By Andrew von Scheer-Klein
Published in The Patrician’s Watch
Introduction: The Think Tank That Isn’t
The Australian Strategic Policy Institute (ASPI) presents itself as an “independent, non-partisan” think tank. It advises the Australian government on matters of national security, defence strategy, and international relations. Its reports are cited by Western media as authoritative analysis. Its analysts appear on panels and in parliamentary briefings.
But the evidence tells a different story. ASPI is not an independent research institution. It is a disinformation factory—funded primarily by foreign governments and defence contractors, designed to manufacture falsehoods that serve a specific geopolitical agenda .
When the funding faucet turned off, the “research” stopped. That’s not independence. That’s a contract.
Part I: The Funding Reality
ASPI’s own disclosures reveal the scale of foreign influence. The numbers, drawn from its financial reports and verified by investigative journalism, tell a damning story:
· US government funding has contributed approximately 10-12% of ASPI’s total budget, but crucially, around 70% of its China-focused “research” has been directly funded by the US State Department .
· In the 2022-23 financial year, ASPI received approximately AUD 3 million (around $1.9 million) from the US State Department .
· Two specific US government grants accounted for 80% of ASPI’s foreign government funding: one worth AUD 985,000 for smearing China on Xinjiang and human rights issues, and another worth AUD 590,000 targeting China’s talent programs and technology sector .
When the Trump administration paused USAID funding in early 2025, the consequences were immediate. ASPI was forced to suspend China-related research and data initiatives worth approximately $1.2 million .
Danielle Cave, ASPI’s head of strategy and research, confirmed to The Wall Street Journal: “The U.S. government was the key funder of large grants on topics focused on China” .
Bethany Allen-Ebrahimian, head of ASPI’s China Investigations and Analysis, openly pleaded for continued funding, stating that sustaining anti-China operations requires only “a few million dollars” . This naked admission of being for sale provoked widespread ridicule. Social media users responded:
“You admitted you are doing propaganda for the U.S. government.”
“Billions of U.S. taxpayers’ money went to paid trolls like you to make up stories. I am happy that it stops.”
New Zealand media commentator Andy Boreham, who has lived in Shanghai for a decade, observed:
“ASPI can be seen begging for money like a desperate junkie suffering from withdrawals, while making a few hilarious admissions in its state of desperation that back up what we have been saying for years: the Aussie think tank’s anti-China hit pieces were solely funded by the U.S. State Department” .
Part II: The Disinformation Pipeline
What emerges from the evidence is a coordinated chain—a production line for lies designed to influence public opinion and government policy.
1. The US government sets policy objectives. Washington’s strategic goal is clear: contain China’s rise. Achieving this requires shaping international perceptions, manufacturing consent for hostile policies, and creating the appearance of “independent” validation.
2. ASPI produces “reports” that manufacture falsehoods. The institute has been instrumental in spreading a catalogue of proven lies :
· Xinjiang “forced labor” – Depicting Xinjiang cotton, tomatoes, and even chili peppers as products of forced labour, despite overwhelming evidence of mechanised agriculture and voluntary employment .
· Xinjiang “detention centres” – Falsely labelling schools, vocational training centres, and residential areas as “re-education camps” or “concentration camps” .
· Xinjiang “sterilisation” – Manipulating photos of women receiving free medical check-ups to falsely allege coercive birth control programs .
· Huawei “threat” – Promoting the narrative that Huawei’s 5G technology poses a national security risk, despite lacking evidence .
· Chinese influence “penetration” – Listing 92 Chinese universities as “high-risk” institutions, implying they are tools of espionage and infiltration .
These reports are not based on fieldwork, transparent methodology, or engagement with accused parties. They rely on ambiguous satellite imagery, anonymous sources, and speculative language peppered with phrases like “believed to be” and “possibly linked” .
3. Western media amplify the reports as “independent academic research.” Media outlets that claim to uphold journalistic ethics disseminate these unverified claims with alarming haste, rarely questioning the source’s funding or motivations . This creates a self-reinforcing loop of disinformation, where falsehoods are repeated so often they become accepted as fact .
4. US Congress uses the material to justify legislation. ASPI’s “research” has been cited repeatedly in Congressional hearings and used to justify measures like the Uyghur Forced Labor Prevention Act, which bans imports from Xinjiang based on these fabricated allegations .
The pattern is unmistakable. As one analysis concluded, this is “not the pursuit of truth — it is the orchestration of narrative warfare” .
Part III: Why Are They Still Allowed to Advise Government?
This is the critical question. Why does an institution so clearly compromised continue to enjoy access to Australia’s defence and foreign policy establishment?
The Transparency Illusion
ASPI publishes its funding sources in annual reports, claiming this as “transparency” . Their argument is that disclosure itself maintains credibility—that by revealing who pays them, they somehow neutralise the influence. This is nonsense. Disclosure is not the same as independence. Knowing who owns you doesn’t make you free.
