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EconomyGlobal Economy

China-Australian relations: parliament panel calls for rethink over Port of Darwin lease

  • Chinese company Landbridge was given a 99-year lease in 2015, but a parliamentary report suggested it should be reviewed under a new national security law
  • Relations between Beijing and Canberra have come under increasing strain over the past year

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A Chinese firm was given a 99-year lease on the port. Photo: Handout
Su-Lin Tan

An Australian parliamentary inquiry has called on the government to consider revoking the 99-year lease of the Port of Darwin to a Chinese company citing a new foreign relations law.

The decision to lease the port in 2015 caused controversy because it is also used as a base by the Australian and United States armed forces.

A report by parliament’s joint standing committee on trade and investment growth recommended that the Australian government should investigate whether the lease contravenes the new Foreign Relations Act.

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The recommendation comes at a time when relations between the two countries have sunk to new lows over the past year after Canberra angered Beijing with a call last April for an investigation into the origins of the Covid-19 pandemic while Australian exports have been hit by a number of restrictions.

The Foreign Relations Act, passed in December, allows the federal government to block international agreements made by universities, councils and state governments on national security grounds without the prospect of appeal.

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