"We would view any use of intimidation or aggressive tactics as destabilizing and potentially dangerous," Pyne told Guardian Australia newspaper.
Australia has consistently expressed concern over the ongoing militarization of the South China Sea, the minister stressed.
"We continue to urge all claimants to refrain from unilateral actions that would increase tension in the region," he added.
READ MORE: US Sends Ships to South China Sea ‘to Create Trouble' — Chinese Envoy
A Chinese military ship came within 45 feet of the USS Decatur near the Spratly Islands on Sunday. Following the incident, Beijing protested the US military vessel's entry into the waters near the islands, stressing that the actions of the US navy threatened China's sovereignty and regional peace.