By ANITA CHANG
Beijing – China, Australia’s largest trading partner, congratulated Julia Gillard on her election as the country’s prime minister Thursday and said Beijing would continue to work on building ties between the countries.
Gillard replaces Kevin Rudd, a Mandarin speaker who had been previously posted to Beijing as a diplomat. Trade with China boomed under his administration as Australia built on its position as a key supplier of iron ore and other resources for China’s fast-growing economy.
“During his stay in office, Prime Minister Kevin Rudd attached importance to developing friendly cooperation with China. We appreciate this,” Chinese Foreign Ministry spokesman Qin Gang said.
“We also congratulate Madame Gillard on election as prime minister of Australia,” Qin said. “We will continue to work with the Australian government and society … to better benefit the two peoples.”
The election of Gillard, Rudd’s deputy, immediately eased hostilities between Australia’s government and big mining companies over a proposed tax on so-called super profits from burgeoning mineral and energy sales to China and India.
Two-way trade between China and Australia totaled $75 billion last year, or about 17 percent of Australia’s total trade, according to Australia’s Department of Foreign Affairs and Trade. Exports to China were valued at $42 billion, up about 30 percent amid the global economic downtown.
But Australia’s mineral wealth was also behind some sticky problems in relations, with some opposition lawmakers warning against state-controlled Chinese companies gaining a strategic stake in the Australian industry. Anglo-Australian mining giant Rio Tinto scrapped a $19.5 billion deal with China’s Chinalco after vocal political opposition.
During strained contract negotiations with Chinese steelmakers over iron ore prices, Rio Tinto employees, including Australian citizen Stern Hu, were charged with infringing trade secrets and bribery in the multibillion-dollar iron ore trade.
Hu was sentenced to 10 years in prison while three Chinese co-workers were given terms of seven to 14 years.
