Canberra–Beijing trade relations advance as Albanese confirms July visit - Trade Treasury Payments

Australian Prime Minister Anthony Albanese will travel to China later this week, as both governments signal interest in recalibrating trade ties and reviewing the China-Australia Free Trade Agreement (ChAFTA).

The week-long visit, running from 12 to 18 July, will include meetings in Shanghai, Beijing, and Chengdu. It follows a gradual improvement in bilateral relations since 2023, when China began unwinding trade restrictions on key Australian exports.

Speaking in Sydney on Monday, Albanese confirmed the itinerary but offered no indication of whether Australia would endorse a formal renegotiation of the decade-old trade pact. 

Australia’s government has not disclosed its negotiating position. China is Australia’s largest trading partner, accounting for approximately one-third of total exportsthe majority of which are comprised of iron ore, LNG, and agricultural products. Areas reportedly under consideration for the talks include services, agriculture, clean energy, digital trade, and artificial intelligence.

The original ChAFTA, signed in 2015, progressively eliminated tariffs on a wide range of goods and facilitated greater market access for services providers and investors. A review would reflect changing economic priorities on both sides, including a growing emphasis on digital and low-carbon industries.

Diplomatic engagement has resumed incrementally since 2023. Tariffs and informal barriers on commodities such as barley, wine, coal, and timber were rolled back following ministerial meetings and renewed institutional dialogue.

Still, Australia continues to maintain a cautious approach to foreign investment and strategic sectors. The Foreign Investment Review Board has retained a strict interpretation of the national interest test, particularly in sensitive areas including critical minerals and telecommunications.

Formal announcements are not expected until the prime minister’s arrival in Beijing.