China-Australia economic dialogue suspended

China has suspended an economic dialogue with Australia, stepping up a pressure campaign that began over Australian support for a probe of the coronavirus and has disrupted exports to the country’s biggest foreign market.

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Relations have plunged to a multi-decade low since Beijing blocked imports of Australian coal, wheat and other goods over the past year. But it has failed to force Prime Minister Scott Morrison’s government to offer concessions.

The Chinese government accused Australia of taking steps “to disrupt normal exchanges” due to a “Cold War mindset and ideological discrimination.”

China is Australia’s No. 1 foreign market, but the sanctions impact has been limited because Chinese steel mills still buy Australian iron ore, the country’s most valuable export.

China blocked imports of most Australian goods last year after its government called for an investigation into the coronavirus, which emerged in central China in late 2019.

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