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Australia minister: Chinese investment important to economy

(Xinhua)
Updated: 2008-04-30 17:21

Australian Treasurer Wayne Swan said on Wednesday Chinese investment has a role to play in the Australian economy.

The Australian government welcomed foreign investment and did not discriminate in terms of the source country, Swan told the Sky news.

Swan's comments came after China's largest iron ore trader, Sinosteel Corp, appeared to have done a deal to buy West Australian miner Midwest Corp.

"As it goes to individual takeovers, I don't make comments about those at all," the minister said.

"Chinese investment has got a role to play in this country but we've made it very clear when it comes to foreign investment from Chinese government entities that we will apply our national interest criteria as we do in all other cases.

"We think it's important that investment is competitive, that investment is non-strategic, and that investment is in our national interest", he said.

Midwest's board has recommended shareholders accept Sinosteel's 1.36 billion Australian dollars ($1.27 billion) takeover offer. But it is unclear whether the directors, who own 16 percent of the company, will accept the deal for their own shareholding. Sinosteel already holds 19.89 percent of Midwest.