Police spotted a Mercedes S-Class in Strathfield, in the city's inner west, about 2.50pm on Friday bearing a police insignia on the doors and bonnet, the word 'police' in Mandarin and the misspelt word 'poilce' in English.

The 21-year-old driver allegedly presented a forged document to officers, claiming the vehicle was being used to transport Chinese consulate officials.

Officers searched the car and allegedly discovered a box containing 48 live rounds of ammunition in the boot.

It's just so unbelievably disrespectful to Australia as a country, and to all Australians. They openly support the Chinese government - (and) they think so little of Australia and Australians, they think that they are a law unto themselves.

They act as though we already are basically just a vassal state or a puppet state, and they don't have to show any respect for our laws, our police, our country.