CANBERRA, 22 April, 2021 (TON): Australia has cancelled two Chinese “Belt and Road” infrastructure building initiative deals with a state government, provoking an angry response from Beijing.

Foreign Minister Marise Payne said on Wednesday that the bilateral deals with Victoria state were among four vetoed under new laws that give the federal government power to overrule international agreements by lower-level administrations that violate the national interest.

The “Belt and Road” deals struck with Beijing in 2018 and 2019 triggered the legislative response.

Victoria Education Department pacts signed with Syria in 1999 and Iran in 2004 were also canceled.

“I consider these four arrangements to be inconsistent with Australia’s foreign policy or adverse to our foreign relations,” Payne said.

The Chinese Embassy in Australia said in a statement the decision “further shows that the Australian government has no sincerity in improving China-Australia relations.”

The Chinese embassy said while referring to the Australian government, “It is bound to bring further damage to bilateral relations, and will only end up hurting itself.”

However, the move marks a significant escalation that could push icy bilateral relations into an abyss.

Australia’s bilateral relations with its most important trading partner are at their lowest point in decades. Chinese government ministers refuse to take phone calls from their Australian counterparts, and trade disruptions are widely seen as China imposing economic punishment.