The compiling of a giant global database by a Chinese military contractor should serve as a wake-up call for all Australians, according to a member of parliament's powerful intelligence committee, as Beijing has shown the "intent and capability" to weaponise the information.

As a member of the British parliament warned of China exporting its surveillance state to the world, Australian politicians reacted with a mix of concern and alarm after the database was revealed by The Australian Financial Review on Monday.