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Not so sure the Aussie big end of town will, behind the scenes, just quietly accept lower economic growth due to China cutting off our export markets. Already there is open grumbling among the iron ore and gas exporters, both huge industries, that Aussie ministers can't even get their Chinese counterparts to pick up the phone, no dialogue happening at all, just straightfaced official Chines denials anything is happening at all. If this does turn out to be real, persistent, across the board bullying by China, the powerful gas, coal, cotton, wine, grains lobbies will converge and pressure Canberra to back off. They have such political clout Australians all have to pay much higher prices for gas precisely because so much gas was found offshore that Australia and Qatar are now the world's two biggest gas exporters. Instead of that being a bonanza for domestic gas consumers, the prices rose sharply, matching what China pays. Now the gas industry is in charge of the post-covid recovery program financing stimulus that, surprise, benefits mostly gas pipe builders. I wish I could say Australia has bravely decided to speak up on China, but I am not sure our leaders are comfortable leading.

Nov 7, 2020
at
12:31 AM