way for huge structural changes to Australia's economy and society. Even if it wanted to continue its traditional role as a small, Anglo-Saxon nation isolated from Asia, it would not be possible. The changes occurring in Australia's backyard are too enormous for it to stay isolated. Becoming part of Asia would not mean losing the easy-going culture, its commitment to democracy or the rule of law. It would simply mean broadening horizons, taking chances and overcoming old fears. Glen Norris is a business news editor at the Post