https://asiatimes.com/2021/05/australia-lar...war-with-china/

Australia largely winning its trade war with China
China is spending more than ever on Australian imports despite punitive trade restrictions on coal, barley, meat and wine

PERTH – Australia is often blamed for putting all its eggs and everything else into one basket then shipping the lot to China.

Those who worry about Beijing’s resultant leverage over Australia may feel vindicated after the travails of 2020 and 2021, but the trade war rooted in geopolitics hasn’t net-net hurt the Australian economy or its crucial commodity exports.

Indeed, China is spending more than ever on imports from Australia, given its reliance on iron ore and liquefied natural gas (LNG), two commodities commanding ever-higher prices on global markets and for which Australia is the world’s largest exporter.

So far China has hit Australian coal, barley, meat, lobsters and wine with punitive trade measures, a tit for tat response to Australia’s call for an independent investigation into the origins of the Covid-19 pandemic that by all credible accounts started in Wuhan, China.

Australia’s A$1 billion wine export industry reported a 96% drop in exports in the first quarter of 2021 after Chinese anti-dumping sanctions hit profits in the fourth quarter of 2020.

After the recent announcement of an “indefinite” halt of the China-Australia Strategic Economic Dialogue, China is now apparently moving beyond beef and booze to target Australian LNG exports.

A Bloomberg report citing unnamed sources said that two second-tier Chinese LNG importers have been told by Beijing not to take any Aussie cargoes of the fuel for a year.
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Australians very proud they are winning the trade war with China, seething and angry China now seeking revenge, will plan to diversify liquid gas from Australia. I think a lot of LNG suppliers will benefit from business especially Malaysia since we also supply to China. I think more order coming from PetGas, anyone buying this stock? It will rise.

Normally LNG field have fixed customer....china will have difficulty getting alternative....

Not impossible but china may need to buy at higher price in spot market.

Seriously, is it me who cannot understand what the article was trying to portray: was it Oz winning a trade war OR will face even more trade restrictions from CCP?

On one hand, the article admitted the current restrictions already hit Oz goods. Then on the other hand claimed that import of Oz iron ore and LNG increased, only to defeat that "win" by reporting CCP will also move against those commodities.

Lol. Read the article again. They cut everything except LNG and iron ore. Now they are in the process of cutting LNG and importing more iron ore for their development. What the article didn’t tell you is China is working very hard to cut both in the coming years

Iron ore will be the last link they will cut, because the alternates they are building in Africa, Brazila do Paupa New Guinea is not ready yet. Once it is done, we will revisit this article again.

TS fail in English, not you.

Seriously Mods should kasi banhammer TS a few days to chill instead of trolling in the forum with nonsense threads.

Malaysia stand to benefit, we already supplied large quantity of LNG to China. I think recently I read article, China also trying to get LNG from the -STANS nation and relationship with Saudis and Iranians.

They already trying to diversify many products from Australia and the funny things, some of those product they got it from the 5 eyes, like Barley, stop taking from Australia, take from US, dairy, stop taking from Australia, take it from New Zealand.

Except things like Coal, LNG still dependent and paying higher price. But I think eventually it will shift as well.

The reason is simple, it's geopolitic. Australia is the staunches US ally in APAC more so then Japan. China cannot hit US directly and China can surely whack Australia and since it can, it will do so.

I'm teaching Malaysian how to gain, when Big countries fight, we as Malaysian should not involve too much, we must understand their motivation and politics behind. We do our OWN interest....our own survival. When certain market is lost somewhere, we try to win the market if we have the goods. Make good relation.

Why we annoy India when they consume large part of our palm oil, why go and antagonize China when we selling durians to them. Australia provide good higher education, why we go create trouble with them.

But we need to understand and aware our surroundings....and find niche to benefit our country.

Yes Malaysia will benefit in the short term until babi RedChina park their ships in our EEZ and claim unilaterally that our gas fields are now THEIR gas fields.

while I like how the iron ore price is rising and how the AUD is gaining against most major currencies

I'm very much sure it's not sustainable and has created a massive inflation even within Australia itself since we buy most of our stainless steel from China

I've always wondered.. do we not having our own raw steel refinery and milling? Is it an economic of scale problem that is preventing this industry from taking off?

wining ? i wonder how do u justify australia wining ? its china that shutting down trades with australia, its australia that forcing china to open market, its australia that threaten china with military while china just pretend cant hear, cant see.

after china start mining from new iron mines in africa, china will also stop getting iron from australia, which australia increase the price few times, after that, australia will be completely out of the picture, no money in, china trade replaced by allies.

if wining trade war means no trade, i guess you are right.

