Footnotes

Chapter 1 - Introduction and conduct of inquiry

[1]        For a fuller explanation see the Sovereign Wealth Fund Institute, http://www.swfinstitute.org/swf.php (accessed 17 August 2009). Others have argued that they may be derived from undervalued exchange rates, Submission 6, p. 1.

[2]        SWFs are not a recent invention and Kuwait, then under British rule, created the first modern SWF in 1953.

[3]        Senate Select Committee on Certain Aspects of Foreign Ownership Decisions in Relations to the Print Media, Percentage Players: the 1991 and 1993 Fairfax Ownership Decisions, June 1994, pp. 223–236.

[4]        Department of the Treasury, 'Australia's Foreign Investment Policy ' available at: http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf, p. 1 (accessed 21 May 2009).

[5]        The Aluminium Corporation of China (Chinalco) is an international diversified mineral resources company and a large producer of primary aluminium and alumina. It is 100% owned by the Government of the People's Republic of China.

[6]        The deal also related to assets including: the Yarwun alumina refinery (QLD), the Boyne Island aluminium smelter (QLD), the Gladstone Power Station (QLD), the Escondida copper mine (Chile), the Grasburg copper-gold mine (Indonesia), the La Granja copper development project (Peru), and the Kennecott Utah Copper (United States). See the ACCC's Public Competition Assessment, Chinalco (Aluminium Corporation of China)–proposed acquisition of interests in Rio Tinto plc and Rio Tinto Ltd, 25 March 2009, p. 4.

Chapter 2 - Foreign investment in Australia

[1]        A recent report from the Committee for the Economic Development of Australia (CEDA) identifies many other advantages attached to foreign investment. These include: increasing the 'pool' of savings; facilitating portfolio management; encouraging specialisation; creating 'spillovers'; increasing taxation revenue; increasing global integration; and increasing global standards of living, 'The contribution of foreign direct investment and the mining industry to the welfare of Australians', Information Paper Number 92, November 2008, Appendix to Submission 6, pp. 9–11.

[2]        Australian Bureau of Statistics, 'International Investment Position, Australia: Supplementary Statistics, 2008', Cat Number 5352.0, (accessed 11 August 2009).

[3]        These tables are based on data included in 'International Investment Position, Australia: Supplementary Statistics, 2008', Australian Bureau of Statistics, Catalogue Number 5352.0, (accessed 11 August 2009).

[4]        The Hon Wayne Swan MP, 'A remarkable place at a remarkable time', China–Australia Chamber of Commerce, 10 June 2008, http://www.treasurer.gov.au/DisplayDocs.aspx?doc=speeches/2008/018.htm&pageID=005&min=wms&Year=&DocType=1 (accessed 20 April 2009). In the following month the Treasurer claimed: 'I have approved a Chinese investment proposal on average once every nine days since coming into office'. Treasurer Wayne Swan, 'Australia, China and this Asian Century', Speech to the Australia China Business Council, Melbourne 4 July 2008.

[5]        Sam Walsh, Australian Financial Review National Infrastructure Conference, Sydney 2 April 2009, 'Infrastructure—securing Australia's iron ore exports', http://www.riotintoironore.com/documents/Sam_Walsh_AFR_Infrastructure.pdf (accessed 28 April 2009).

[6]        Committee Hansard, 2 July 2009, p. 2.

[7]        Proof Committee Hansard, 10 August 2009, p. 20.

[8]        Submission 40, pp. 2–3.

[9]        A list of Australian resource projects that are controlled by foreign investors is maintained by the Mayne Report see: http://www.maynereport.com/articles/2007/07/17-2040-8377.html (accessed 29 April 2009).

[10]      Committee Hansard, 22 June 2009, p. 4.

[11]      Submission 47, 'Exhibit 3', p. 17.

[12]      Committee Hansard, 1 July 2009, p. 35.

[13]      The Treasury, 'Australia's Foreign Investment Policy ' available at: http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf p. 1 (accessed 21 May 2009).

[14]      Committee for the Economic Development of Australia (CEDA), 'The contribution of foreign direct investment and the mining industry to the welfare of Australians', Information Paper Number 92, November 2008, Appendix to Submission 6, pp. 23–25.

[15]      Fergus Hanson, The Lowy Institute Poll 2008, Australia and the world: Public opinion and foreign policy, Lowy Institute for International Policy, p. 6.

