BEIJNG, 7 May 2021, (TON): Beijing has "indefinitely" suspended all activity under a China-Australia strategic economic dialogue.This has created a serious blow to already strained relations between the two countries.

The National Development and Reform Commission said, "Recently, some Australian commonwealth government officials launched a series of measures to disrupt the normal exchanges and cooperation between China and Australia out of a Cold War mindset and ideological discrimination. ".  

Meanwhile, Foreign ministry spokesman Wang Wenbin said it was a "necessary and legitimate" response to Australia "abusing" the concept of national security to pressure cooperation with China.  

Australia was the first country to publicly ban Chinese Huawei from its 5G network. Relations worsened last year when Australia called for an independent investigation into the origins of the novel coronavirus, prompting trade reprisals from China.

Australian Trade Minister Dan Tehan said the commission's decision was disappointing because the economic dialogue was "an important forum for Australia and China to work through issues relevant to our economic partnership."

Australia has, however, declined to sign agreements on direct participation in China's flagship foreign policy initiative. And last month Canberra canceled two Belt and Road cooperation deals struck by the state of Victoria, prompting the Chinese embassy to warn that ties were bound to worsen.

It is likely that Chinese company's controversial 99-year-lease on Darwin Port will be put under review for tougher measures but cannot be scrapped immediately.  Darwin is the most important port on Australia's north coast, the closest to Asia and a base for US Marines who rotate in and out of the country.