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Australia summons Chinese envoy over Rio 'spy'

by Staff Writers
Melbourne (AFP) July 13, 2009
Australia Monday summoned China's top envoy for the third time in a week as it came under fresh pressure to win the freedom of a senior mining executive detained as a "spy" in Shanghai.

Foreign Minister Stephen Smith said officials pressed acting ambassador Hong Liang for details about Rio Tinto executive Stern Hu, whose arrest has cast a shadow over a key trading and diplomatic relationship.

"This is the third time that (the foreign ministry) has spoken to the acting ambassador since last Monday. Australian officials will make the same points in Beijing," Smith said in a statement sent to AFP.

Hu was arrested on July 5 and has been accused of espionage and stealing state secrets by bribing staff at Chinese steel companies during protracted iron ore price negotiations.

Consular officials were given access to Hu on Friday, and said he was being treated well. However, diplomatic protocols provide for no further meetings for another month.

Beijing is yet to detail the allegations against Hu, who led the iron ore negotiations, but it says it can prove its claims.

A Chinese official on Monday said the talks were continuing despite the arrest of Hu and three colleagues. The fast-growing Asian giant has become the world's biggest buyer of iron ore, the main ingredient in steel.

Meanwhile Finance Minister Lindsay Tanner said "yelling and screaming" would not help Hu, as opposition attacks increased on the government's handling of the case.

"Ultimately there is a task here for the Australian government, and that is to maximise the person concerned's prospects of regaining his freedom," Tanner told reporters.

"That means the situation has to be dealt with intelligently and carefully, not with the megaphone."

Shadow foreign affairs minister Julie Bishop had earlier renewed calls for Mandarin-speaking Prime Minister Kevin Rudd to intervene in the case.

"The government must stop pussy-footing around and raise this matter with the Chinese government in Beijing," she said.

Australia has warned Hu's detention risks damaging China's business reputation abroad and predicted a lengthy diplomatic stand-off over his fate.

China is Australia's number two trading partner, in a relationship worth 58 billion US dollars last year, according to official figures.

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China says steel talks on despite Rio Tinto negotiator's arrest
Shanghai (AFP) July 13, 2009
Strained price negotiations between China's steel mills and iron ore producers are continuing, a Chinese official said Monday, despite Rio Tinto's lead negotiator being arrested on spy charges. The China Iron and Steel Association, which represents Chinese mills in the talks, said the negotiations had not been suspended after Rio Tinto executive Stern Hu, who represented producers, was ... read more







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