[16]      Committee Hansard, 23 June 2009, p. 3.

[17]      Submission 47, p. 6.

[18]      Committee Hansard, 2 July 2009, p. 8.

[19]      See for example, The Hon Wayne Swan MP, 'A remarkable place at a remarkable time', China–Australia Chamber of Commerce, 10 June 2008; Wayne Swan: 'Australia, China and this Asian Century' Speech to the Australia China Business Council 4 July 2008; Wayne Swan 'Australia, China and the Global Recession', Address to the ANU China Update Conference 14 July 2009;Wayne Sawn: 'Foreign investment and the long road to recovery' Address to the Thomson Reuters Newsmakers Series, 4 August 2009.

[20]      As articulated at: http://www.treasury.gov.au/documents/178/HTML/docshell.asp?URL=ch3.asp (accessed 12 August 2009).

[21]      FIRB website: http://www.firb.gov.au/content/direct.asp?NavID=36 (accessed 12 August 2009). The committee acknowledges that there is more information on the Treasury website, for example: http://www.treasury.gov.au/documents/178/HTML/docshell.asp?URL=ch3.asp (accessed 12 August 2009).

[22]      Treasurer Wayne Swan, 'Foreign Investment', Media Release, 27 March 2009,  http://ministers.treasury.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/029.htm&pageID=003&min=wms&Year=&DocType=0 (accessed 12 August 2009).

[23]      See, for example, National Civic Council, Submission 31, p. 3 or Concept Economics, Submission 6, p. 2.

[24]      Proof Committee Hansard, 10 August 2009, p. 31.

[25]      Submission 31, p. 3.

Chapter 3 - Administration of foreign investment in Australia

[1]        Department of the Treasury, 'Australia's Foreign Investment Policy ' available at: http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf, p. 1 (accessed 21 May 2009).

[2]        The Treasury, 'Australia's Foreign Investment Policy' available at: http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf, p. 1 (accessed 21 May 2009).

[3]        Committee Hansard, 22 June 2009, p. 5.

[4]        See The Treasury, 'Australia's Foreign Investment Policy' available at: http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf (accessed 21 May 2009), p. 2.

[5]        Senate Select Committee on Certain Aspects of Foreign Ownership Decisions in Relations to the Print Media, Percentage Players: the 1991 and 1993 Fairfax Ownership Decisions, June 1994, p. 179.

[6]        Percentage Players, June 1994, p. 179.

[7]        Percentage Players, June 1994, p. 179.

[8]        CEDA, 'The contribution of foreign direct investment and the mining industry to the welfare of Australians', Information Paper No 92, November 2008, p. 15.

[9]        Australia China Business Council, Committee Hansard, 2 July 2009, p. 2.

[10]      Hence, most of the Japanese investments during the 1970s and 80s were less than 50 per cent holdings. Numerous witnesses spoke to the committee about this paradigm shift in foreign investment policy, see Mr Patrick Colmer, FIRB/ Treasury, Committee Hansard, 22 June 2009, p. 3 and Professor Peter Drysdale, Committee Hansard, 1 July 2009, p. 40.

[11]      Treasurer Peter Costello, 'Foreign Investment Policy Changes', 2 September 1999, http://www.treasurer.gov.au/DisplayDocs.aspx?pageID=&doc=pressreleases/1999/055.htm&min=phc (accessed 30 July 2009).

[12]      A submission from the Minerals Council of Australia suggests, these new guidelines 'represented an elaboration, rather than any significant amendment to the existing rules which are set out in the Foreign Acquisitions and Takeovers Act 1975', Submission 57, p. 4.

[13]      Biographical data on board members can be found in the Annual Report 2007–08, p. 4 or the FIRB website: http://www.firb.gov.au/content/who.asp?NavID=48 (accessed 29 April 2009).

[14]      FIRB, Annual Report 2007–08, pp. 4–5.

[15]      FIRB, Annual Report 2007–08, pp. 3–4.

[16]      This was the case in 2001 when Treasurer Peter Costello rejected Shell Australia's proposed acquisition of Woodside Petroleum, Treasury website, http://www.treasury.gov.au/documents/178/HTML/docshell.asp?URL=ch3.asp (accessed 12 August 2009).

[17]      FIRB, Annual Report 2007–08, p. 3.

