A federal plan to impose a new security test on overseas investors has sparked a backlash from foreign and state governments that fear the laws would breach trade deals and cost jobs.
The law would allow the Treasurer to “call in” companies that had already gained approval for their takeovers or investments, with a "last resort" power that could force them to divest an asset. “The new national security test proposed by the Australian government will unduly create such discrimination.”
The FIRB, chaired by former security chief David Irvine, approved deals worth $45.9 billion without conditions, approved $185.1 billion with conditions and rejected deals worth $10 billion.“While the EU supports Australia’s sovereign right to protect its national security, including in its foreign investment policy, this must be balanced with the need for legal clarity and investor certainty,” wrote the EU’s ambassador to Australia, Michael Pulch.
“At worst, we may end up with a system that is so broad in reach as to be open to abuse by future governments,” it said.
CroweDM This funny guy prevented a foreign company from buying a company owned by another foreign company in the name of security testing.