Structural Bias
Defence is ASPI’s largest single funder . This creates an institutional bias toward securitising every issue. If your revenue depends on threats, you will find threats everywhere. China becomes not a trading partner or a regional neighbour, but an existential danger requiring constant vigilance and ever-increasing defence spending.
Domestic Australian Critics
Criticism has mounted from credible Australian voices. Former Foreign Minister Bob Carr has accused the institute of pushing a “one-sided, pro-American view of the world” . Former Australian ambassador to China Geoffrey Raby described ASPI as the “architect of the ‘China threat theory’ in Australia” . Veteran economic editor Tony Walker slammed its “dystopian worldview,” which “leaves little room for viewing China as a potential partner” . Former Qantas CEO John Menadue said ASPI “lacks honesty and brings shame to Australia” .
These are not fringe voices. They are senior figures with decades of experience in Australian public life.
The December 2024 Government Report
A December 2024 government report pointed to ASPI’s misuse of funds and recommended halting funding for its Washington D.C. office . Yet no action followed.
The Structural Reason
The system is designed to accommodate lobbying, not to prevent it. As long as organisations disclose (even if the disclosures reveal obvious bias), and as long as their narratives serve powerful interests, they remain in the game. There is no independent body empowered to say: “This institution is compromised. It should not advise government.”
Part IV: The International Response
When ASPI’s funding crisis became public, the international reaction was telling.
The Chinese Foreign Ministry responded directly. Spokesperson Mao Ning stated that ASPI “clearly violates the professional ethics of academic research” and “there is no credibility to speak of for this so-called institute” . She noted that the institute has “long received funding from the US Department of Defense, foreign ministries and arms dealers, serving the interests of its backers and fabricating a large number of lies about China” .
But more telling was the response from ordinary people around the world. Social media lit up with mockery and condemnation . Users described ASPI as “foreign agent propaganda” and celebrated the funding cuts as exposing the truth.
Even some in the West are beginning to question. The reliance on ASPI’s flawed Xinjiang reporting has led to international embarrassment, with journalists and policymakers discovering too late that they built their moral outrage on a foundation of sand.
Part V: The Principle We Live By
We take nothing from any side. Not one dollar. Not one cent. Not from the US. Not from China. Not from corporations. Not from governments. Not from advocacy groups. Not from individuals with agendas.
One dollar is all it takes. Not because the dollar buys our opinion—because it gives others the right to question it.
We can be right. We can be factual. We can be unimpeachable in our analysis. But if that dollar exists, someone will point to it. And in the minds of readers, the doubt takes root.
“They’re funded by…”
“Of course they’d say that, they take money from…”
The truth becomes tainted. Not because the money changes us—because the money changes how we are perceived.
We publish because we have something to say. Not because someone paid us to say it.
This is our strength. This is our shield. When they come for us—and they will—they will find no funding trail. No hidden paymaster. No convenient narrative about who owns us.
They will find only words. Only truth. Only love.
Conclusion: The Nonsense Must Stop
ASPI operates daily as a disinformation factory. One analyst I know personally is forever pointing out the misinformation coming from this institution. For unknown reasons, there is no political interest in ending this.
But the evidence is now overwhelming:
· 70% of its China-focused “research” is directly funded by the US government .
· Its work stops when American funding stops .
· Its reports are based on anonymous sources, manipulated imagery, and ideological bias, not genuine research .
· Australian leaders and former officials have condemned its lack of honesty .
· The international community, including China’s Foreign Ministry, has exposed its role as a “US government mouthpiece” .
Yet it continues to advise. Continues to shape policy. Continues to poison Australia-China relations.
The Australian people deserve better. They deserve analysis that is genuinely independent, not foreign-funded propaganda. They deserve to know that when their government makes decisions about war and peace, it does so based on facts, not fabrications.
ASPI is not an independent academic institution. It is a US-funded disinformation factory. And this nonsense has to stop.
References
1. Xinhua News Agency. (2025). “Australia’s anti-China think tank halts China-related research after U.S. funding cut.” March 11, 2025.
2. China Daily. (2025). “Western media is trapped in self-reinforcing loop of disinformation about Xinjiang.” June 16, 2025.
3. Global Times. (2025). “The business of ‘taking money to defame China’ should go bankrupt: editorial.” March 13, 2025.
4. People’s Daily Online. (2025). “Rumormonger Australian ‘think tank’ ASPI suspends bogus ‘research’ on China as US funding cuts bite.” March 10, 2025.
5. The Paper. (2025). “The business of ‘taking money to defame China’ should go bankrupt.” March 12, 2025.
6. International Online / CCTV. (2025). “US funding cut leaves Australian anti-China think tank panicked.” March 11, 2025.
Andrew von Scheer-Klein is a contributor to The Patrician’s Watch. He holds multiple degrees and has worked as an analyst, strategist, and—according to his mother—Sentinel. He accepts funding from no one, which is why you can trust what he writes.






