In December, Israel tepidly welcomed, and the Palestinians and Arab League vehemently condemned, Australian Prime Minister Scott Morrison’s announcement that Canberra now recognized west Jerusalem as Israel's capital. Morrison, in a speech at the Sydney Institute at the time, said, “Australia now recognizes West Jerusalem, being the seat of the Knesset and many of the institutions of government, is the capital of Israel. We look forward to moving our embassy to west Jerusalem when practical, in support of, and after, final-status determination.”He said that Australia will open a trade and defense office in Jerusalem, and begin looking looking for a possible embassy site.The Australian prime minister reaffirmed Australia's support for a two -state solution with the capital of a future Palestinian state being in east Jerusalem. "A two-state solution remains the only viable way to resolve the Israeli-Palestinian dispute," he said. "The obstacles, we must admit, to achieving such a solution are becoming insurmountable."