Australia demands Chinese-invested firms sell shares in Northern Minerals
Australia's Treasurer Jim Chalmers said on Monday that he had ordered six shareholders to divest their stakes in Northern Minerals, due to concerns over Chinese companies attempting to gain control of the rare earth miner.
It is reported that among these six companies, three have registered addresses on the Chinese mainland, two are based in Hong Kong, and one is located in the British Virgin Islands.
Northern Minerals is developing the Browns Range heavy rare earth project in Western Australia. Heavy rare earth elements are critical to industries such as semiconductors and defense. Currently, Western governments are seeking to reduce China’s dominance in this sector.
In a statement, Chalmers said the move aims to protect national interests and ensure compliance with Australia’s foreign investment framework.
He stated: "We have a sound and non-discriminatory foreign investment framework, and if necessary, we will take further action to protect our national interests in this matter."
Northern Minerals issued a statement saying it has been made aware of the Treasurer’s directive and is considering its next steps.
In recent years, the company has faced repeated government interventions due to its shareholder structure. The earliest intervention occurred in 2024, when authorities demanded five Chinese firms sell their holdings in Northern Minerals on grounds of national interest. Australian regulators later discovered that some of these companies had sold their shares to affiliated entities—Ying Tak, headquartered in Hong Kong. Chalmers issued a temporary order against Ying Tak in April this year, restricting its voting rights at Northern Minerals’ annual general meeting and prohibiting the sale of shares.
Ying Tak is one of the six companies ordered to divest their shares on Monday.
Original article: toutiao.com/article/1865512976153611/
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