Interview: Chinese Chamber of Commerce marks decade of "win-win," growing investment in Australia

The China Chamber of Commerce in Australia is looking to build on the steady growth and achievements of its members' Australian investments for the past decade, including expanding their reach to all parts of the country and involving more local businesses in its network.

The chamber's chairman, Hu Shanjun, who is also general manager and country head of Australia, Bank of China, said Chinese investment as seen through the chamber members' work has proven to be a "win-win" situation.

"We've steadily grown bigger, with more members, most of which are Chinese businesses," said Hu, who was speaking in an interview with Xinhua, together with other leading representatives from a number of chamber members, at Bank of China's Sydney headquarters.

"We encompass a wide range of industries and sectors, from the financial sector, to aviation, agriculture, steel and mining."

The China Chamber of Commerce in Australia is marking its 10th anniversary this year, with major celebrations for the milestone lined up at The Westin Sydney on Nov 15. The non-profit organization has grown to include 289 members across New South Wales, Victoria, Western Australia and Queensland.

By the end of September, the chamber's Sydney branch had 127 members and its Melbourne branch had 57. All its members form a major part of Chinese investment in Australia, which hit 74.9 billion Australian dollars in 2015, according to the Australian Department of Foreign Affairs and Trade.

The organization aims to provide services that include helping to protect the legal rights of its members as well as promoting the development of bilateral trade and economic exchanges. It also serves as a bridge between China and Australia to facilitate the business development of its members as a major role.

"Next year, firstly, we'll be looking at expanding our work to all states beyond the four that we currently have presence in, to the rest of the country, to grow our role and investment. That includes South Australia, Tasmania, the Northern Territory and the Australian Capital Territory," Hu said.

"Secondly, we'll definitely be looking at including more Australian companies, Australian members. There's a lot of potential in that. Most of our members are Chinese companies now. But I've actually spoken to a number of Australian industry players and businesses, such as those from the financial sector, and they've expressed keen interest in joining us and playing a role."

That will certainly build on the work of the chamber so far, Hu said.

"Our businesses have helped with a lot of jobs here, it's contributed a lot to the economy, in terms of taxes and beyond. We've also spent much time and made a lot of effort to contribute to society, including corporate social responsibility, facilities, public welfare and education projects," he said.

Other chamber members similarly highlighted the contributions of their association to the Australian economy, as well as the benefits and rewarding experience they reaped from doing business in the country.

The chamber's deputy chairman, Wang Ji, the president of resources and minerals assets development company Sino Mining Australia Pty Ltd, a member of leading global metals and minerals conglomerate China Minmetals Corporation now possessing a vertically integrated, trade-based and resource-backed production chain, cited one prominent case of "saving" a beleaguered Australian company.

"Following the acquisition of the majority of Oz Minerals by China Minmetals, carried out just about a year after the 2008 financial crisis, a number of measures were rolled out to help the new Minerals and Metals Group deal with the transition and changes in the sector. In a way, that significantly helped the troubled Oz Minerals, the company and its staff," Wang said.

Leo Liu, general manager of CCIC Australia, which focuses on services of accreditation, inspection and testing of Australian exports to China, said his work actually involves helping to keep both the Chinese and Australian sides "happy."

"Local companies that approach us for help, mostly small- and medium-sized, and industrial associations such as Wine Australia and Dairy Australia, expressed their concerns particularly in registration and certification to get their products to Chinese consumers," Liu said.

"For example, about two years ago, some Australian grape batches exported to China were found to contain pests during routine inspections. The head of the relevant association came to us for help. We gave them advice and actually helped them resolve the problem. We referred their problems to related Chinese authorities for verification so that their exports could be resumed, after measures were taken to ensure the quality and safety of their products.

"We are familiar with the standards and we can help both sides communicate effectively so that business can be conducted successfully. We are now upgrading a traceability system to trace the origin of Australian exports so that a better channel can be built to facilitate Sino-Australia trade," Liu said.

Members also lauded the positive Australian investment environment and spoke highly of its transparency.

Zhang Baocai, who chairs coal mining giant Yancoal Australia's executive committee, said Australia boasts a developed economic environment where businesses are protected by a sound legal system.

"It's safe to invest here. We've been here for more than 10 years and overall, for a Chinese company to be here, we've learned and benefited a lot in terms of the legal framework, management, human resources and other areas," Zhang said.

He also allayed recent fears that Chinese companies such as Yancoal might gain too much control of Australian assets or resources.

"We're operating a market-driven enterprise in line with global economic forces," Zhang said.

"Some mistakenly believe, for instance, that we corner the resources and direct them back home. But our main markets include Japan, South Korea and India.

"It's totally transparent and it's all part of a positive experience that we get from doing business here. All of that is facilitated by important two-way exchanges and open communication."

Hu, of Bank of China, believed the China Chamber of Commerce in Australia, from its initial stages to the present, has done a lot of work and put in a lot of effort to build China-Australia, people-to-people links.

"We'll certainly continue to do all of that going forward, to play an active role and continue contributing." Endit