O/T: Economic Recovery After COVID-19

[merahputih]

https://www.abc.net.au/news/2019-03-12/why-did-northern-territory

Sorry, link doesn't work.

 

[merahputih]

https://www.abc.net.au/news/2019-03-12/why-did-northern-territory

Sorry, link doesn't work.

https://www.theguardian.com/australia-news/2016/dec/18/how-th

 

[merahputih]

Got a link for that?

If the Yanks were so worried about Chinese interests in Darwin, then maybe they should have come to the bidding table.

For decades now the USA have been given plenty by Australia. It has been a while since they've given much in return. In East Timor, for example.

Willow, cannot get link to Guardian article to work. If you want to Google 'Guardian Darwin Port Lease to China' it has a full article on the background.

 

[Willow]

I believe the US Government was not impressed by the Darwin port Chinese deal and made its feelings very clear to the Australian Government. The Yanks have a strong military presence in Darwin with a Marine unit, regular navel visits and air units and didn't want the Chinese looking over their shoulder.

Willow, cannot get link to Guardian article to work. If you want to Google 'Guardian Darwin Port Lease to China' it has a full article on the background.

Thanks for trying.

Do you mean this?

https://www.theguardian.com/austral...t-to-the-chinese-sparked-a-geopolitical-brawl

This is all from the article:

It seems that Darwin has a long relationship with China and in particular those with Chinese heritage who are amongst Darwin’s oldest families. It also appears that the diplomatic upheaval has more to do with China and the USA 'shadow boxing' in the South China Sea.

The NT government had made 14 requests to Canberra to upgrade the port, but to no avail. Moreover, the Dept of Defence didn't think it was worth more then a passing glance. The deal was rubber stamped by Tony Abbott.

When the USA demanded to know why they were not not consulted, Malcolm Turnbull told them they could have read it in the newspaper.

Looks to me like a mixture of departmental stuff ups and poor communication from both the USA and Australia.

Perhaps the US were taking Australia for granted, and they simply were too slow to act. China only needed to dangle a juicy carrot in front of Darwin, and Canberra saw the financial benefit. In a competitive market, that's kind of how capitalism works. The irony being that China were the opportunists, a field of expertise where the USA are normally king.

 

[Old Timer]

This is an ABC news article re darwin Port and gives a good insight as to how and why.

https://www.abc.net.au/news/2019-03...-sell-darwin-port-to-china-what-risk/10755720

 

[merahputih]

Thanks for trying.

Do you mean this?

https://www.theguardian.com/austral...t-to-the-chinese-sparked-a-geopolitical-brawl

This is all from the article:

It seems that Darwin has a long relationship with China and in particular those with Chinese heritage who are amongst Darwin’s oldest families. It also appears that the diplomatic upheaval has more to do with China and the USA 'shadow boxing' in the South China Sea.

The NT government had made 14 requests to Canberra to upgrade the port, but to no avail. Moreover, the Dept of Defence didn't think it was worth more then a passing glance. The deal was rubber stamped by Tony Abbott.

When the USA demanded to know why they were not not consulted, Malcolm Turnbull told them they could have read it in the newspaper.

Looks to me like a mixture of departmental stuff ups and poor communication from both the USA and Australia.

Perhaps the US were taking Australia for granted, and they simply were too slow to act. China only needed to dangle a juicy carrot in front of Darwin, and Canberra saw the financial benefit. In a competitive market, that's kind of how capitalism works. The irony being that China were the opportunists, a field of expertise where the USA are normally king.

Thanks, Willow. That's the one. I have a particular interest in Darwin, having worked there for 25 years in both government and private sectors. The place was always a hotbed of rumors and pipe dreams about the next big scheme that would turn it into the 'Gateway to Asia' or a bustling mining hub, etc, etc. In reality it was totally dependent on Federal funding.There was even a a big effort in the 80's to gain Statehood (with a population of about 150,000!). These days it's an economic basket case after a brief construction boom for the gas hub. That aside, it was a great place to live, with a unique lifestyle and wonderful people.

 

[Willow]

Thanks, Willow. That's the one. I have a particular interest in Darwin, having worked there for 25 years in both government and private sectors. The place was always a hotbed of rumors and pipe dreams about the next big scheme that would turn it into the 'Gateway to Asia' or a bustling mining hub, etc, etc. In reality it was totally dependent on Federal funding.There was even a a big effort in the 80's to gain Statehood (with a population of about 150,000!). These days it's an economic basket case after a brief construction boom for the gas hub. That aside, it was a great place to live, with a unique lifestyle and wonderful people.

Only been there for a short period once. Stayed pretty much in the middle of town at the Palms City Resort - great location, could walk to most places. Found the best oyster bar on the waterfront. Litchfield, Adelaide River all a short drive away. Would love to go back again. Didn't get over to the Tiwi Islands but maybe next time.

 

[redandwhite4evr]

I am glad you mentioned this Muzby. I agree that the Aussie manufacturing industry needs to be re-introduced into our economy. More factories to employ a lot of people with the aid of computerised technology. The people need work to enable the economy to grow and for them to put bread on the table every night.

The other thing is - everyone should save for a rainy day ( a few dollars here and there if possible) just to help them get by when another pandemic comes along. Don't forget, our flu season starts in a few months so make sure you get your flu shots guys.

