Since the Solomon Islands signed a controversial security agreement with China last year, Australia, the US and other western countries have been concerned Beijing will try and establish a naval base on the small country.
On Wednesday, an official from the Solomon Island’s government confirmed China Civil Engineering Construction Company (CCECC) was awarded the port contract, the Reuters news agency reports.
The Chinese state firm was the sole bidder in a competitive tender.
“This will be upgrading the old international port in Honiara and two domestic wharves in the provinces,” Mike Qaqara, from the Solomons’ infrastructure development ministry, said.
He said there would be “no expansion” of the port upgrade.
Samoa’s Prime Minister Fiamē Naomi Mata’afa, who has been visiting Australia, was quizzed about the Chinese state company being awarded the port contract.
She told reporters “this is a commercial port, although I think the fears are it might morph into something else … dual purpose”.
“Other countries also have military or naval stations within the region,” she added.
Yesterday, Mata’afa met Prime Minister Anthony Albanese to sign a cooperation agreement between the two countries.
The Australian Department of Foreign Affairs and Trade told 9News.com.au it was watching developments.
“The Australian Government closely monitors developments which might impact on our national interest,” a spokesperson said.
“The Solomon Islands Infrastructure Development Ministry has said that there will be no expansion of the port for dual use.”
It’s also become a major trading partner for Pacific Island economies.
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