[18]      Committee Hansard, Senate Economics Legislation Committee, Budget Estimates, 4 June 2009, p. 13.

[19]      Committee Hansard, Senate Economics Legislation Committee, Budget Estimates, 4 June 2009, p. 57.

[20]      FIRB, Annual Report 2007–08, p. xv.

[21]      FIRB, Annual Report 2007–08, p. xv; FIRB, Annual Report 2006–07, p. xv.

[22]      FIRB, Annual Report 2007–08, p. xv; FIRB, Annual Report 2006–07, p. xv.

[23]      Adapted from, FIRB, Annual Report 2007–08, p. 20.

[24]      For a more complete breakdown in figures see FIRB, Annual Report 2007–08, p. 22.

[25]      Adapted from FIRB, Annual Report 2007–08, p. 27.

[26]      This proposal was rejected on national interest grounds. The then treasurer, Peter Costello, was of the view that if approved Shell may not give preference to developing the North West Shelf project to its maximum potential, see http://www.treasurer.gov.au/DisplayDocs.aspx?pageID=&doc=pressreleases/2001/025.htm&min=phc (accessed 31 July 2009).

[27]      Committee Hansard, Senate Economics Legislation Committee, Budget Estimates, 4 June 2009, p. 55.

[28]      Committee Hansard, 22 June 2009, p. 6.

[29]      Australia's Foreign Investment Policy, http://www.firb.gov.au/content/_downloads/Australia's%20Foreign%20Investment%20Policy.pdf (accessed August 12 2009).

[30]      FIRB, Annual Report 2007–08, p. 45.

[31]      An aggregate substantial interest is where two or more persons together with any associate(s), are in a position to control not less than 40 per cent of the voting power or hold interests in not less than 40 per cent of the issued shares, of a corporation. FIRB, Annual Report 2007–08, p. 45.

[32]      Treasurer Wayne Swan, 'Reforming Australia's foreign investment framework', http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/088.htm&pageID=003&min=wms&Year=&DocType= (accessed 12 August 2009).

[33]      Treasurer Wayne Swan, 'Reforming Australia's foreign investment framework', http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/088.htm&pageID=003&min=wms&Year=&DocType= (accessed 12 August 2009).

[34]      Committee Hansard, 1 July 2009, pp. 8–9.

[35]      Committee Hansard, 22 June 2009, pp. 11–12.

[36]      An aggregate substantial interest is where two or more persons together with any associate(s), are in a position to control not less than 40 per cent of the voting power or hold interests in not less than 40 per cent of the issued shares, of a corporation. FIRB, Annual Report 2007–08, p. 45.

[37]      For a full description of the 'national interest' criteria see the FIRB Annual Report 2006–07, pp 7–8, http://www.firb.gov.au/content/Publications/AnnualReports/2006-2007/_downloads/2006-07_FIRB_AR.pdf (accessed 15 May). In evidence provided to the committee at Senate Estimates, Treasury official Mr Jim Murphy suggested: 'The "national interest" prior to this government has been a term which, to some extent, has been criticised because it was not clear what a government would take into account in terms of the national interest. This government put forward those principles or guidelines to give some guidance to people who are making foreign investment proposals as to the types of things the government would take account of. They do not limit the government in terms of what it can take account of as to what is in the national interest. Committee Hansard, Senate Economics Legislation Committee, Budget Estimates, 4 June 2009, p. 56.

[38]      FIRB, Annual Report 2006–07, p. 8.

[39]      Committee Hansard, 22 June 2009, p. 6.

[40]      Department of the Treasury, 'Foreign Direct Investment Policy', http://www.treasury.gov.au/documents/178/HTML/docshell.asp?URL=ch3.asp (accessed 14 August 2009).

[41]      Submission 32, pages 4, 11, 14.

[42]      Professor Tony Makin, 'Capital xenophobia and the national interest', Australia's Open Investment Future, Institute of Public Affairs, Melbourne, 4 December 2008, p. 1.

[43]      Committee Hansard, 1 July 2009 p. 32. In relation to Chinese investment in the minerals sector, Professor Drysdale and Professor Findlay claimed 'there are no issues that cannot be dealt with under the umbrella test of national interest in managing the growth in Chinese FDI into the Australian minerals sector', Submission 40, p. 1.

[44]      Committee Hansard, 2 July 2009, p. 29.

[45]      Committee Hansard, 1 July 2009, pp. 46–47.