There was a minor story today (23/4) that I think totally supports yours and Muzby's thoughts re investment in manufacturing industry DD. Apparently China is selling PPE including hundreds of millions of face masks to us with markups of up to 1000%. So not only does China cause the problem, they're making a massive profit out of it.

 

[Dragon David]

There was a minor story today (23/4) that I think totally supports yours and Muzby's thoughts re investment in manufacturing industry DD. Apparently China is selling PPE including hundreds of millions of face masks to us with markups of up to 1000%. So not only does China cause the problem, they're making a massive profit out of it.

Yes, stuff up all other countries economies and build up their own to take control I would say. They probably have got a vaccine already so that their people can all get back to work soon and business and their economy will boom.

 

[Slackboy72]

Very suprising Belgium is so high on the list with investments in Australia.....they have great beer though

Okay. This is my specialty. Sorry.

Belgium ranks so highly because they have financial clearing houses where Australian companies (mostly banks) issue debt securities overseas. Also derivatives with European banks can be cleared through there as well as London. Anyone can buy them, including Australians, but the companies report the liability to Belgium.

If you want to know who owns what look up the excel spreadsheets for that publication and look at the equity liabilities table.

Ultimately you'll find China is significant but nowhere near the biggest. The problem is that the CCP can take control of those investments at a moments notice. A lot of chinese banks started sending money back to China a few years ago. Not because they wanted to. They were ordered to by the central bank in China. The same happened with buying medical supplies in Australia earlier this year and exporting them back to China. There was no economic incentive to do it. It was an order from Beijing.

 

[Dragon David]

Okay. This is my specialty. Sorry.

Belgium ranks so highly because they have financial clearing houses where Australian companies (mostly banks) issue debt securities overseas. Also derivatives with European banks can be cleared through there as well as London. Anyone can buy them, including Australians, but the companies report the liability to Belgium.

If you want to know who owns what look up the excel spreadsheets for that publication and look at the equity liabilities table.

Ultimately you'll find China is significant but nowhere near the biggest. The problem is that the CCP can take control of those investments at a moments notice. A lot of chinese banks started sending money back to China a few years ago. Not because they wanted to. They were ordered to by the central bank in China. The same happened with buying medical supplies in Australia earlier this year and exporting them back to China. There was no economic incentive to do it. It was an order from Beijing.

Very interesting, thanks. I must do a bit of research on this Slackboy72.

 

[Slackboy72]

Just to follow up on this. Who owns what...

Equity is ownership in Australian companies.
Direct is more than 10% (usually more than 50%, often 100%).
Portfolio is less than 10% (usually through the ASX)

Canada - Pension funds like the CPPIB and the Teachers PP have made a lot of direct acquisitions over the last decade.

China and Hong Kong - Mostly setting up financial operations such as banks. Hong Kong is more financially focused so has more investments in the share market through investment funds.

Japan - Has been investing in Australia for a long time. Recent big ones include Toll and some life insurance companies.

Netherlands - Used as a holding company haven due to favourable reporting requirements. Money can come from anywhere including Australia.

New Zealand - Mostly NZ super funds investing in the ASX.

UK - Large amount of money flows through London. Ultimate owner could be elsewhere. Lots of investment in Australian mining.

USA - NY is the epicentre of investment banking. Lots of ownership of Australian equity through multinational parents.

 

[Warabrook saint]

Just to follow up on this. Who owns what...

Equity is ownership in Australian companies.
Direct is more than 10% (usually more than 50%, often 100%).
Portfolio is less than 10% (usually through the ASX)

Canada - Pension funds like the CPPIB and the Teachers PP have made a lot of direct acquisitions over the last decade.

China and Hong Kong - Mostly setting up financial operations such as banks. Hong Kong is more financially focused so has more investments in the share market through investment funds.

Japan - Has been investing in Australia for a long time. Recent big ones include Toll and some life insurance companies.

Netherlands - Used as a holding company haven due to favourable reporting requirements. Money can come from anywhere including Australia.

New Zealand - Mostly NZ super funds investing in the ASX.

UK - Large amount of money flows through London. Ultimate owner could be elsewhere. Lots of investment in Australian mining.

USA - NY is the epicentre of investment banking. Lots of ownership of Australian equity through multinational parents.

Excludes SARs........thank f*@! for that

 

[Dragon David]

Just to follow up on this. Who owns what...

Equity is ownership in Australian companies.
Direct is more than 10% (usually more than 50%, often 100%).
Portfolio is less than 10% (usually through the ASX)

Canada - Pension funds like the CPPIB and the Teachers PP have made a lot of direct acquisitions over the last decade.

China and Hong Kong - Mostly setting up financial operations such as banks. Hong Kong is more financially focused so has more investments in the share market through investment funds.

Japan - Has been investing in Australia for a long time. Recent big ones include Toll and some life insurance companies.

Netherlands - Used as a holding company haven due to favourable reporting requirements. Money can come from anywhere including Australia.

New Zealand - Mostly NZ super funds investing in the ASX.

UK - Large amount of money flows through London. Ultimate owner could be elsewhere. Lots of investment in Australian mining.

USA - NY is the epicentre of investment banking. Lots of ownership of Australian equity through multinational parents.

Thanks Slackboy72