ARTICLE · 08 MAY 2014

Proposed changes to FIRB approval process under free trade agreement with China

HopgoodGanim

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The article covers proposed changes to the FIRB approval process and implications for Chinese investments in Australia.

AustraliaGovernment, Public Sector

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On his recent visit to China, Tony Abbott delivered a speech in Shanghai addressing the Australia Week Lunch where he indicated the Australian Government's intention to consider changes to current requirements for Chinese investments, in particular by Chinese state-owned enterprises (SOEs).

It has been suggested that as part of the proposed China-Australia free trade agreement, the need for inbound Chinese investment to obtain approval from the Foreign Investment Review Board (FIRB) will be relaxed. Just how relaxed is yet to be confirmed.

In this Alert, Senior Associate Lea Fua explores the proposed changes to the FIRB approval process and the possible subsequent implications for all Chinese investments in Australia.

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