[46]      Committee Hansard, 2 July 2009, p. 4.

[47]      Committee Hansard, 2 July 2009, pp. 6–7.

[48]      Committee Hansard, 2 July 2009, p. 3.

[49]      Committee Hansard, 1 July 2009, p. 44.

[50]      Committee Hansard, 2 July 2009, p. 30.

[51]      See FIRB website, 'Publications', http://www.firb.gov.au/content/publications.asp?NavID=5 (accessed 14 August 2009).

[52]      FIRB website, 'Foreign Investment Decision', 8 May 2009, http://ministers.treasury.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/045.htm&pageID=003&min=wms&Year=&DocType=0 (accessed 14 August 2009).

[53]      FIRB website, 'Foreign Investment Decision', 23 April 2009, (accessed 14 August 2009).

[54]      FIRB website, 'Foreign Investment Decision', 31 March 2009, (accessed 14 August 2009).

[55]      Treasurer Wayne Swan, Press Release, 'Foreign Investment Decision', 31 March 2009, http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/032.htm&pageID=003&min=wms&Year=&DocType=0 (accessed 24 June 2009).

[56]      Treasurer Wayne Swan, Press Release, 'Foreign Investment Decision', 31 March 2009, http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/032.htm&pageID=003&min=wms&Year=&DocType=0 (accessed 24 June 2009).

[57]      FIRB, Annual Report 2007–08, p. 49.

[58]      ACCC website: http://www.accc.gov.au/content/index.phtml/itemId/54137 (accessed 28 April 2009).

[59]      Committee Hansard, 22 June 2009, pages 14, 18.

[60]      ACCC, Public Competition Assessment, Chinalco (Aluminium Corporation of China)–proposed acquisition of interests in Rio Tinto plc and Rio Tinto Ltd, 25 March 2009, http://www.accc.gov.au/content/item.phtml?itemId=866062&nodeId=682aa011d83ba73fa9794e6cd75a75e3&fn=Chinalco%20(Aluminium%20Corporation%20of%20China)%20-%20proposed%20acquisition%20of%20interests%20in%20Rio%20Tinto%20and%20Rio%20Tinto%20Ltd%20-%2025%20March%202009%20-%20Mining%20.pdf (accessed 15 June 2009).

[61]      Committee Hansard, 22 June 2009, pp. 14-15.

[62]      ACCC, Public Competition Assessment, Chinalco (Aluminium Corporation of China)–proposed acquisition of interests in Rio Tinto plc and Rio Tinto Ltd, 25 March 2009, (accessed 15 June 2009).

[63]      For example, Submission 47, p. 42.

[64]      Submission 32, p. 2.

[65]      Committee Hansard, 23 June 2009, p. 4. In relation to Chinese investment, Professor Peter Drysdale also cautioned '...if we deny ourselves the opportunity of hosting Chinese investment here, it will go elsewhere', Committee Hansard, 1 July 2009, p. 34.

[66]      Proof Committee Hansard, 10 August 2009, p. 32; Committee Hansard, 1 July 2009, pp. 44–45.

[67]      Treasurer Wayne Swan, 'Reforming Australia's Foreign Investment Framework', 4 August 2009, http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2009/089.htm&pageID=003&min=wms&Year=&DocType= (accessed 17 August 2009).

[68]      Committee Hansard, 23 June 2009, p. 3.

[69]      The committee took limited evidence on the way Australia's foreign investment regulations compare with those of other nations. Mr Colmer suggested that, in a very general sense, Australia has a similar system to Canada, New Zealand and the United States. He suggested, 'There are quite different arrangements at the detailed level, but they are generally similar types of systems': The United States has a system called the Committee on Foreign Investment in the United States, generally referred to as CFIUS, and that is similar to the foreign investment process that we run. I would say, though, that our system is much more interventionist than the United States system...' Committee Hansard, 22 June 2009, p. 10.

[70]      Proof Committee Hansard, 10 August 2009, p. 25.

[71]      Committee Hansard, 1 July 2009, p. 8.

[72]      Statement to House of Representative 1 April 1976, Senate Select Committee on Certain Aspects of Foreign Ownership Decisions in Relations to the Print Media, Percentage Players: the 1991 and 1993 Fairfax Ownership Decisions, June 1994, Recommendation 10.8, p. 232.

