Take the current situation in Russia, for instance. Even in the upcoming World War II, it is destined to become a vital ally against Germany.
However, for Arthur to not take certain precautions against this country would be impossible. After the annihilation of the United States, it is very likely that the future world order could evolve into a bipolar world dominated by Australasia and this country.
If we do not impose certain restrictions on this country, Arthur does not want to see a Cold War-like standoff happening to Australasia in the future.
No one, be it Arthur or future monarchs, would want to face a situation where an enemy could potentially drop a nuclear weapon on their heads.
To prevent such an occurrence, the best strategy is to weaken one's rivals as much as possible, keeping them strong enough to be relevant, but not too powerful.