Advertisement

China’s Belt and Road Initiative faces fresh challenge from Australian laws on investment deals

  • Legislation passed by Canberra could derail projects linked to China’s international connectivity scheme
  • China’s foreign ministry says it hopes Australia will behave in an ‘objective and rational manner’

Reading Time:3 minutes
Why you can trust SCMP
99+
Ties between China and Australia are becoming increasingly frosty. Photo: Getty Images
China has urged Australia not to discriminate against its Belt and Road Initiative, as a new set of laws puts Beijing’s agreements with local governments in Canberra’s cross hairs.
Advertisement

Frigid ties between the two countries slipped lower this week with the passage of laws on Tuesday that could allow Australia’s foreign ministry to scrap agreements made between local authorities and foreign states.

A 2018 memorandum of understanding between the Victoria state government and Beijing is likely to be the first to hit the chopping block when the laws come into effect next year.

China’s foreign ministry on Wednesday sought to defend its global infrastructure and development plan and the deal signed with Victoria.

Advertisement
Advertisement