[73]      Senate Select Committee on Certain Aspects of Foreign Ownership Decisions in Relations to the Print Media, Percentage Players: the 1991 and 1993 Fairfax Ownership Decisions, June 1994, Recommendation 10.8, p. 232.

[74]      Senate Select Committee on Certain Aspects of Foreign Ownership Decisions in Relations to the Print Media, Percentage Players: the 1991 and 1993 Fairfax Ownership Decisions, June 1994, Recommendation 10.8, p. 234.

Chapter 4 - Sovereign wealth funds and state-owned entities

[1]        As a consequence of the global financial crisis there has been growth in the number and size of SWFs. Rio Tinto's submission suggests that, since September 2008, at least 14 financial institutions have become either wholly or partly owned by SWFs, Submission 47, p. 34.

[2]        Submission 56, Appendix 2, Malcolm Cook and Mark Thirlwell, 'The Changing Global Financial Environment: Implications for Foreign Investment in Australia and China', Lowy Institute for International Policy, July 2008, p. 4.

[3]        Submission 56, Appendix 2, Malcolm Cook and Mark Thirlwell, 'The Changing Global Financial Environment: Implications for Foreign Investment in Australia and China', Lowy Institute for International Policy, July 2008, p. 4.

[4]        Proof Committee Hansard, 10 August 2009, p. 20.

[5]        Proof Committee Hansard, 10 August 2009, pp. 35–36.

[6]        Proof Committee Hansard, 10 August 2009, pp. 23–24.

[7]        Economics Legislation Committee Estimates Hansard, 4 June 2009, p. 10.

[8]        Proof Committee Hansard, 10 August 2009, p. 24.

[9]        International Working Group on Sovereign Wealth Funds: 'Sovereign Wealth Funds: Generally Accepted Principles and Practices "Santiago Principles"', October 2008, p. 3.

[10]      Sovereign Wealth Fund Institute, http://www.swfinstitute.org/fund/adia.php (accessed 23 April 2009).

[11]      Submission 56, Appendix 2, Malcolm Cook and Mark Thirlwell, 'The Changing Global Financial Environment: Implications for Foreign Investment in Australia and China', Lowy Institute for International Policy, July 2008, p. 4.

[12]      Submission 56, Appendix 2, p. 6. CIC deputy general manager, Wang Jianxi, (who is also a member of the National Committee of the Chinese People's Political Consultative Conference, the top political advisory body), recently stated that it was now a 'good opportunity' for the CIC to make international investments. 'China's sovereign wealth fund sees "good opportunity" for int'l investment', Xinhua, 11 March 2009: http://news.xinhuanet.com/english/2009-03/11/content_10992451.htm (accessed 23 April 2009).

[13]      Future Fund website: http://www.futurefund.gov.au/ (accessed 3 August 2009).

[14]      Future Fund, 'Portfolio update at 31 March 2009', http://www.futurefund.gov.au/__data/assets/pdf_file/0016/3175/Final_Portfolio_update_31_March_09.pdf, 4 May 2009 (accessed 3 August 2009).

[15]      Proof Committee Hansard, 10 August 2009, p. 21.

[16]      See, for example, Mr and Mrs I Voesenek, Submission 18; Mr Len Johnson, Submission 43, p. 1; Mr Arthur Johnson, Submission 44.

[17]      Adapted from 'Exhibit 19', Rio Tinto, Submission 47, p. 36.

[18]      IWG member countries are Australia, Azerbaijan, Bahrain, Botswana, Canada, Chile, China, Equatorial Guinea, Islamic Republic of Iran, Ireland, Korea, Kuwait, Libya, Mexico, New Zealand, Norway, Qatar, Russia, Singapore, Timor-Leste, Trinidad and Tobago, the United Arab Emirates, and the United States. Permanent observers of the IWG are Oman, Saudi Arabia, Vietnam, the OECD, and the World Bank. International Working Group on Sovereign Wealth Funds: 'Sovereign Wealth Funds: Generally Accepted Principles and Practices "Santiago Principles"', October 2008, p. 1.

[19]      Proof Committee Hansard, 10 August 2009, p. 20.

[20]      Proof Committee Hansard, 10 August 2009, pp. 21–22.

[21]      International Working Group of Sovereign Wealth Funds, http://www.iwg-swf.org/mis/kuwaitdec.htm (accessed 18 August 2009).

