Defence strategist Tyson Sara says China’s suspension of its economic accord with Australia comes after it ran out of exports to sanction and is “another step” in the communist power “isolating itself”.
In a statement on a Chinese government website, Beijing declared the decision was based on the current attitude of the Australian government towards China-Australia cooperation.
“They’re not really going to sanction the stuff that they need, and we’ve seen record iron ore prices,” Mr Sara said.
“They can sanction barley, they can sanction wine, they can do some of the things that hurt us that don’t hurt them.
“I think they have run out of those economic levers for now – don’t ever rule it out – but taking this action is just another step in, I think, China isolating itself rather than strengthening its own position.”