Fed: Chinese treated no different on investment: Ferguson

AAP General News (Australia)
04-27-2008
Fed: Chinese treated no different on investment: Ferguson

CANBERRA, April 27 AAP - No Chinese companies have been told to withdraw investment
applications to buy into Australian resources companies, the federal government says.

Resources Minister Martin Ferguson today said that while a rigorous national interest
test would be applied to such applications, state-owned Chinese firms were not being treated
differently.

The Australian newspaper reported last week that the government was discreetly pressuring
the Chinese at high levels to back off and resubmit applications at a later date.

"There's been no suggestion that China or any other investor should back off," Mr Ferguson
told ABC TV.

"As China makes investments, some will be rejected, some will be changed to meet our
national interest test.

"That's no different to previous investments by companies out of key markets such as
Japan and Korea."

The minister said Australia is open to investment and China is entitled to do so in
the same way as companies from North America, Europe and elsewhere.

"But we will rigorously apply the national interest test to make sure that our resources
are developed and sold internationally according to normal market principles."

Asked if the government was considering changes to foreign investment rules given the
nature of China's state-owned investors, Mr Fergus said: "The world generally, not only
about potential Chinese investments but also sovereign wealth funds generally, is having
a close look at these issues".

AAP pw/jt/cdh

KEYWORD: TRADE CHINA FERGUSON

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