China is treating Australia like its “whipping boy,” as well as punishing our close ties with the US, and calling for an investigation into the pandemic, scientists say.
Scientists say China has been sidelined by a number of key decisions by the Australian government, including Prime Minister Scott Morrison, who in May called for an investigation into the causes of the coronavirus pandemic.
The Chinese telecommunications giant Huawei, which is being prevented from expanding the Australian 5G network due to security concerns and foreign interference laws, is also a factor.
CHINAS ‚WHIPPING BOY‘
Professor James Curran said the relationship between the two countries had been reduced to “purely commercial transactions” and that it would take a long time for the wounds to heal.
The researcher at the Institute of History at the University of Sydney said China wanted to treat Australia like a “whipping boy” because it got too close to the US.
“I don’t think there’s much we can do about it. I think they are trying to set an example for us, ”Professor Curran told NCA NewsWire.
“It’s hard to see where the breaker is coming from.”
He said the way the Turnbull and Morrison governments communicated key decisions against China or Chinese companies or interests caused the damage.
“Australia has taken legitimate and necessary steps to counter what it sees as Chinese political interference and it has criticized China for the pandemic and denied Huawei access to the 5G network,” he said.
“All of these measures are defensible, but why we got under China’s skin is because the diplomacy we used was clumsy. There was a lack of malice. ”
He said the broken political relationship between the countries is now on track to cause great pain for the exporting industries.
However, China has yet to strike the raw materials sector as it relies heavily on a metal.
“I think it’s worth remembering that they haven’t turned off the resource tap yet,” he said.
“They didn’t try to hit us with iron ore. They still need that to keep growing. ”
AUSTRALIA MUST BE PAIN
The move is said to be painful, but minimal, and up to a point that makes the Australian government aware of its diplomatic ties with the US, says Hans Hendrischke, a professor at Sydney University’s Business School.
He said China wanted to send a political message with the export bans, but not disrupt trade across the board.
“The sanctions are not really a global ban. They are trying to reach vulnerabilities and forbid any public reaction to what they see as provocation, ”Professor Hendrischke told NCA NewsWire.
“It is a way to get public attention and put pressure on the Australian government to come to a political solution.”
Mr Morrison has been accused of “insulting the Chinese” by asking for an investigation into the origins of the coronavirus and proposed a model similar to that of weapons inspectors who can enter a country unsolicited to investigate.
Professor Hendrischke said China does not want to affect stable relations with Australia and all trade, but warned that we may not have seen the end of its retaliation.
“It’s a policy move that makes it unpredictable because it could hit another industry and move on,” he said.
“I read it to mean that they want to separate the economic effects where they don’t want to cause a lot of damage, but rather have political effects.
“You mentioned the COVID investigation … and you don’t want Australia to work too closely with the States or be a flag bearer for the United States.”
CHEAP BOOZE
Barley tariffs, bans on beef, restrictions on coal and an investigation into wine aimed at taxing Australian producers are among a number of trading tactics Beijing is using this year.
With barley on China’s hit list, grain farmers will have to look for alternative markets or revise their contracts with Chinese buyers, says Professor Brent Kaiser.
The acting director of the Sydney Institute of Agriculture said the effects of the bans could be felt for years to come, but lead to cheaper alcohol in the short term.
“It’s going to release a lot of barley and prices will come down, and I would imagine there would be a lot more wine for sale,” he said.
“I would imagine that the brewing industry would benefit from this additional barley.”
He said that barley can be stored for up to two years under the right conditions, but the real message was how each country manages its trade deals.
“Australian producers and exporters will reassess their long-term investments in China and look for ways where products can be sold elsewhere or where existing production can be modified to serve more reliable markets,” he said.
“Australia has a robust, agile and dynamic agricultural industry that is very familiar with the quality and reliability of its products – this is undisputed worldwide.
“Instability with key trading partners can give others the opportunity to tap into our markets or, in the case of commodities, explore options for greater value creation in Australia.”
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