Conflict between Israel and Lebanon "is intolerable and presents an unacceptable risk", Australia says, as it pushes for sparring parties to sign onto a 21-day ceasefire agreement.
Israel and designated terrorist organisation Hezbollah have been exchanging rocket fire across the Lebanese border, with Israel's latest three-day barrage killing hundreds.
"This is in nobody's interest, neither of the people of Israel nor of the people of Lebanon," a joint statement reads.
The Thursday statement was signed by Australia, the United States, Britain, the European Union, France, Germany, Italy, Japan, Saudi Arabia, United Arab Emirates and Qatar.
It escalates language used by Prime Minister Anthony Albanese and Foreign Minister Penny Wong over recent days.
"It is time to conclude a diplomatic settlement that enables civilians on both sides of the border to return to their homes in safety," the statement says.
"We call on all parties, including the governments of Israel and Lebanon, to endorse the temporary ceasefire immediately ... and to give a real chance to a diplomatic settlement."
The signatories would then support all diplomatic efforts to reach an agreement between Lebanon and Israel over those three weeks in the hope it "ends this crisis altogether".
Senator Wong has warned of the need for an immediate ceasefire in Lebanon and Gaza, saying "Lebanese civilians cannot be made to pay the price of defeating Hezbollah".
The foreign minister has met with counterparts on the sidelines of a United Nations summit in New York to discuss ceasefire proposals and contingency plans.
The Australian Federation of Islamic Councils criticised military incursion into Lebanon, saying it "vehemently condemns the recent escalation of violence by Israel".
"History is repeating itself with the bombings in Lebanon just as it happened in Gaza, how many more lives must be lost for the world to intervene?" president Rateb Jneid said.
"The Australian government and the international community have a moral obligation to act decisively to prevent further loss of life"
Asked whether a ground invasion would breach international law, Senator Wong reiterated "Lebanon cannot become another Gaza".
"I hope that is not the case," she told reporters in New York on Thursday (AEST).
The expansion of conflict into Lebanon "only makes an immediate ceasefire in Gaza even more urgent," she added.
"Hostages must be released and aid must flow," she said.
Australians have been told to leave Lebanon immediately as the death toll rises from Israel's strikes against what it calls Hezbollah targets, with warnings options are narrowing and any government evacuation plan cannot accommodate all.
It was "extraordinary" Australians had continued to travel to Lebanon and not heed the government's warnings, Mr Albanese said.
"Given the large numbers that we're talking about, this situation will be difficult to resolve," he said.
There are an estimated 15,000 to 30,000 Australians in Lebanon.
The Victorian government has also expressed grave concern for those in Lebanon, acknowledging those in the state's diaspora communities are fearful for the safety of friends and family.
"No one deserves to live under the threat of violence, and far too many innocent lives have already been lost over the last year," Multicultural Affairs Minister Ingrid Stitt said.
"The people of Lebanon have endured so much over the last decade, they should not have to endure the threat of further war."
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