Mineweb states that China has extended its investigation into suspected corporate espionage by mining giant Rio Tinto employees in China by a month.

The four employees, including Australian citizen Stern Hu, were detained in July on suspicion of stealing state secrets. Their formal arrest a month later was based on the charge of stealing commercial rather than state secrets.

Zhang Peihong, a defense attorney for Wang Yong, a member of Rio's Shanghai-based iron ore team, stated that the extension of the investigation came following a request of the public security bureau.

Also detained was a senior Chinese official at Shougang Steel in Beijing. This step came in addition to the launching of an investigation of other Chinese steel officials. Mineweb states that members of in the industry view these steps as a bid by the China Iron and Steel Association to gain control over the sector.

According to Chinese law, following this one-month extension, authorities may grant two more extensions of two months each.

The espionage incident caused tension between Australia and China as it came in the wake of Rio Tinto’s refusal to take part in a $19.5 billion plan to sell shares and assets to state-owned Aluminum Corp. of China. Instead, Rio Tinto established a $5.8 billion iron ore JV with diamond giant BHP Billiton.

However, according to recent reports, Rio Tinto Alcan Automotive is currently in the process of establishing a joint venture with China's Changchun Engley Automobile Parts Co. It would appear that the new joint venture makes it clear that recent tensions will not be allowed to prevent the countries, and their mining giants, from pursuing profitable deals that further their global ambitions.