Australia tightens foreign investment rules on power and farmland
The legislation comes after Chinese bids for Australia’s largest cattle empire and a Sydney electricity grid were blocked in 2016.
The Australian government has announced tighter controls on foreign investment in electricity grids and farmland two years after Chinese buyers were blocked from high-profile corporate takeovers in both sectors.
The government said new restrictions will apply to foreign companies bidding for Australian electricity transmission infrastructure and some generators. It added that diversity of ownership of such critical national assets safeguards national security.
Officials said companies selling Australian farms and ranches will have to advertise to Australians first.
China criticised the government for blocking Chinese bids for Australia’s largest cattle empire and a Sydney electricity grid in 2016.
A Chinese foreign ministry official said Beijing hopes “countries will provide a favourable, open, fair and transparent environment for Chinese enterprises’ investment”.