China-Australia relations: is this the start of ‘mining boom 2.0’ as Canberra rakes in cash from iron ore rally?

China is making Australia rich as record-breaking iron ore prices lift revenues for both miners and the Australian government, despite a long-standing bilateral political conflict, but Australia is unlikely to enjoy another decade-long mining “boom”, according to analysts and economists.

Canberra, which recently began discussing the possibility of “war” with China, likely gained an additional A$37 billion (US$28.75 billion) in revenue in the past year due to the skyrocketing price of iron ore, which surpassed US$230 a tonne last week, topping the previous record of US$200 set about a decade ago.