"We have to condemn his activities. He is using his political position to further his own business interests," he said.

Palmer's comments last week caused widespread condemnation from Australian politicians, business leaders and the general public, while sparking protests from the Chinese community in Australia.

Australian Prime Minister Tony Abbott was quick to rebuke Palmer saying the comments were destructive and counter-productive.

Abbott underlined the importance of Australia's biggest trading partner and said China's economic boom kept Australia going through the global financial crisis.

"It's one of the reasons why we want to maintain a very strong relationship with China, one of the reasons why what Clive Palmer said the other night was so destructive, and really it's very hard to understand why someone who wants to be influential in our nation's life would be so simplistic and counter-productive," Abbott said.

In a statement released after the prime minister's rebuke, Palmer said his comments were not aimed at the Chinese people, or the government, but were directed at the Chinese state-owned company Citic, in which he has a bitter legal dispute over mining royalties.

Citic has also accused Palmer of siphoning off millions of dollars from a business bank account to fund his election campaign, an allegation he denies.

On last week's television interview, Palmer referred to Chinese as "mongrels" and "bastards" who shoot their own people. "I don't mind standing up against the Chinese bastards and stopping them from doing it," he said. "I'm saying that because they're communist, because they shoot their own people, they haven't got a justice system and they want to take over this country."

Australian Foreign Minister Julie Bishop said the Australian Parliament does not share Palmer's "abusive" views.

"It is abusive and unnecessary language, and Mr. Palmer is in the middle of a bitter legal dispute with China, with a Chinese company and I don't think he should use his public position as a Member of Parliament to insult one of our major strategic and trading partners," Bishop said.

Bishop contacted the Chinese embassy and made sure that such views are not representative of the Australian Parliament and the Australian people.

Treasurer Joe Hockey, Agriculture Minister Barnaby Joyce, Trade Minister Andrew Robb and West Australian Premier Colin Barnett all stood up against Palmer's remarks.

Media magnate Kerry Stokes told Palmer to "separate his personal interests from the interests of the Commonwealth."

Palmer had a responsibility as a parliamentarian to look after the interests of the people he represents, rather than continually focus on his personal interests, he said.

The Chinese embassy in Australia has received emails of support from the Australian public who felt embarrassed by Palmer's tirade.

In one of the letters, one Australian said, "As an Australian citizen, I would just like to let you know that I am outraged at the remarks by Clive Palmer regarding the Chinese people. Please be assured that the majority of Australians do not hold these opinions. I would not like you to think that we are racist, as Mr. Palmer appears to be."

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