Someone has hit the pause button on Australia’s business ties with Asia.
After a decade of strong growth, engagement with Asia has dropped off.
The sixth PwC Melbourne Institute Asialink Index shows engagement eased 0.4% in 2012.
The index report says:
One of the main reasons for this is a significant fall in Australia’s total investment engagement with Asia, particularly China.
Despite this, all other measures of engagement with China – which experienced a significant political transition in 2012-13 – increased in this year’s Index.
The Index presents many other encouraging trends including strong increases in Australia’s tourism and migration engagement with Asia, as well as increases in overall engagement with Indonesia and India.
Australia’s overall engagement with ASEAN and Japan has remained relatively stable and high.
This chart shows the rapid growth in Australia’s business ties with Asia: