Last weekend Little Kevin met in secret with the #5 in the Chinese autocracy, the Minister for Propaganda. Coincidentally a few days later the Competition Comm. green light Chinalco to go forward in their plans to buy Rio Tinto. Given that China will likely be a major lender in Kev's deficit bonanza can we expect our government to be free to make the correct decision?

Should Australia allow foreign governments, particularly undemocratic governments to own or control Australian assets?

Perhaps China will do a deal, Rudd and Fitzgibbon for Holt?

Johnny Howard tried to make Australia the 51 st stae for the USA . Rudd is making Australia the 24 province. The other problem we have is Rudd is an internationlist and given his way Australi will have a four tier of government soon with an EU style regional body overarching the federal parliament.

When is Australia going to relise that to build its future it cannot sell all its assets and jobs overseas? Where is Bismark when we need him ? at least he had a vision for germany - Pax Germanicus. - German jobs German companies becoming the factory of Europe. True it lead eventually to some dark place for germany but he had a vision mapped out for german industry for 100 years. Good grief ! we cannot get beyond the next election

It's an interesting question.

>>Should Australia allow foreign governments, particularly undemocratic governments to own or control Australian assets?<<

If we were to forbid such investments, we should be prepared at the same time to instruct our own companies to refrain from investment in overseas businesses.

Much as any decision to increase the cost of imports through tariff barriers would attract retaliation against our exports.

Pretending we can prosper by closing our borders to Johnnie Foreigner is an illusion.

Xenophobic? maybe but cute too.
Right now Rudd is the only runner in the politics race.
Turnbull can muster no more than 20%! less than half the number who vote for his party.
World bank to president of the USA are in agreement with him.
Australia is too, yet we doubt his right to talk to China?
Remember the first to visit communist China was an Australian prime minister, followed not lead by an American president.
I suspect Johny short bottom ,along with his boss Mrs short bottom had many more such meetings with a far more dangerous leader, Bush.

Palimpsest
Apart from Pericles being right.
The Chinese are buying 20% of a specific operation. They will not have say in the company’s export.
The ACCC see no conflict of interests, neither does the treasury or the Dept of foreign affairs.Are you suggesting a conspiracy? (groan)

Apart from the national strategic question which by the way a majority voted the Labor party in to deal with issues like this it seems to me your editorializing is at best ill-informed and churlish at worst.

Perhaps a little more reading an a modicum of objectivity might help.

Examinator/Pericles, I am not against foreign investment, I am questioning whether undemocratic (and maybe suppresive) regimes ought to be allowed to own Australian assets. Given that the state owned Chinalco is Rios largest customer and would become it's largest shareholder they would undoubdedly weild power. Do your own research examinator on this subject.

A possible outcome of a denial by our government might well be that China is less willing to fund our deficit; if I were to make a comparable claim of churlishness of recent US govts. no-one would bat an eyelid, or that China might respond in kind to our non-government owned companies.

It's easy to forget that Chinese citizens do not have the luxury of openly whacking their leaders on sites like this, and that it's only 20 years since the military murdered a fledgling pro-democracy movement. I'm quite fond of the idea of democracy myself.

Belly, it's not about Little Kevins right to talk to the Chinese but about the secretiveness of the meeting. Our press were kept in the dark and were scooped by the 'free' press from China.

And I seem to remember that Nixon beat Whitlam as PM to China by a mile. Gough might have gone earlier but not as PM. I could be wrong on this.

Gough visited China in 1971 as opposition leader, Nixon visited China in 1972 as President

What is the foreign ownership record
in Australia?

How many foreign companies and governments
generate money out of Australia every year?

How many Australian companies generate money
offshore - either by exports or foreign-owned
operations?

It would be interesting to compare the numbers.

>>Should Australia allow foreign governments, particularly undemocratic governments to own or control Australian assets?<<

If we were to forbid such investments, we should be prepared at the same time to instruct our own companies to refrain from investment in overseas businesses.

Just a couple of points:
The point is that it's a government controlled company, and comparing it to our private companies is apples and oranges.
Plus being a large customer and a major shareholder allows for transfer pricing, to our detriment, with lots of zeros.

I remain amused by the whole thing, and by the idea we did not open the door to China for Nixon.
How many private meetings has American leader had, or English?
Did we know of every meeting John Howard had? should we?
No not in my view.
China then who do we not trade and talk to?
Once maybe now, Indonesia,so very many country's could be on that list.
We trade more each day with China, we prosper in doing so, I see the same diplomacy here that every country use,s in its own interests.
The growing fighting shadows, inferring we should fear China and our connections ignores history, trade is a help in opening such country's up.
Contact is too.

"Should Australia allow foreign governments, particularly undemocratic governments to own or control Australian assets?"

Why not we let undemocratic corporations own them?

Maximillion is correct in the points he makes. Thanks for the clarity. My question is about the advisability of allowing autocratic regimes to own Australian assets. The same question would apply to any foreign government or it's instruments owning Oz assets. Very different than foreign private investment in my mind.

My other question is that given our ongoing current account deficits and the newly created need to borrow many billions from overseas (and the fact that China is flush) might our freedom of choice and decision making be compromised?

Belly, why did Rudd allow the Chinese press to cover the visit but not our own free press? Spin that one cobber.

Spin? I think you are doing a good job of that.
Rudd would be far from alone in past leaders in having such talks.
his interest in China is in our interests.
I am comfortable with his action, unafraid he or Labor is hiding anything we need to know from us.