Changing foreign investment rules caused by seemingly discriminatory Australian politics is starting to frustrate Chinese investors who want a level playing field in an open and competitive marketplace.

While Australia says it welcomes Chinese investment and wants to increase bilateral trade, actions seem to be speaking louder than words following recent reactions by political leaders that now risk their transition from mining-led growth.

Australia's foreign investment regime changes appear reactive to investment into a country that has burgeoning business opportunities under established rules and a transparent political process.

The lease of Darwin's port to Chinese-backed Landbridge flamed the internal political debate surrounding direct foreign investment into Australia, focusing on the Chinese, a re-incarnation of similar debates regarding US and Japanese investments over Australia's history.

After Australian Prime Minister Malcolm Turnbull was publicly derided by US President Barack Obama over the issue - Australia houses a rotating deployment of US marines in Darwin - Australian Treasurer Scott Morrison claimed foreign investment rules would be reviewed.

Under current Australian law, assets owned by Australian states are not subject to approval by the Foreign Investment Review Board (FIRB), however Australia's defense officials had consulted with the Northern Territory government over the lease and found no issue.

On the same day, Morrison declared Australia's largest cattle ranch, S. Kidman & Co, could not be sold to a foreign bidder. The two bidders at the pointy end of negotiations were both Chinese who see the potential of Australia's agriculture industry and were prepared to pay upwards of 350 million Australian dollars ($251 million) for the ranch.

Ownership of Australia's farmland has entered the political debate in recent years, with Australia's business council saying up to 1 trillion Australian dollars of foreign investments are needed by 2050 for Australia's agriculture industry to meet its full potential and demand.

The recent passing of new regulations through Australia's parliament that were designed to appease local interests is likely to hinder that growth.

Chinese investments into agriculture that exceed 15 million Australian dollars - down from 252 million Australian dollars - are now forced to be reviewed and approved by the FIRB. However, other countries are exempt, despite the fact that investment into Australia's agricultural sector remains comparatively low, according to FIRB.

It's a strong message being sent when China and Australia are meant to be great friends after signing the China-Australia Free Trade Agreement.

Many Australian analysts said Chinese investments into Australia's economy are a positive thing and should be encouraged. Australia's Trade Minister Andrew Robb is openly trying to attract Chinese investments into Northern Australia to help spur growth, highlighting the region's commercial potential.

However, why should Chinese investments that are wanted and needed in other parts of the world be subjected to an unequal playing field?

The main driver to the legislated and regulatory resistance are the xenophobic domestic political forces which need to appease conservatives following the ousting of former prime minister Tony Abbott in September's backroom party coup.

The sensitivity surrounding foreign investors in Australia's rural and farming communities has local politicians attuned to keeping their constituents happy.

Maybe these constituents should know in 2014 the US accounted for 163.4 billion Australian dollars worth of direct foreign investment into Australia, compared with China's 29.97 billion Australian dollars, according to the Australian Bureau of Statistics.

One of the advantages Australia has was its overwhelming abundance of hard commodities, however their transitioning is likely to be much harder without foreign investment.

Chinese businesses, like all businesses, don't expect special favors from governments, but only want a fair playing field. When the playing field isn't fair and more and more barriers are put up, they will reassess their priorities.

This is a commentary of the Xinhua News Agency. The article first appeared on Xinhua. opinion@globaltimes.com.cn