China’s Premier Li Qiang inspects a hydrogen refuelling truck as Executive Chairman of Fortescue Andrew Forrest (C) looks on at the Fortescue Hazelmere research and development facility in Hazelmere, a suburb of Perth on June 18, 2024.
| Photo Credit: AFP

Chinese Premier Li Qiang has ended his Australian tour on June 18 in the west coast city of Perth where he has focused on China’s investment in critical minerals, clean energy and business links.

Perth is the capital of Western Australia State, which provided 39% of the world’s iron ore last year. Iron ore is one of Australia’s most lucrative exports. Analysts say the commodity was spared the type of trade bans that Beijing imposed on other Australian exports as bilateral relations soured three years ago because the steel-making ingredient was crucial to Chinese industrial growth.

Last week, Mr. Li became the first Chinese premier to visit New Zealand then Australia in seven years. He left Perth late on June 18 for Malaysia, where he’ll be China’s first premier to visit since 2015.

While in Perth, China’s second-most powerful leader after President Xi Jinping inspected iron ore miner Fortescue’s clean energy research facility.

Fortescue’s chairman Andrew Forrest said Mr.Li was interested in the company’s plans to produce iron ore without carbon emissions and potentially “green iron.” “I think China chose us because it’s not just the best technology to go green in Australia, it’s the best technology to go green in the world and we’ve got real examples of it in trains, ship engines, trucks,” Forrest told The Associated Press before the visit.

The Perth facility is testing technology on hydrogen, ammonia and batter power for trains, ships, trucks and heavy mining equipment.

Focuses on Critical Minerals

Mr. Li also visited Chinese-controlled Tianqi Lithium Energy Australia’s processing plant south of Perth to underscore China’s interest in investing in critical minerals. The plant produces battery-grade lithium hydroxide for electric vehicles.

Australia shares U.S. concerns over China’s global dominance in critical minerals and control over supply chains in the renewable energy sector.

Citing Australia’s national interests, Treasurer Jim Chalmers recently ordered five Chinese-linked companies to divest their shares in the rare earth mining company Northern Minerals.

Prime Minister Anthony Albanese wrote in an opinion piece published in Perth’s main newspaper, The West Australian, on June 18, that his government was acting to ensure foreign investment “continues to serve our national interests.”

“This includes reforming the foreign investment framework so that it’s more efficient, more transparent and more effective at managing risk,” Mr. Albanese wrote.

Mr. Forrest said the national risk from Chinese investment in the critical minerals sector was overstated.

“Australia should be producing all the critical minerals in the world because we’re a great mining country, so by all means let’s go in harder after critical minerals, but let’s not do it with panic because there is no reason for panic,” Mr. Forrest said.

Mr. Qiang and Mr. Albanese flew to Perth in separate planes late on June 17 from the national capital Canberra where the two leaders held an official annual meeting with senior ministers in Parliament House.

Both leaders attended a round table of business leaders in Perth representing resource companies including mining giants BHP and Rio Tinto.

Business Council of Australia chief executive Bran Black said business dialogue was essential to the bilateral relations between the two free trading partners.

“While there have been challenging times in the bilateral relationship between the two nations, I think it’s fair to say this is another positive point of progress,” Black told the meeting.

“It shows that whilst the parameters of a bilateral relationship are set by governments, they will always be sustained by the quality of the personal relationships and especially those personal relationships that subsist on a business-to-business level,” Black added.

Chinese premiers and Australian prime ministers met annually from 2013 until 2019, after which Beijing banned minister-to-minister contacts over the previous conservative government’s call for an independent investigation into the causes of and responses to the COVID-19 pandemic.

Relations had already been strained by Australian legislation that banned covert foreign interference in Australian politics and the exclusion of Chinese-owned telecommunications giant Huawei from rolling out the national 5G network due to securit

Beijing initiated a reset in relations after Mr.Anthony Albanese’s center-left Labor Party was elected in 2022.

The annual meetings resumed when Mr. Albanese visited Beijing in November last year.

Concerns over press freedom

Mr. Albanese revealed that his office had complained to the Chinese Embassy about the behavior of two officials during a media event with the two leaders after June 17th meeting.

Australia had “concerns” about two Chinese officials who stood in the way of cameras taking images of well-known Australian journalist Cheng Lei sitting with other reporters as the leaders spoke, Mr. Albanese said.

Mrs. Cheng spent more than three years in detention in China for breaking an embargo with a broadcast on a state-run TV network while she was based in Beijing. She was released last year after interventions by the Australian government and now works for Sky News Australia.

“When you look at the footage, it was a pretty clumsy attempt, frankly, by a couple of people to stand in between where the cameras were and where Mrs. Cheng Lei was sitting,” Mr. Albanese said.

