The BGA Australia Team, led by Managing Director Michael “Mick” McNeill, wrote an update to clients on Chinese Premier Li Qiang’s visit to Australia.

Context

  • Chinese Premier Li Qiang’s visit to Australia from June 15-18 symbolized the Anthony Albanese Labor government’s “stabilization” of Australia’s relationship with its most important trading partner, China. While there was little in the way of major announcements, the visit took on great political importance in the context of the challenging geostrategic environment and criticism from China “hawks” that the Labor government is not taking a strong stand against Chinese belligerence and intimidation.
  • Prime Minister Albanese and Li attended the China-Australia CEO Roundtable meeting in Perth, Western Australia, June 18. Chinese investment in Australia’s critical minerals sector is an issue that looms as a test of the Australia-China relationship. The government is moving to strengthen oversight of higher-risk foreign investment proposals in areas such as critical minerals, particularly related to clean energy and defense supply chains.

Significance

  • In his opening remarks at the Annual Leaders’ Meeting at Parliament House in Canberra, Albanese said Australia supported a region “that is peaceful, stable and prosperous, where countries respect sovereignty and abide by international laws and obligations.” He said, “There is no fixed model for a stabilized relationship.” Li noted that it was the 10th anniversary of Chinese President Xi Jinping’s state visit to Australia and the Australia-China Comprehensive Strategic Partnership. “How our relations evolved over the past 10 years has provided us with a lot of valuable experience. And the most important of which is that we should uphold mutual respect, seek common grounds while sharing differences and promote mutually beneficial cooperation.”
  • Li and Albanese participated in the China-Australia CEO Roundtable meeting in Perth June 18. The roundtable was co-chaired by Bran Black, chief executive of the Business Council of Australia, and Zhao Huan, chairman of the China Development Bank. Black noted the roundtable would focus on how businesses can capitalize on the energy transition, particularly in the areas of green metals and clean energy technologies. Albanese said, “International partnerships and the inflow of foreign investment will continue to be crucial for Australia as we modernize and diversify our economy, even as we take steps to secure our economic sovereignty and build resilience in sectors that are vital to our national interest.”

Implications

  • Key takeaways from the Australia-China annual leaders’ meeting joint statement included confirmation of plans to resume the strategic economic dialogue this year; signature of memorandums of understanding on education and research, climate change, enhancing the Implementation of China-Australia free trade agreement and cultural exchanges; and an agreement to convene an initial session of a bilateral maritime affairs dialogue.
  • Companies can expect China-Australia relations to be “back on track,” according to Chinese Premier Li. Speaking on the reduction in trade impediments, Australian Trade Minister Don Farrell, said, “We’ve managed to get all of these things without kowtowing to the Chinese government.”

We will continue to keep you updated on developments in Australia as they occur. If you have any comments or questions, please contact BGA Australia Managing Director Michael “Mick” McNeill at mmcneill@bowergroupasia.com.

Best regards,

BGA Australia Team

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Managing Director

Mick is a highly-experienced government relations expert and trusted advisor on consensus building, conflict resolution and legislative developments. He has played an integral role in helping parties achieve desired outcomes in areas of national security, health policy, foreign policy and reputational crisis management, as well as media relations, communications campaigns, immigration and human rights. Mick has two decades’ experience working with government as a media analyst, political adviser and NGO advocacy manager. After a stint serving as an adviser to an Australian senator, Mick took on the role of the locally engaged senior political specialist at the U.S. Embassy in ... Read More