China just slapped an 80% tariff on Australian barley, and opened themselves up to US barley. All they are doing is messing around farmers and pissing everyone off in the end. Next week they will do something else to piss off the Americans.
As a result, it seems Japan and Middle East will step up and purchase more Australian barley and less US barley. Not sure if this will take up all the slack but the basic laws of supply and demand should ultimately sort out this mess.
Australia has spent a lot of time and effort over the last few decades forging partnerships with the Chinese. But fuck it, if this is how we are treated then we are already talking about moving our efforts to other countries such as India and Indonesia now. So China, just stop being a bunch of dickheads please.
Super complex relationships seem to be falling apart here...
So much going on including barley, beef and may be even wine. Add the evacuation of two Australian journalists + the arrest of another Australian citizen (Cheng Lei) who worked for CGTN.
Like a lot going on these days, I have no clue if there is an end game on either side and simply cannot speculate about what will happen next.
Story in NYT:
https://www.nytimes.com/2020/09/07/w...ael-smith.htmlTwo Australian journalists have rushed out of China after a five-day diplomatic standoff that began when Chinese state security officers paid them unannounced visits, prompting fears that they would be detained.
The journalists — Michael Smith, the China correspondent for The Australian Financial Review, and Bill Birtles, a correspondent with the Australian Broadcasting Corporation — arrived in Sydney on Tuesday morning after their organizations hastily arranged flights. They were the last two correspondents working in China for Australian news outlets.
Cheng Lei Story:
https://www.nytimes.com/2020/08/31/w...ournalist.htmlThe journalist, Cheng Lei, who has worked on English-language business news for CGTN, the Chinese international broadcaster, was detained in mid-August, the Australian foreign minister, Marise Payne, said in an emailed statement. Australian diplomats were allowed to speak to Ms. Cheng last week, over a video link to a detention site, the minister said.
The Australian statement gave no details of any accusations against Ms. Cheng, and the Chinese government has not commented publicly on her case. But her detention could become another irritant in Australia’s relations with China, especially if she is charged with serious offenses.
How does an employee of a state TV station get detained by the very state that owns it?
I wonder if they were prepared to have an Assange/Ecuador style standoff at the embassy?
Couldn't agree more.I have no clue if there is an end game on either side
Having said that, IMO China hold all the cards in this. the Australian economy needs all the help it can get right now...
Common sense says - if you have only one customer or say 70-80%+ of your business comes from one customer, might as well sell your company to that customer. Single entity (country, asset type, customer etc) risks are high (just like the folks who put all their cash into HSBC expecting dividends every quarter).Having said that, IMO China hold all the cards in this. the Australian economy needs all the help it can get right now...
But that is hindsight, most of the time..
No clue how many of the small / medium businesses in Australia have been built entirely to trade with China. Also have no clue how many Chinese entrepreneurs and businesses setup shop in Australia to export back to China...
Messy x infinity situation...