“There should be no impediments to Australian journalists going about their job and we’ve made that clear to the Chinese Embassy,” Mr. Albanese added.

Chinese-born Cheng told Sky News on June 17 that the officials “went to great lengths to block me from the cameras and to flank me.” “I’m only guessing that it’s to prevent me from saying something or doing something that they think would be a bad look. But that in itself was a bad look,” Mrs. Cheng said.

The embassy did not immediately respond to a request for comment.

Mr. Li and Mr. Albanese made statements during the press event but neither took questions from the assembled journalists.

New Delhi:

 India has called for starting formal negotiations by WTO members to reform the dispute settlement body of the World Trade Organisation, as the present informal deliberations are creating hindrance for several nations to participate in the talks, an official said.

The official added that formal talks on the subject can help in arriving at some kind of consensus by the 13th ministerial conference (MC), the highest decision making body of the WTO, in Abu Dhabi in February next year.

The issue came up for discussion during a recent meeting of senior officials of WTO members in Geneva last week. Certain countries flagged their concerns on the informal system of talks.

“We have to formalise this process as soon as possible. India stated that if you want to maintain the WTO’s credibility, we need to talk on this,” the official said.

WTO’s dispute settlement body (DSB) is one of the important arms of the 164-member Geneva-based body. Besides monitoring global exports and imports related rules, it adjudicates trade disputes between the member countries.

“The US has started engaging in DSB reforms, but in an informal setting. In this setting, not all members get the opportunity to talk. There are no interpretation facilities in those informal meetings,” the official said.

Many WTO member countries have one or two delegates only in Geneva. So, they get busy in different meetings like general council and because of that, they are not able to participate in the deliberations on DSB reforms.

“So, there are some concerns. It was flagged in the break-away sessions’ meeting in Geneva recently. The sense was that as soon as possible, the negotiations should happen in a formal setting. The whole discussion should come under the Committee on DSB. At present, it is happening in an informal fashion,” the official added.

“The talks should be formalised so that all members can participate in that discussion and contribute their views. India wants the talks to happen in a formal way,” the official, who did not wish to be named, said.

Normally in the WTO, talks through a formal process involves submissions of papers on the subject for discussions among all the members.

The official, however, exuded confidence that the way the US is engaging on the subject, it looks like they will do something like coming up with some formal text for discussion on the issue.

“The developed countries are talking about peripheral reforms, but our main ask is that there should be a two-tier system,” the official said.

Trade experts too said that all the members would have to work together on this.

Hi-Tech Gears Chairman Deep Kapuria said that the US’ leadership is crucial for breaking the deadlock in WTO, which is facing multiple challenges.

“But the question is, how far is the US willing to translate this positive intent into some meaningful action, where it can work towards building consensus on WTO reform agenda and more importantly on reigniting the functioning of DSB. The US has been repeatedly blocking any proposed decision to commence the appointment of Appellate Body members,” Mr Kapuria said.

There are two main ways to settle a dispute once a complaint has been filed in the WTO – the countries find a mutually agreed solution, particularly during the phase of bilateral consultations; and through adjudication which includes ruling by a panel and if not satisfied, challenging that ruling at the appellate body.

The appellate body is the apex institution to adjudicate disputes.

Smooth functioning of the WTO’s dispute settlement mechanism hit a roadblock, when the US blocked appointments of members in the appellate body (AB). Though the AB stopped functioning from December 10, 2019, the panels are still working.

Since December 2019, over 20 appeals have been filed in the AB.

According to experts, the US wants to weaken the two-tier system of the dispute settlement mechanism and they do not intend to restore the appellate body.

The US had earlier stated that over time, the despite settlement has become synonymous with litigation, which is prolonged, expensive and contentious.

Developing countries, on the other hand, are of the strong view that a two-tier system is fundamental for the smooth functioning of the dispute settlement mechanism.

Citing the US Trade Representative Katherine Tai’s suggestions, Mr Kapuria said that the US has three specific ideas to reform DSB and that include finding appropriate alternatives to litigation.

The alternatives include conciliation, and mediation; the panels be restricted to address only those matters which are necessary to resolve the dispute and resist the urge to pontificate; and no judicial overreach so that members could exercise their power to regulate domestic policies.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

India on Monday imposed an anti-dumping duty on some Chinese steel for five years, according to a government notification.

On Sept 4, India’s steel secretary, Nagendra Nath Sinha, said New Delhi was monitoring the steel imports situation after the steel industry raised concerns over potential dumping by Chinese sellers.

During April-July, China was the second biggest steel exporter to India, after South Korea, selling 0.6 million metric tons, up 62% from the same period a year earlier.

In all, India imported 2 million metric tons of finished steel in the period, the highest since 2020 and up 23% from a year earlier.

China, the world’s top steel producer, exported mostly cold- rolled coil or sheets to India.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)