Former Australian leader questions focus on China

Hong Kong-based Citic Pacific's Sino iron ore project in the Pilbara region of Western Australia. It is one of China's largest investments in the Australian resources sector [ABC]
PHOTO

Hong Kong-based Citic Pacific's Sino iron ore project in the Pilbara region of Western Australia. It is one of China's largest investments in the Australian resources sector [ABC]

Last Updated: Tue, 1 May 2012 17:23:00 +1000

A former Australian prime minister, John Howard, says the world risks becoming too "mesmerised" by China.

Mr Howard has spoken at a mining conference in Perth, Western Australia, about the problems of relying on China to power economic growth.

The former Liberal Party prime minister says the political climate in China, and its ageing population, will create challenges for the country.

Mr Howard said Australia should not assume China will always buy Australia's resources.

"In more recent years, China has overtaken Japan in so many ways and it has become the best market that Australia has," he said.

"There's no reason why that shouldn't continue; there's a reasonable expectation that it should continue.

"But we shouldn't lose reality when it comes to China. The world runs the risk of being just a little mesmerised by China."

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