China has reacted angrily to Australia’s decision to block deals related to China’s so-called New Silk Road. China’s Foreign Ministry accused the Australian government of having a “Cold War mindset and ideological biases”.
The government vetoed two agreements between the state of Victoria and China. Prime Minister Scott Morrison says he does not want local or regional governments to make deals that are at odds with national foreign policy.
The government also blocked deals with parties in Iran and Syria. In the latter case, it concerned a 1999 agreement to encourage scientific cooperation. According to the government, Australia has a tense relationship with China, but the measures were not directed against a specific country.
Beijing calls that explanation unbelievable. “The Australians looked at over a thousand deals and then decided to cancel only four, two of which were deals with China,” said a spokesman for the Chinese ministry.
The deals with Victoria mainly related to future cooperation. The state was not yet obliged to participate in specific projects related to the New Silk Road. This Chinese development strategy revolves around the construction of infrastructure in countries to promote mutual trade.
Still, the Australian government’s veto falls badly in Beijing. The State Department spokesman has called on Australia to “immediately correct the mistakes and change course”. He warned that the already excellent relationship could deteriorate even further.