[22]      International Working Group of Sovereign Wealth Funds, http://www.iwg-swf.org/mis/kuwaitdec.htm (accessed 18 August 2009).

[23]      International Working Group on Sovereign Wealth Funds: 'Sovereign Wealth Funds: Generally Accepted Principles and Practices "Santiago Principles"', October 2008.

[24]      Submission 40, p. 4.

[25]      Associate Professor Zumbo, Committee Hansard, 10 August 2009, p. 2.

[26]      Committee Hansard, 2 July 2009, p. 27.

[27]      Ann Kent, 'No need to rush Rio Tinto deal', Canberra Times, 17 April, 2009, p. 13.

[28]      Submission 32, p. 2.

[29]      Committee Hansard, 22 June 2009, pp. 8–9.

[30]      Proof Committee Hansard, 10 August 2009, p. 33.

[31]      Submission 38, p. 3.

[32]      Submission 38, p. 5.

[33]      Committee Hansard, 1 July 2009, p. 24.

[34]      FIRB, Annual Report 2007–08, p. 45.

[35]      Committee Hansard, 2 July 2009, p. 28.

[36]      Committee Hansard, 2 July 2009, p. 28.

[37]      Committee Hansard, 2 July 2009, pp. 28–29.

[38]      Mark Thirlwell, 'Is the Foreign Investment Review Board acting fairly?', Institute of Public Affairs, AOIF Paper 4, p. 15, Lowy Institute for International Policy, Submission 56, Appendix 1.

[39]      For example, Submission 38 (Associate Professor Frank Zumbo), p. 5.

[40]      '...it is worth noting that the transaction documents would allow Chinalco to transfer its interests in the operating joint ventures including the Hamersley iron ore mines to another Chinese Government state-owned enterprise' and 'There is no prospect that an Australian or any foreign company would be able to acquire a stake of this kind in a major Chinese resource company – not least because they are all state owned'. Malcolm Turnbull, 'Power Balance in Asia: The Coalition perspective', Address to the Lowy Institute, Sydney, 1 May 2009, p. 9. http://malcolmturnbull.com.au/Media/LatestNews/tabid/110/articleType/ArticleView/articleId/454/Power-Balance-in-Asia-The-Coalition-perspective-Address-to-the-Lowy-Institute.aspx (accessed 5 May 2009).

[41]      Submission 31, p. 3.

[42]      Rio Tinto, Submission 47, p. 58.

[43]      People's Bank of China, as cited by the Sovereign Wealth Fund Institute, http://www.swfinstitute.org/ (accessed: 23 April 2009).

[44]      Committee Hansard, 1 July 2009, p. 29 and Submission 52 and 52a.

[45]      Committee Hansard, 1 July 2009, p. 30.

[46]      Committee Hansard, 1 July 2009, p. 38.

[47]      Committee Hansard, 2 July 2009, p. 3.

[48]      Committee Hansard, 1 July 2009, p. 45.

[49]      Adapted from Professor Peter Drysdale and Professor Christopher Findlay, 'Chinese Foreign Direct Investment in Australia: Policy Issues for the Resource Sector', Submission 40, p. 10.

[50]      Committee Hansard, 23 June 2009, p. 8.

[51]      Committee Hansard, 1 July 2009, p. 3.

[52]      Treasurer Wayne Swan , 'Government improves transparency of foreign investment screening process', http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2008/009.htm&pageID=003&min=wms&Year=2008&DocType=0 (accessed 18 August 2009).

[53]      Submission 40, pages 33, 25, 27.

[54]      Committee Hansard, 1 July 2009, p. 44.

[55]      Submission 32, p. 2.

[56]      Submission 56, p. 2.

[57]      Submission 56, p. 2.

[58]      Submission 40, p. 11.

[59]      Submission 40, p. 1.

[60]      Submission 40, pp. 25–26.

[61]      Proof Committee Hansard, 10 August 2009, p. 13.

[62]      Proof Committee Hansard, 10 August 2009, p. 15.

[63]      Committee Hansard, 1 July 2009, p. 47.

[64]      Committee Hansard, 2 July 2009, p. 3.

[65]      Mr Norman McNally, Committee Hansard, 2 July 2009, p. 20.

[66]      Mr William Edwards stated: 'would, I think, abolish the case-by-case approach to the review of foreign investments, because I think that all that leads to, ultimately, is creeping takeover of our assets', Committee Hansard, 1 July 2009, p. 23.

