New rules for foreign takeovers

[Black Orchid]

Australia will introduce a tough new national security test for foreign takeovers that is set to inflame relations with China.

The decision follows a dramatic increase in the number of foreign investment bids probed by Australia’s spy agency ASIO, over fears that China was spying on sensitive health data.

After weeks of increasingly shrill threats from China to slap new tariffs on Australian exports, the Morrison government will outline new powers to force foreign companies to sell their assets if they pose a national security threat.

But the new laws will not be retrospective, and as a result will not empower the Morrison Government or future governments to take action over China’s controversial control of key Australian infrastructure, including the Darwin Ports.

The crackdown follows an indefinite restriction slapped on foreign investment bids in March, after several Chinese-owned companies in Australia were linked with exporting tonnes of medical supplies and shipping them back to China.

These temporary measures to the foreign investment thresholds will remain in place for the duration of the coronavirus crisis and until the new proposals are legislated.

But the Morrison government insisted the new reforms, which will include extraordinary new powers for the Treasurer to force foreign companies to divest their assets, do not relate to the coronavirus pandemic.

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“It is vital that the government have the ability to call in an investment before, during or after acquisition for review if it raises national security concerns.”

The reforms follow a power struggle within the public service between the “two tribes” of the public service mandarins in Treasury and the Department of Foreign Affairs, who are regarded as pro-foreign investment, versus the national security agencies that have grown increasingly concerned over Chinese foreign influence and investments in Australia.

More here ... https://www.news.com.au/finance/economy ... 3ae8f667ee

It's a start but it's not enough. Darwin Port and other strategic assets need to be taken back from the Chinese.

[Juliar]

A bit of saber rattling.

ScoMo doesn't want to be seen to meekly retreat before the Chinese saber rattling.

ScoMo is recognizing how dangerous any Chinese intrusion into Australia really is. Hence the concern over Dangerous Dan in Victoria rushing into the clutches of China. Obviously China would very much like to have control over our iron ore and coal and uranium resources and gas.

The barley tariff is more likely a result of lower consumption of beer in China due to the increasing number of very poor people there and so China is just being opportunist and saying it is because of Australia supporting the US inquiry into the release of the virus by China.

China is happy to keep buying iron ore and coal to meet their industrial needs.

[Black Orchid]

I don't really care how many sabres China rattles we need to cut ties with them.

When everything settles down after the pandemic (which China started) there will be plenty of potential new trade partners Australia can deal with.

Things might be hard for awhile but ultimately it will be much more in our favour.

Leaving China unchecked on their path to control will ultimately lead to WW3.

[Juliar]

ScoMo, trained in the battle field of Advertising, is just as devious and cunning as China and straight away seeks to set up exports to the gigantic over population of India. And that is just the start.

Poor old AnAl, trained in Union Brown Nosing, would not know where to start. Probably would say it was caused by the Greenies' ludicrous Climate Change SCAM.



Amid China tensions, Australia signs comprehensive strategic partnership with India
Thursday, June 4, 2020.UPDATED 14 HOURS AGO


Australian Prime Minister Scott Morrison speaks to Indian Prime Minister Narendra Modi during the 2020 Virtual Leaders Summit Source: AAP

The new comprehensive strategic partnership is Australia's fourth, following agreements with China, Singapore and Indonesia.

Australia and India have upgraded their diplomatic relationship during a virtual summit of their leaders.

The countries now share a comprehensive strategic partnership, underpinned by a raft of new agreements to co-operate on research, cyber, infrastructure, trade, education, logistics, defence science, and Indo-Pacific maritime issues.

It comes as both countries attempt to counter rising Chinese influence in the Pacific, and amid Australia's stoush with China over an investigation into the origins of coronavirus and a decision by Beijing to impose an 80 per cent tariff on Australian barley.

Prime Minister Scott Morrison says stepping up the relationship with India would build trust even further between the nations.

"In a time like this, we want to deal very much with friends and trusted partners, and this is a partnership which has stood the test time and again," he told his Indian counterpart Narendra Modi via videolink on Thursday.


A picture of Australian Prime Minister Scott Morrison (left) and Indian Prime Minister Narendra Modi is displayed on a conference screen
AAP

"We share a vision for open, free, rules-based multilateral systems in our region, whether that's in the health area or it's in trade or in other places."

He also joked about the personal relationship between the leaders, built via social media exchanges about curries.

"I wish I could be there for what has become the famous Modi hug and to be able to share my samosas," he said.

"Next time, it will have to be the Gujarati kashti, which I know is a keen favourite of yours that you've mentioned to me before. I'll try that out in the kitchen before next time we meet in person."

As Morrison meets Modi, Australian exporters hope to increase trade with India.
The only other comprehensive strategic partnerships Australia has are with China, Indonesia and Singapore.

A trade deal between the two countries has been stalled for several years.

Mr Morrison noted the trade and investment flows were not where he or Mr Modi would like them to be but he hoped they would now grow faster.

India is Australia's eighth-largest trading partner and fifth-largest export market, due largely to coal and education exports.

Mr Morrison was to have travelled to India in January but postponed the trip to deal with the bushfires, then the coronavirus pandemic halted international movements.

https://www.sbs.com.au/news/amid-china- ... with-india

[Black Orchid]

To give AnAl his due I think he is pretty much on board with ScoMo. He doesn't toe the party/union like like Shorten.