The China-Australia Strategic Economic Dialogue deal has been pulled “based on the current attitude” of the Australian government, China’s National Development and Reform Commission said in a statement, blaming some officials of “ideological discrimination”.

Beijing will “indefinitely suspend all activities under the framework” of the agreement, the statement said.

The Australian dollar sank 0.6% soon after the news.

The Australian government has previously described the deal – designed to boost trade between both sides and introduce large Chinese investors – as one of the “premier bilateral economic meetings with China”.

But relations between the two have plunged into the deep freeze.

Last month, Prime Minister Scott Morrison’s government scrapped a Belt and Road deal between Beijing and the state of Victoria – part of China’s massive infrastructure initiative across Asia and the world.

And this week Australia said a Chinese company’s controversial 99-year-lease on Darwin Port was also under review and could be scrapped.

Darwin is the most important port on Australia’s north coast, the closest to Asia and a base for US Marines who rotate in and out of the country.

The announcement prompted a furious response from China, which warned of “serious harm” in the already fractured relationship.