There isnt much australia can play other than commodity, real estate & education. One of it already mati, real estate so-so.

With the iron ore prices rising, the nominal price to construct a decent house had increased(normal build $550k exclude land).
Majority steel beams/channel construction will have to come from china, they dont really make stuff here. Cost of steel will eventually raise up. Once certain mines had sucessfully established, and they stop taking stuff from oz. It's time to keep playing real estate, fry up the price till to the roof.

Now they complain house affordability got worsen every quarter. Plus, oz always have the mindset of 'I am the best in the world'. I really dont know where they get the tongkat mindset from and really dont know what they trying to do in canberra.

This post has been edited by Stefanov: May 15 2021, 09:34 AM

i guess china's selling price is lower than our production cost, will you produce yourself if buying from china is cheaper than making yourself ?

China source from south america, east europe, africa, and south asia and russian

https://www.industryweek.com/the-economy/ar...illion-oil-deal

Aussie tend to lose in this game

Many claims there, may the bigger ships win.

Australia won't starve one la, they can still trade with others and build market access. Their big neighbor Indonesia, India and US, NZ still trading. It takes some time, but time will pass. It's also ensure China not too dependent on Australia or vice versa. This will help them avoid unnecessary arguments at the moment. Trading has up and down cycle.

It would be foolish for China to put all iron ore basket into Australia or Australia put all their wines to China. Diversify and backup plan is good.

There are many things that produced by australia difficult to find alternative market, like lobster, wine, wood, and student, china has 1/5 world population, unless india population is as rich as china, else there is market as huge as china. Even there are existing country can consume them, they have to stop getting from existing suppliers, there is no reason for them to stop getting from existing supplier.

starve or not i dont know, ppl are losing their job is all i know.

anyway there is no need to argue, we can see and compare australia total export in like another 2 months, compare with last year.

This post has been edited by narf03: May 15 2021, 09:56 AM

Let's see who can laugh till the end

australia, thank you.

Hahaha.
I like people like u. Suka suka call orang babi, tapi sendiri pun tak ada boat to chase them away.... opps...

India will pick up their economy too, once situation sorted and things start moving. Modi is also launching Make in India and they are trying to bring their economy to the 21st century. It takes time and planning and potential big market there for Australia. It's a matter of fast or slow.

Because things are moving fast, Malaysia has to take opportunity fast, nobody is going to wait for you. We have to anticipate what the future market wants, what kind of product and which country having big gdp with big consumption and we collaborate, dived into that market.

Indonesia is also a huge market for us as their population start moving to middle class.

People can move about freely and now working from home or remote will be common place. Some people earn dollar while working remote from Thailand and some even choose Malaysia. We must be welcoming of people to invest in our country and encourage friendly relation to all.

I don't worry too much on Australia, they are not stupid people, their government will decide what policy good for them as they can vote to change government if not suitable. Unlike our backdoor government, even we voted, still backdoor they come in =)

dont put too much hope on india, china spend decades into infrastructure and education, to catch up with china, you need india to move at china's speed and china sit there do nothing for 3 decades. Even india became china, india will still wont consume things that chinese consume, like lobster, its mainly in chinese dish, wont change even india get rich.

malaysia is a racist country, we wont welcome anybody, its ok if they come as a tourist, but if they are making alot of money, we will cancel their contract, take over their business and boot them away, thats our culture. it happened once, happened twice, and will keep happening.

Western media godlike at spinning lol....

China raise high expensive hand, kasi chan to aussie dog suddenly mean aussie dog won

All excuses for aussie only (especially the diversity).
When their relationship was good, they would never complaint about the investment and money flowing into their country.
I personally also benefit from it as I worked for multiple projects there which one of their big client is CCP.
人民币真香。。。 Hahaha.
Australia benefit a lot for for the raise of China especially the last 2 decades.
Australia and China export to each other, make both country prosperous and higher living standard.
The current issue is due to change of geopolitics in the region, raise of China which they believe it will damage their 'national' (US) interest around the world. They don't believe in win-win (like many in k/), but only zero-sum game.

