China hopes Australia can provide a fair and transparent environment for foreign investors, President Xi Jinpingsaid on Sunday, as he met Australian Prime Minister Malcolm Turnbull for the first time since Canberra blocked a major deal.
Australia angered China last month after Turnbull's government stopped the A$10 billion ($7.57 billion) sale of the country's biggest energy grid to Chinese bidders after they failed to overcome security concerns.
After a meeting on the sidelines of a G20 summit in the eastern Chinese city of Hangzhou, Xi said China "hopes the Australian side continues to dedicate itself to providing foreign investors a fair, transparent and predictable policy environment".
"This also accords with Australia's own interests," China's Foreign Ministry quoted Xi as telling Turnbull.
The decision has caused a rift between Australia and its biggest trading partner. China has accused Australia of bowing to protectionist sentiment in blocking the bid for Ausgrid, as well as an earlier one by a China-led consortium to buy cattle company Kidman & Co.
Speaking to reporters later, Turnbull said China understood as well if not better than anyone else that it was Australia's sovereign right to determine who invests there and the terms in which they invest.