China Makes Gesture to Improve Relations with Australia After Regime Change

Chinese Ambassador to Australia Visits Australia's Top 3 Mining Companies Including BHP... "Cooperation Benefits Both Countries"
Interpreted as Indicating Easing of Raw Material Import Restrictions Like Iron Ore Amid Rising International Commodity Prices

[Asia Economy Beijing=Special Correspondent Jo Young-shin] The Chinese Ambassador to Australia visited the three major Australian mining companies including Rio Tinto, according to Chinese state media. In 2020, when Australia identified Wuhan, China as the origin of COVID-19, China banned imports of Australian iron ore, coal, and agricultural products. Analysts interpret this visit as a subtle expression of China's intention to improve relations with Australia following the change of government in Australia.

Anthony Albanese, Australia's New Prime Minister
Photo by Yonhap News

According to Chinese media such as Global Times and People.cn on the 13th, Ambassador Xiao Qian visited Rio Tinto, BHP Group, and Fortescue Metals Group to discuss economic cooperation plans between the two countries.

At a meeting with Rio Tinto's top executives including Chairman Dominic Barton, Ambassador Xiao said, "Since China's reform and opening up, China-Australia relations have developed dramatically," adding, "Trade cooperation between China and Australia benefits the peoples of both countries." He further stated, "China will continue to promote openness, and the potential and prospects for China-Australia relations are bright."

Global Times reported that despite recent tensions between the two countries, trade between China and Australia last year reached 265.88 billion Australian dollars (approximately 240 trillion Korean won), which is more than 1,350 times the amount at the time of diplomatic relations establishment in 1972. It also emphasized that since 2009, China has been Australia's number one trading partner, and added that China is Australia's largest export market for iron ore.

One of the world's largest mining companies, BHP Group, also expressed hope to resume mineral trade including iron ore with China.

Edgar Basto, BHP's Chief Executive Officer (CEO) of Minerals, said, "China is a major export market for Australian iron ore," and "BHP will be a key supplier of iron ore to China."

Ambassador Xiao also emphasized expanding cooperation in the new energy sector between the two countries during his visit to Fortescue Metals Group's technology research institute.

Photo by Huanqiu Shibao Capture

Earlier, Ambassador Xiao met with Mark McGowan, Premier of Western Australia, saying, "Since the establishment of diplomatic relations, China and Australia have maintained close cooperation in various fields," and "Practical cooperation between China and Western Australia will bring better benefits to the peoples of both countries."

Premier McGowan responded, "The Western Australian government will continue to support mutually beneficial cooperation with China and promote friendly exchanges between the two countries."

Ambassador Xiao's visit to Australia's three major mining companies is interpreted as a sign of China's intention to improve relations following the election of the center-left Australian Labor Party government. Considering that Australia's new Prime Minister Anthony Albanese is somewhat more conciliatory toward China compared to former Prime Minister Scott Morrison (Liberal Party), it is seen that China has made the first gesture of reconciliation.

Relations between China and Australia deteriorated in 2020. The Australian government, along with former U.S. President Donald Trump, pressured China by investigating the origin of COVID-19. In response, China retaliated economically by imposing tariffs up to 218% on Australian agricultural products such as beef, barley, and wine, and also banned imports of Australia's key export items such as iron ore and coal.

Some interpret that China is seeking to improve relations with Australia due to the surge in international raw material prices caused by Russia's invasion of Ukraine. Given the likelihood of prolonged increases in international raw material prices, it is persuasive that China sent a friendly message to Australia through the Chinese Ambassador to Australia as part of securing raw materials.

This content was produced with the assistance of AI translation services.