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Chinese-Australian Relations - a Perspective from Guangdong

Published 27 Jul 2016

On Monday afternoon, 18 July, a Chinese delegation came to Glover Cottages to discuss current developments in Chinese-Australian relations. They were Vice Chancellor He Chuantian of Guangdong University of Foreign Studies, Professor Zhao Longyue of Nankai University, and Dr Zhang Yi of Guangdong Institute of International Strategies. They were accompanied by Li Yan of the North American and Oceanic Affairs Department, Ministry of Foreign Affairs in Beijing, and staff from the Chinese Consulate General in Sydney.  They were received by AIIA NSW President Richard Broinowski, AIIA Councillors Jocelyn Chey AM, Michael Lee and Megan Fung, and Peter Phillips, a former strategic officer on China in the Office of National Assessments and currently a Director of the National Press Club in Canberra and member of the Australia China Business Council of Australia.

Vice Chancellor He made some general remarks about bilateral trade. China’s economy, he reassured us, remained very healthy. And bilateral trade remained complementary, although undergoing a fundamental change as the bulk of Australian exports – coal and minerals – were being replaced by other goods and services. Peter Phillips agreed – the growth of Australian exports to China of tourism, education, wine and foodstuffs were beginning to encroach on the bedrock of energy and mineral exports.

Chinese tourists in Australia

Jocelyn Chey observed that a recent delegation to Glover Cottages from Hong Kong wanted to convince us that China’s belt and road initiative could best be realized through well-connected business houses in Hong Kong. She also had a query: how exactly was Australia, to China’s south east, relevant to the belt and road initiative which concentrated on forging stronger trade links with the Middle and East and Europe to China’s west? Professor He replied that the concept was still developing and that there would be ample opportunities for Australian involvement.

He asked about economic development in northern Australia and the government’s Northern Development Plan. What opportunities were there for Chinese investment? The Australian response was to confirm that opportunities for China existed, but it should be noted that development plans were politically driven, both at State and federal levels. The Australian government, a coalition of Liberals and Nationals, had mixed views on Chinese investment. Some politicians welcomed it, others not. The successful Chinese tender to manage Darwin Harbour had raised concerns among more conservative Australians. There were also environmental concerns, especially concerning the Great Barrier Reef and Kakadu. Professor He replied that the Chinese had extensive experience in environmental protection, infrastructural development agriculture, but their top priority would be (a surprising suggestion) poverty eradication. Chinese SOEs could work together with Australian companies in developing Australia’s north. Peter Phillips suggested that they should focus on the development of a high-speed railway link in South East Australia, which he felt would be warmly welcomed by the public.

Peter Phillips suggested that Chinese officials and SOE’s needed to work harder at understanding the Australian political system, how it worked. Careful and detailed briefings and studies should be forerunners to any substantive proposals from Chinese investors in practically all areas of infrastructural development in Australia. No doubt, much of this groundwork had already been undertaken, and Australian governments would be very willing to assist in the process, but much more can and should be done.

 

Report by Richard Broinowski