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John Lee

Why banning China from buying Probuild is justified discrimination

The security reality is that different rules must apply for takeovers by Chinese firms because Beijing sees every commercial entity as a tool of the state.

John LeeForeign policy expert

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Beijing believes Treasurer Josh Frydenberg’s decision to scupper China State Construction Engineering Corp’s bid for Probuild is further evidence of overt discrimination against Chinese firms.

Coming after other moves, such as blocking Mengniu Dairy from acquiring Lion Dairy and Drinks, some Australian commentators agree. They argue that maybe blocking Huawei from our 5G was understandable. But the Morrison government was now taking too broad a view of what is strategically important and necessary to protect the national interest.

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Dr John Lee is a senior fellow at the Hudson Institute in Washington DC. From 2016-18, he was the senior adviser to the Australian foreign minister.

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    Original URL: https://www.afr.com/policy/foreign-affairs/why-banning-china-from-buying-probuild-is-justified-discrimination-20210113-p56tvz