Australian unions want China mine deals watched

[Coventina]

Source: Reuters

CANBERRA/SYDNEY, Feb 19 (Reuters) - Australian unions want Chinese investments in the country's mining industry to be watched for signs of market manipulation as Bejing offers to invest billions of dollars to rescue ailing companies.

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"We are concerned that these companies holding strategic investments will seek to influence the supply-demand balance in their favour," said Paul Howes, national secretary of the Australian Workers Union (AWU).

The investments have also raised concern among politicians, but Rio Tinto's board -- battling huge debts since the crash in the commodities markets last year -- has endorsed the latest deal, although treasury approval is still needed.

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The calls by the AWU, which represents iron ore miners and the Construction Forestry Mining Energy Union (CFMEU), the dominant coal mining union, adds to political pressures on Australian Treasurer Wayne Swan to rule quickly on the Chinalco and Minmetals proposals.



Read more: http://uk.reuters.com/article/UK_MERGERS/idUKSP41302320090219