Business Relationship Between China and Australia Unstable Amidst Wrong Perceptions

As Chinese business firms are under public scrutiny in Australia, a professor and scholar from Peking University, Dr. Zha Daojiong, advised its executives to put the focus on boosting business with Australians based on credentials, rather than the country of origin.

In a talk with BusinessDay Dr. Zha, who has conducted a thorough study on the perception of Chinese investing in Australia, said, “[There] seems to be an impression that there is this Australian differentiation between the colour of money. It seems to be across the board.”

Dr. Zha also downplayed some concerns saying that this was natural considering the growth in Chinese investments in the country. The Chinese has been putting millions of capital in agriculture and property investments. Dr. Zha insisted, however, that misinformation can definitely turn things around, particularly with the business relationship between China and Australia.

Meanwhile, the Gilliard government is reportedly seeking to strengthen its ties with neighbors in Asia, by encouraging investors, including the Chinese. Yet, recent business dealings have been met with setbacks, such as the intervention by the government of ChinalCo’s intent on investing in Rio Tinto. ChinalCo is a telecommunications company that once sent a bidding for contracts with National Broadband Network.

Relations between businessman Clive Palmer and his Chinese partner, who recently suffered a falling because of the Citic Pacific, a Sino Iron project, has also influenced public perception, while the Chinese takeover of Discovery Metals and Sundance Resources, has been met with apprehension.