Australia’s Victoria back in the spotlight for going it alone on belt and road agreement with China
- State Premier Daniel Andrews was publicly criticised by Australian Prime Minister Scott Morrison for signing a memorandum of understanding (MOU) in October 2018
- Local press reports also emerged last week, while the deal was also criticised by pro-democracy protests this week relating to China’s handling of Hong Kong
Eighteen months after the Australian state of Victoria signed a controversial memorandum of understanding with China supporting its Belt & Road Initiative, the four-page document is back in the spotlight.
State Premier Daniel Andrews was publicly criticised by Australian Prime Minister Scott Morrison when he signed the memorandum of understanding (MOU) in support of the initiative in October 2018.
It is the only state in Australia to sign a MOU, and Andrews has been accused of selling out Australia’s national interests for Victoria’s own economic pursuits with China as well as for not aligning with the federal government’s decision not to support the initiative over strategic concerns.
Some of Australia’s neighbours, including New Zealand, have supported the initiative, and the MOU has generated more investment and trade interests for Victoria, according to the Australian business community, although they insist there was already plenty of interest in China's plan to grow global trade both from local and Chinese enterprises across all states.
More of Andrews’ alleged disobedience of the federal government’s warnings were brought to light last week in the local press when The Sydney Morning Herald and The Age revealed the premier blindsided the federal government over the signing, ignored warnings and showed them only parts of the final MOU.
Andrews said he made clear the MOU was for trade reasons in the hope that further engagement with China would create more jobs and secure Victoria’s economic longevity, a move the state was allowed to make on its own.