NATIONAL AFFAIRS: by Patrick J. ByrneNews Weekly
Concerns over Chinese investment in WA mining
, October 11, 2008
The federal government needs to set new rules for Chinese investment in Australia's resources sector, WA's premier has warned. Patrick J. Byrne reports.WA's new Liberal Premier, Colin Barnett, has warned that Australia risks losing control of its economic development unless it sets new rules for investment from China.
"Australia could be overwhelmed by the weight of Chinese investment," Mr Barnett told The Australian
(September 30), just prior to the Council of Australian Governments (COAG) meeting in Perth last week.
"I am not trying to discourage Chinese investment. Chinese investment is welcome. But I believe Australia as a whole needs to agree on the rules of the game with this Chinese demand.
"I think we do need to make sure we do keep it manageable, that we don't lose control of our own economic development, in other words."
Mr Barnett said there was a major difference between how China is investing now and how Japan was investing in Western Australia's resources sector decades ago.
"What's repeatedly emerging is that China has taken a very aggressive role in the share market which is quite different to what happened with Japan," he said.- Patrick J. Byrne