Foreign Minister Julie Bishop says North Korea's threats of nuclear strikes against other nations reinforces the need for the regime to abandon its nuclear and ballistic missile programs.
A North Korean foreign ministry spokesman has reportedly accused Ms Bishop of spouting a string of rubbish, and Australia of blindly and zealously toeing the U-S line.
The report said Ms Bishop had better think twice about the consequences of her reckless tongue-lashing.
But Nationals Senator Bridget McKenzie has told Sky News the threat highlights why sanctions exist.
"I think it is why we are in lock-step with the United States around how do we approach security and stability across our region. I think North Korea needs to absolutely halt the development of their nuclear and ballistic missiles program and maybe redirect some of that money back into lifting their own people out of poverty and making sure they have a better life. I think China is going to be incredibly important in this but we're lock-step with the U-S."
Labor's defence spokesman Richard Marles says North Korea's latest statement is a matter of enormous concern.
But he's told Sky News, it's not out of character.
"This sort of language has been business as usual for the North Korean regime - saying in relation to Australia but they've said in relation to the US in the last 24 hours. There's also been veiled threats in respect to China coming out of North Korea. So this is just the normal course of rhetoric you hear from that regime."
Mr Marles says he doesn't believe a conflict on the Korean peninsula is particularly likely and backed the U-S stance on North Korea.
He says Pyongyang has made similar threats to other nations, even a veiled one at China.
"China are talking about the fact of if we're going to deal with North Korea, it needs to be China, America and the whole world dealing with the question of North Korea. In that, China are absolutely right, so I actually think there is a lot of positives out of this in terms of the way the world is reacting to North Korea. But there needs to be because the idea of this state seeking to weaponise intercontinental ballistic missiles with a nuclear warhead is a worrying prospect."
North Korea's nuclear threat dominated weekend talks between Prime Minister Malcolm Turnbull and visiting U-S Vice President Mike Pence.
Mr Pence praised Mr Turnbull for publicly calling on China to do more to pressure North Korea.
The former U-S Ambassador to Australia, Jeffrey Bleich (Bligh-sh), says Australia has no choice but to get involved to help defuse the North Korean situation.
He has told Sky, China is the only country with leverage over North Korea, but Australia still has a role to play.
"Some of these missiles potentially are capable of reaching the northern part of Australia. So obviously it is important for Australia's own security to be involved for the United States. We are an ally of South Korea, we are pledged to defend South Korea. And for China, China has got real concerns about a threatening and volatile North Korea, requires us to put our THAAD* systems, our anti-ballistic missile systems aimed right on the China border, which is not where they want us to be."
North Korea's recent missile test fizzled, but it has conducted two nuclear test explosions and 24 ballistic missile tests last year.
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