The first visit by a US president to Canberra in more than a decade has been scrapped after Joe Biden cancelled his attendance at the Quad summit in Sydney next week.
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Mr Biden's expected touch down in Canberra to address the Australian Parliament on Tuesday would have made him only the fifth US president in history to do so after former president Barack Obama's appearance in 2011.
The leaders of Australia, the US, Japan and India were all scheduled to meet in Sydney the following day for a Quad meeting.
Mr Albanese confirmed shortly before lunch on Wednesday the leaders' meeting at the Sydney Opera House would not be going ahead, despite earlier suggesting it could proceed without the President's attendance.
Indian Prime Minister Narendra Modi will go ahead with his visit to the NSW capital and is expected to join Prime Minister Anthony Albanese at a public event in Homebush in Sydney's west.
Mr Albanese confirmed shortly before lunch on Wednesday the leaders' meeting would not be going ahead despite earlier suggesting it could proceed without the president's attendance.
Earlier on Wednesday morning, he said he'd received a call from the US President, who informed him his visit had to be postponed due to a gridlock in Congress over the debt ceiling.
The Labor leader, who will visit Japan's Hiroshima over the weekend for a three-day G7 summit, said it is "disappointing" Mr Biden could not make it.
"It is disappointing that President Biden because of what's happening with the debt ceiling and the blockage which is happening in ... the US government system by the Republicans there in the Senate and Congress," Mr Albanese told ABC radio on Wednesday afternoon.
"It's disappointing that he believed he was unable to come down at this point in time but he will be a welcome guest at a future time."
White House national security spokesman John Kirby said Mr Biden was still going to Japan for the G7 summit at the end of the week.
He noted Mr Biden would meet the Quad leaders - including Mr Albanese, Mr Modi and Japanese Prime Minister Fumio Kishida - at the G7 summit.
Mr Albanese said he will have a bilateral meeting with Mr Biden at the summit and it was hoped the four leaders would find time over the three days to hold joint talks.
"The Quad leaders' meeting will not be going ahead in Sydney next week," he said at a press conference northern NSW.
"We ... will be having that discussion between Quad leaders in Japan. I thank Prime Minister Kishida for his invitation for me to attend the G7 and it is appropriate that we talk.
"The Quad is an important body and we want to make sure that it occurs at leadership level and we'll be having that discussion over the weekend."
Discussions to shuffle plans were underway between Australia, Japan and India on Wednesday after the sudden cancellation of Mr Biden's visit.
Mr Albanese said Prime Minister Modi's visit would proceed as planned and he would see Prime Minister Kishida in Japan over the weekend.
Mr Albanese had told another ABC radio show earlier on Wednesday the cancellation of Mr Biden's visit did not downplay the significance of the Quad.
"President Biden emphasised the importance of the Quad. He was very disappointed at some of the actions, obviously, of some members of Congress and in the US Senate," he said.
"Obviously, the domestic priority for the president, understandably, is to play a role in resolving those issues."
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Mr Albanese had added the summit could still go ahead with a senior US representative taking Mr Biden's place.
"Yes that's right, and with a representative of the United States at a senior level, as well, could occur," Mr Albanese said on Wednesday morning.
"Prime Minister Modi has a bilateral program that is organised so I'm certain that he will be here.
"And, of course, we have a very large growing diaspora here in Australia and there are events including a large event at Qudos Arena to be held next Tuesday night."
Mr Albanese and Mr Modi were originally expected to visit the Sydney suburb of Harris Park together, where a section of the neighbourhood will be renamed "Little India".
Parramatta MP Andrew Charlton said $3.5 million had been secured in the budget to lay a foundation stone for the "Little India" gateway, according to SBS.
An itinerary is still being finalised.
- with AAP