PM announces tough new measures to stop foreigners buying our land and assets

Foreign investment laws in Australia will be completely overhauled as part of tough new rules to protect the country’s national security.

The federal government’s zero-dollar approval threshold will mean all foreign bids for companies from large telecommunications companies to small defence providers will be vetted by the Foreign Investment Review Board. 

The treasury will also have the power to force a sale or impose conditions on foreign acquisition of Australian assets even after they have been sold.

Previously the treasury could only block foreign purchases of Australian assets which exceeded a takeover threshold of $1.2billion.

It follows a series of recent controversial takeovers by Chinese-owned companies – including the lease of the Port of Darwin to Chinese Communist Party-linked Landbridge Group in November 2015.

Foreign investment laws in Australia will be completely overhauled as part of tough new rules to protect the country’s national security. Treasurer Josh Frydenberg has declared there will be a zero dollar threshold for all proposed foreign investments of an Australian business or business entity

The controversial deal was called into question by US President Barack Obama at the time, leading former deputy secretary of state Richard Armitage to say Australia had ‘blindsided’ its ally.

Government sources have claimed the agreement with the group’s subsidiary Landbridge Australia would not have been approved had the FIRB’s rules been in place, The Australian reported.

‘Through the introduction of a new national security test, stronger enforcement powers and enhanced compliance obligations, we will ensure that Australia can continue to benefit from foreign investment while safeguarding our national interest,’ Mr Frydenberg said.

It comes as Australia strengthens ties with India as relations with China, it’s largest trading power, continues to sour.

Prime Minister Scott Morrison and his Indian counterpart Narendra Modi signed off a new agreement in a virtual summit on Thursday.

It aims to boost economic trade between the two countries, build closer partnerships around science and technology and strengthen defence cooperation.

The Comprehensive Strategic Partnership comes as Chinese forces become more aggressive in the Indo-Pacific region, as well as slapping huge tariffs on Australian imports.

Prime Minister Scott Morrison (left) and his Indian counterpart Narendra Modi (right) signed off on a new Comprehensive Strategic Partnership in a virtual summit on Thursday

The agreement comes as Chinese forces become more aggressive in the Indo-Pacific region (pictured, Chinese People’s Liberation Army soldiers wearing face masks on May 25)

With Australia and India both seeking to push back against China’s encroaching presence, Mr Morrison said ‘trusted partners’ must work together.

‘It is time for our relationship to go broader and deeper,’ he said on Thursday.

‘In a time like this we want to deal very much with friends and trusted partners. 

‘And this is a partnership which has stood the test, time and again, and is during the course of this current crisis.

‘We share a vision for open, free, rules-based, multilateral systems in our region.

‘Whether that is in the health area or it is in trade or other places. We engage in those as confident but sovereign nations.’

While Australia has faced a backlash from Beijing over calls for an independent international inquiry into the origins of coronavirus and the actions of the Chinese Communist Party, its relations with India have also eroded dramatically.

The two countries share the world’s longest land border, with China also being one of India’s biggest trading partner.

But in the past few months month tensions over disputed territory in the Himalayan Sikkim region once again flared up resulting in a mass buildup of troops in the mountainous area.

In May, China announced a 80.5 per cent levy on barley exports, after weeks of threatening to boycott Australian industries. 

Australia sends between half and two-thirds of all its barley to China, making the tariff decision a massive blow to the $600 million a year industry. 

India is Australia’s eighth-largest trading partner and fifth-largest export market, according to the Department of Foreign Affairs and Trade.

Australian Prime Minister Scott Morrison (pictured) speaks to Indian Prime Minister Narendra Modi during the 2020 Virtual Leaders Summit

Two-way goods and services trade between India and Australia totalled $30.3 billion in the 2019 financial year, with coal and education Australia’s main export drivers.

But under the Comprehensive Strategic Partnership, Prime Minister Modi expects those figures will increase even further.

He described the agreement as a ‘new model of India-Australia partnership and a new model of conducting business’.

‘We had an outstanding discussion, covering the entire expanse of our relationship,’ Mr Modi said.

‘With Comprehensive Strategic Partnership between India and Australia, we aspire to achieve yet new heights in our collaboration.’

Indian Prime Minister Narendra Modi (pictured) is seen on a conference screen during the 2020 Virtual Leaders Summit between Australia and India

A Chinese soldier (left) and an Indian soldier stand guard (right) are photographed together at a Chinese checkpoint at the disputed border region in the Himalayan Sikkim Valley in 2008

One of the big winners from the deal is expected to be Australian barley farmers who are looking to expand into new markets after one of their biggest buyers China slapped an 80 percent tariff on their product.  

Other areas of focus will include the internet and maritime security.

‘Australia and India are working together to promote an open, safe and secure internet, and to ensure critical tech does not pose risks to security and prosperity,’ Australian Foreigh Minister Marise Payne said.

‘(We) have also marked a major step forward in our security and defence relationship.

‘Today we signed a wide-ranging maritime declaration committing our nations to supporting the rules-based order at sea in the Indo-Pacific region.’ 

Australia has faced a backlash from Beijing over calls for an independent international inquiry into the origins of coronavirus (pictured, a Chinese soldier at Tiananmen Square on May 28)

Read more at DailyMail.co.uk