Strategic military port falls into Chinese hands, Australian Defense Ministry warns of lease cancellation

The Australian government is reviewing its decision to lease the Darwin port to a Chinese-owned company, possibly suspending the lease in light of national security concerns, as Australia-China relations are in full retreat. New Zealand, which has been accused of leaning on Beijing based on economic interests, has restated the relationship, stressing that it has differences with Beijing and cannot agree on certain matters.

In 2015, the government of Australia’s Northern Territory reached a lease agreement with the Lanqiao Group, a Chinese-owned company. “Arashiqiao paid a one-time rent of more than A$500 million for the right to operate the Darwin port for 99 years. “Arashi Bridge claimed at the time that the deal would help boost trade and tourism between Australia and China.

Australian commentator “Huangfu Jing” said that as Australia-China relations deteriorate, local opposition is becoming louder and louder.

Huangfu Jing: “In previous years, the whole international environment and climate has not reached this point today. (Australia) the mainstream of society, especially the business community will think that we can make money, trade with China, the Australian economy is helpful, precisely using such a social atmosphere, it (Northern Territory government) for personal gain contributed to the sale. But actually there was a backlash from all sectors of the Australian community.”

The Port of Darwin is a dual-use port for military and civilian use. U.S. Marines will be stationed there on a rotating basis.

Huangfujing: “Every move the U.S. Marines make in the Northern Territory is actually under Beijing’s control and does far more damage to Australia’s national interests than it does revenue. ‘Lanqiao Group’ is ostensibly a private enterprise, but there is no mainland Chinese private enterprise that can invest overseas that is not controlled by China.”

Darwin Port as a Breakthrough to Promote Belt and Road Strategy

Australian media reports that the National Security Council has asked the Department of Defense to review and advise on the lease, which is currently underway. Prime Minister Morrison also said last week that if national security issues arose at the port, action would be taken to respond.

Cheng Yu-suk, a retired political science professor at the City University of Hong Kong, said Darwin’s strategic position is sensitive not only because of the presence of U.S. troops, but also because China sees the port as a breakthrough in promoting the Belt and Road strategy.

Zheng Yusuo: “From China to the South Pacific is an endless ocean. If China can get some bases on some islands. It would be very helpful for China to maintain its global communication system and global satellite monitoring system. It would be very convenient to have Darwin Harbour connected in the middle. The port of Darwin could stretch north to New Guinea and then to Indonesia. The waters from Australia’s north coast to Indonesia are also estimated to have a considerable amount of energy resources such as oil.”

He said the recent tightening of the Australian federal government’s control over the state government’s foreign relations, it is believed that the lease between the Northern Territory government and “”Arashi Bridge Group”” over the Darwin port may not be maintained.

Zheng Yushuo: “Just this week, the Australian federal government cancelled two Belt and Road cooperation agreements that the Victorian government had signed with China in the past. The more strategic value of the Darwin port, the more controversial it will be. I believe the United States will also exert its influence. “

While Australia’s relations with China are on ice, neighboring New Zealand was earlier accused of being reluctant to join hands with the remaining four members of the Five Eyes Alliance to criticize Beijing due to pressure.

New Zealand Prime Minister opens up to show the ideological differences between New Zealand and China

Addressing the China Business Summit in Auckland, Prime Minister Ardern made clear that the two countries have different views on important issues when she spoke about relations with China.

Ardern: “As China’s role in the world increases and shifts, the differences in the systems of the two countries and the interests and values that have shaped those systems become increasingly difficult to bridge, and that is a challenge that we and many countries in the Indo-Pacific region, and indeed in Europe and elsewhere, are seeking to overcome. “

Ardern said there was no need to let these differences affect the relationship. China is New Zealand’s largest trading partner, Ardern said, even with the impact of the new crown epidemic, some goods, such as dairy products and kiwifruit, the value of exports rose last year, the annual bilateral trade value of more than 30 billion dollars.

Ardern also stressed that New Zealand pursues a principle-based foreign policy, and raised serious concerns about individual issues such as Hong Kong and the Uighurs in Xinjiang.

Scholar Zheng Yushuo said that the New Zealand government’s diplomatic attitude towards China is somewhat different from that of its major allies based on its close economic and trade relations with China.

Zheng Yushuo: “Probably she (Ardern) is using this opportunity to make her position clear. New Zealand and China have important political contacts and have important trade interests. Of course I can’t easily let China’s relationship with New Zealand take a hit, but after all, New Zealand is also a democratic country and attaches great importance to issues such as democracy and human rights, and in this regard New Zealand and China have different positions.”

Chinese Ambassador to New Zealand Wu Xi, who was also present, called for nations to treat each other equally and with mutual respect and trust, and reiterated that issues related to border and Hong Kong are purely internal affairs of China, and hoped that New Zealand would not interfere.