‘China clause’ could torpedo historic NRL deal with PNG

Among all the smiles and handshakes at the landmark PNG deal with the NRL came chilling news of a potential “China clause”.

The NRL’s landmark $600 million deal with the Australian government for a Papua New Guinea team to join the competition could reportedly be blown up at any time over China.

Australian Prime Minister Anthony Albanese and PNG Prime Minister James Marape announced the historic 10-year agreement at the Commonwealth Parliamentary Offices in Sydney on Thursday.

But the deal comes with a “China-related” clause which would allow the Australian government to veto the deal at any time, as reported by CODE Sports.

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The CODE report states that the deal could be immediately canned if PNG commits to a deal with China, due to concerns over security and policing in the region.

ARL Chairman Peter V’landys wouldn’t expand on any potential clause, but said all parties were confident the agreed terms would be met for the term of the deal.

“We are very confident with the agreement and confident it will go its 10 years,” V’landys said.

Australian PM Anthony Albanese and PNG counterpart James Marape all smiles on Thursday. (Photo by DAVID GRAY / AFP)

“Like any other agreement, there are rights to certain parties. I have no concern whatsoever.

“One of the clauses in the contract is that I need to keep it confidential, so I better honour that so I don’t breach it on the first day.”

The PNG team is expected to join the NRL in the 2028 season in a landmark expansion move for the competition, which currently fields clubs in Australia and New Zealand.

The move has divided fans and commentators, although league fan Albanese was spruiking the deal on Thursday.

“Rugby league is PNG’s national sport and PNG deserved a national team,” he said.

“The new team will belong to the people of PNG. It will call Port Moresby home.

“It will have millions of proud fans barracking for it for day one. Not just in PNG but I suspect many Australians will adopt the PNG team.

“The partnership will support young people in the Pacific … Fiji, Tonga and Samoa.”

The NRL deal reportedly features a clause related to China and its President Xi Jinping. (Photo by Evaristo SA/AFP)

ARL Chairman Peter V'landys is confident the agreement will succeed. Picture: NewsWire/John Appleyard

The Australian Government’s $600 million commitment to fund PNG’s entry into the NRL includes a $60m payment to the NRL for a license fee, $290m for franchise support and $250m to bolster rugby league in the region.

There has been a mixed response to the deal, which signifies a major shift in the competition.

NRL journalist Brad Walter wrote: “For those who remember the introduction of a New Zealand team, the Warriors, 30-years ago, a Papua New Guinea team in the NRL will be beyond next level. The significance of such an historic moment cannot be overstated.”

Read more details on the clause on CODE Sports