[67]      For example, Mr William Edwards, Committee Hansard, 1 July 2009, p. 23; Mr Ian Melrose, Committee Hansard, 10 August 2009, p. 25; Farmers from the Liverpool Plains, Committee Hansard, 1 July 2009, p. 14.

[68]      Farmers from the Liverpool Plains, Committee Hansard, 1 July 2009, p. 8.

Dissenting Report by Senators Joyce, Ludlam and Xenophon

[1]        Mr Mark Thirlwell, Australia's Open Investment Future, December 2008, pg 9

[2]        Institute of Public Affairs, Submission 32,  pg 7

[3]        Mr Mark Thirlwell, Australia's Open Investment Future, December 2008, pg 15

[4]        Mr Mark Thirlwell, Australia's Open Investment Future, December 2008, pg 9

[5]        Institute of Public Affairs, Submission 32,  pg 9

[6]        Lowy Institute for International Policy, Submission 56, pg 4

[7]        Institute of Public Affairs, Submission 32,  pg 11

[8]        Institute of Public Affairs, Submission 32,  pg 11

[9]        Institute of Public Affairs, Submission 32,  pg 11

[10]      Institute of Public Affairs, Submission 32,  pg 11

[11]      Mr Patrick Colmer, Proof Committee Hansard, pg 6

[12]      Lowy Institute for International Policy, Submission 56, pg 5

[13]      Lowy Institute for International Policy, Submission 56, pg 5

[14]      Chinalco, Submission 23, pg 3 and 4

[15]      Lowy Institute for International Policy, Submission 56, pg 7

[16]      Concept Economics, Submission 6, pg 16

[17]      Concept Economics, Submission 6, pg 16

[18]      Concept Economics, Submission 6, pg 19

[19]      Institute of Public Affairs, Submission 32, pg 2

[20]      Institute of Public Affairs, Submission 32,  pg 13

[21]      Mr Patrick Colmer, Proof Committee Hansard (04 June 2009), pg 12

[22]      Greg Sheridan, The Australian, 26 February 2009

[23]      Treasury, Australia's Foreign Investment Policy, March 2009

[24]      Treasury, Australia's Foreign Investment Policy, March 2009

[25]      Mr Mark Thirlwell, Australia's Open Investment Future, December 2008, pg 15

[26]      Treasury, Australia's Foreign Investment Policy, March 2009

[27]      Treasury, Australia's Foreign Investment Policy, March 2009

[28]      Mr Ian Melrose, Submission 8, pg 3

[29]      Michelle Grattan, The Age, TV ads oppose Chines firm’s bid for Rio Tinto, 1 June 2009

[30]      Amnesty International, China's human rights record http://www.amnesty.org.uk/content.asp?CategoryID=11204

[31]      Institute of Public Affairs, Submission 32,  pg 9

[32]      Associate Professor Frank Zumbo, Submission 38, pg 2

[33]      Associate Professor Frank Zumbo, Submission 38, pg 2

[34]      Associate Professor Frank Zumbo, Submission 38, pg 3

[35]      Associate Professor Frank Zumbo, Submission 38, pg 3

[36]      Australian Associated Press Financial Newswire, Lynas under pressure after Chinese Comments, 3 September 2009

[37]      Mr Patrick Colmer, Proof Committee Hansard, pg 10

Appendix 3 - Treasurer's 2008 guidelines for assessing proposals by SOEs

[1]        Principles Guiding Consideration of Foreign Government Related Investment in Australia, http://www.treasurer.gov.au/DisplayDocs.aspx?doc=pressreleases/2008/009.htm&pageID=&min=wms&Year=&DocType=0 (accessed 28 April 2009).

Appendix 4 - Major Chinese government-related investments in Australia[1]

[1]        Material form Professors Drysdale and Findlay's updated submission, p. 13. They note that this data was amended from Stephen Mayne's Mayne Report, Chinese investments in Australian resources, May 9, 2009; Track list of Chinese Government investments in Australian resource projects, available from http://www.maynereport.com/articles/2008/05/19-2213-8127.html. Mayne also provides a list of foreign owned resource projects at http://www.maynereport.com/articles/2007/07/17-2040-8377.html. Note: The firms listed here may be listed both in China and abroad and are not necessarily dominantly government-owned.