To add more, for the whole fish/lobster/abalone etcc, the main yindian doesnt know what to deal it as they dont cook it like the chinese did.
In local supermarket coles/woolworths etc, you will see only chopped piece of fish, fish fillets pieces of lobster tail etc. As they dont see anything with bones.

This post has been edited by Stefanov: May 15 2021, 10:24 AM

end up japan buy from australia & cancel agreement with malaysia. then china buy from malaysia

When greedy people behave like pigs and want to claim over something they are not entitled to, can call them Babi lor.

But not Xi JinPing.He is fat bear Winnie the Pooh forever butthurt associated with that fat Bear

happy to see aussie fall, because they are just too arrogant and ppl go there all arrogant tot they are like king of Asia/Oceanic

Maybe we have overlap issue with Philipines under UNCLOS since distance too near under 200 miles but can discuss as good neighbors.

But not with Pig Red China since we all signed the treaty. 200 miles from shore is our sovereign area. Fake islands don't count and not recognised under UNCLOS

dont fight against superpowers... few kangaroos cant save the economy..

True. PRC would have to pay higher in the short-run but long-run it will be cheaper because PRC is expanding gas import from Russia and Central Asia (Turkmenistan if not mistaken).

In the end, this is necessary because Australia is a potential strategic threat. Better to stop relying on Australia right now than during a potential Pacific War.

LNG are tied to long term contracts.
Let's see whether China will dare to break those contracts with the Aussies first.

"Pangggil orang babi". Orang =foreigners.Not Malaysians.

"...Sendiri pun tak ada boat" SENDIRI. You mean OUR Royal Malaysian Navy? Unless you are not Malaysian.

U pretend don't know our country issue.
U think our coast guard and navy got all the resources to do all their job?
Go work harder and make sure u pay your tax.
But it doesn't guarantee your tax money will be well spent by the government, because we Malaysian has always tolerate toward corruption in this country for decades. So far until now, I don't see our government (and previous one) willing to solve this issue. Oh wait, because people also don't care, I forgot.
Hahaha.

This is complete rational and logical thinking. Australia is traditional ally of US and definitely a US naval base. I think whatever the current contract with Australia, just let it run its course and diversify.

It's also Australia national security interest not to sell to China, why would you sell energy, iron to China for China to build it's military? Doesn't make sense right. The same missiles from China that gonna land in Australia naval bases.

It's also Australia national security interest not to trade and sell potential commodity to China that will be used against Australia.

China has to secure it's goods and stuff from those nations that are more friendlier to China. Similar Australia need to trade more with countries that follow its values more closely.

CCP already gave instruction not to renew certain contracts that expired.....I think the other contracts will slowly expire and run it's course. If would be foolish for Australia to sell energy to China, why feed the dragon?

You don't read very well do you

Dpending on the expiry of the contracts, most LNG contracts are very long term. By the expiry of the contracts, the projects would have been paid back in full.
Aus can then sell at lower prices to anyone they want.

Malaysia should scramble for getting investment and FDI. There always opportunity somewhere, to grab the money and investment. We should quickly welcome investment, get contract, setup factories, set up deal.....because we see the global supply chain realigning their supplies. Money to be made.

Setup vaccine deals, setup gas, petroleum deal, setup palm oil, resource deal, integrate ourselves into realigning supply chain, so we get a piece of the action....

the game here is economy...

Our economic minister is sleeping on the job since Trump started the trade war with China and factories moving out into Vietnam, Thailand and Indonesia..
Oh wait, we are picky on investments
we wasted the first MCO, ruined our economy to get the numbers down then open buffet for covid again.
Half past six government, Malaysia with no government might be able to perform better than this

bloody aussies

Dont worry, CCP ohman and CCP kakwen got alot moolah. Need to milk them dry

They dont have supply issue to customer. They have issue with keeping up with demand.

Wrong.

You are so wrong

Large quantity with fixed contract purchaser are Japan/SK via MLNG Bintulu. China still long way to go to be buyer unless they willing to ramp up purchase.