Australia has been a key destination for China’s mergers and acquisitions overseas. In 2016-2017，China’s direct investment in Australia has maintained its momentum，achieving unprecedented levels in both volume and proportion of private investment. Despite strengthened foreign investment regulation in agriculture and infrastructure，enthusiasm and the number of successful deals have remained strong. The country’s attraction as a foreign investment destination for Chinese enterprises is cast in shadow，however，as political rivaling gets tense at home and debates over national security，in particular cyber security，heat up. This will be most applicable for investment in infrastructure. Companies planning to invest in Australia are advised to base their decisions on circumstances specific to their individual cases，including their vision，goals of development，sectors and companies they are going to invest in，as well as risks or benefits brought about by fluctuations in foreign exchange. Good timing and professional services are also essential.