An editorial columnist of a Chinese government-owned newspaper has hinted for the State to imitate Australia's proposed resource rent tax.

''A hint to this nation's policymakers: If they are looking for guidelines to the long-awaited tax reform, take a good look at Australia's latest plan to increase worker pension funds with a new tax on resource projects,'' said China Daily, the Communist Party's main English-language newspaper.

Several Chinese economists and chief economist Justin Lin f World Bank also urged for the government to produce its own resource tax with a five-year economic plan to "conserve resources and promote efficiency."

Yesterday's editorial also stressed the need for a similar tax policy so that China may achieve its energy-intensity level targets and reduce carbon emissions.

''This nation is badly in need of reforming the resource tax to conserve resources and protect the environment," the editorial said.

''The country is not doing enough to save its resources, particularly because of the need to fight the worst global recession in decades.''

Meanwhile, an analyst from Mysteel said that Chinese steel mills are worried that they may be the ones to pay for the tax instead of Rio Tinto and BHP Billiton.

''The cost will be transferred to steel mills, then eventually customers,'' said analyst Xu Xiangchun, of Mysteel.

He stressed that Australia's proposed resource rent tax will hinder the flow of investments from China to Australian mining projects.

''Chinese companies will definitely be less willing to invest in Australia and will look for other destinations,'' he said.

Another senior executive of a Chinese company said it originally planned to invest in projects in Australia, however, it may think otherwise after hearing of the resource rent tax.