THE CHINA PROBLEM
Communist China is Australia’s largest import and export market. They use this market dominance to threaten and coerce Australia on foreign policy and other matters. We must move away from our dependence on China toward diversified global supply chains.
Communist China is Australia’s largest foreign investor. They use their investments in Australia to guarantee a supply to China, also off-shoring both profits and tax. Government-owned businesses also do the bidding of the Chinese Communist Party in Australia.
Communist China has positioned itself as the dominant superpower opposing western values, which Australia holds dear. They use economic engagement to pursue Chinese Communist Party aims in other countries and to turn independent nations into vassal states.
320+ MAJOR PURCHASES
In the past 40 years, more than 320 major purchases of shares or takeovers of Australian companies have been made by Chinese government-owned companies.
$97B SOLD TO CHINA
In the past 15 years, Communist China has bought $97 billion worth of Australian industry, including gas, shipping, mining, coal, steel, oil, banking and property.
9M HA OF FARMLAND
In two years, Communist China’s ownership of agricultural land almost quadrupled. Communist China owns more than 9 million hectares of prime Australian land.
732GL OF OUR WATER
China is the largest foreign owner of Australian water entitlements, with a holding of 1.9% of Australia’s total water market (2018), equating to 732 gigalitres (732 billion litres).
THREATS TO OUR ECONOMY
In January 2018, the Chinese Communist Party’s Global Times warned that Australia’s “interference” in the South China Sea may prompt China to “adopt strong countermeasures which will seriously impact Australian economic development”.
In June 2018, the Global Times warned Australia that Communist China’s investors could withdraw finance for Australian infrastructure projects.
In 2018, Australian beef and wine exports to Communist China were delayed in their clearance, likely as a result of the political tensions.
In 2019, Australian coal was being delayed at Communist China’s ports, and some suggested this was aimed at chastening Australia.
In April 2020, Communist China’s Ambassador mooted a boycott of Australian exports which our Foreign Minister Marise Payne said was “economic coercion”. He also flagged a boycott of Australian universities, saying, “People would think, why should we go to such a country that is not friendly to China?”
In April 2018, Communist China’s Ambassador warned against “negative remarks” about China, saying trade ties could be damaged if the situation was not repaired.
In April 2020, following calls by Australia for an independent review into the origins of COVID-19, Communist China’s state media outlet, The People’s Daily, directly criticised Prime Minister Scott Morrison, saying, “The deeply troubled Morrison government is anxious to find an outlet for the domestic public’s anger. … They are using an old trick to try and blame China. … Australia is trying to please the United States and be a bully in the region.”
In May 2020, reports surfaced that China will slap tariffs of up to 80% on Australian barley, following calls by Australia for an independent review into the origins of COVID-19.
In May 2020, Communist China suspended red meat exports from major Australian abattoirs which make up about 35% of the Australian beef export market.