Mirabile dictu: Chinese relationship stuffed for good

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This is an important piece not because it says anything we don’t already know but because it is by FMG and Chinese junket queen, Jennifer Hewitt. On last week’s cyber attacks:

The decision for the Prime Minister to call this out – even without naming the Chinese government – will be politically self re-enforcing. Canberra appreciates growing community suspicion about Beijing’s intentions, making it more willing to exacerbate tension between the two countries if it believes this is justified. China predictably blames Australia for being a US puppet.

But Morrison has no interest in following Donald Trump’s lead in imposing trade tariffs on China or deliberately limiting Australia’s trading relationship despite the rhetoric backing greater diversification. Clearly, it’s Australia at much greater risk of China’s potential economic retaliation.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.