OUTBOUND INVESTMENT SURGES AS CHINA-AUSTRALIA TIE TIGHTENS

Australian Prime Minister Kevin Rudd's visit to China in April not only deepens the China-Australia relationship but also further opens the door for outbound investment. Seamus Cornelius, partner at Allens Arthur Robinson, said that as the Chinese government lifts some legal boundaries and the country has high demands for raw materials, the trend for local enterprises to make outbound investments in Australia will continue.

“Over the past few years, many of the procedural and legal restraints in China that previously hindered outbound investment have been removed. Given the strategic importance to China of securing its supply of key raw materials, none of the major PRC companies have any difficulty in obtaining the required approvals for outbound investment,” he said.