Australia’s relationship with its largest trading partner China Pass a downward spiral in recent years. Previous prime ministers have brought the country to nationhood the first to officially ban Huawei devices from Its 5G network and banning foreign political donations over concerns about Chinese influence. Relations soured when the Australian government, under Prime Minister Scott Morrison, called for an investigation into the incident. source of the COVID-19 virus.
Beijing’s response was also very heavy-handed: imposed tariffs and ban imports of a range of Australian goods, such as wine, barley and coal.
But relations between the two countries have improved under current Prime Minister Anthony Albanese, who takes office in 2022. Over the weekend, Chinese Premier Li Qiang said that relations were now “back on track after a turbulent time.” Reason is currently in Australia on a four-day visit, the first by a Chinese prime minister in seven years.
The Chinese premier arrived in Australia late Saturday. He met Albanese in Canberra on Monday, where the two had a “frank, in-depth and productive meeting and reached much consensus” Reviews from Li to reporters after the meeting. Mr. Li also announced that Beijing will add Australia to its visa waiver program, allowing visitors to stay visa-free for a period of 15 days.
Mr Li’s visit follows Albanese’s trip to Beijing in November, the first by an Australian leader in several years.
ice Relations between China and Australia are thawing
Australian goods exports to China reach A$219 billion ($144.4 billion) in 2023, higher than the $98.4 billion exported in 2019, before the COVID-19 pandemic and the introduction of tariffs according to data from the Australian government.
Since last year, Beijing has gradually raised tariffs and trade restrictions on goods such as barley, beef, and wine.
These tariffs have hurt Australian food producers. For example, Australia export 1.1 billion Australian dollars (726 million USD) wine to China in 2019. Australian wine accounted for a quarter of all wine imports at that time. Trade plummeted after Beijing imposed tariffs of up to 200%: Australian wine accounted for just 0.14% of Chinese wine imports in the first six months of 2023.
Yet Beijing continues to buy raw materials from Australia, even as it clamps down on consumer goods. China depends on Australia for commodities such as iron ore and liquefied natural gas (LNG).
Australia is the world’s largest exporter of iron ore, most of which is exported to China. According to data compiled by ANZ Research, iron ore exports were worth $19.2 billion and accounted for 62% of Australia’s exports to China in the first quarter of this year.
LNG exports to China, worth about $3.6 billion, accounted for 12% of Australia’s total exports in the same period.
Australian coal exports also recovered after Beijing lifted restrictions on Australian coal last January. Coal shipments, by value, increased 118% year-on-year in the first quarter of 2024.
On Sunday, Li promised a more symbolic example of warmer relations between Beijing and Canberra. During a visit to Adelaide Zoo, Li Suggest sending Two new pandas arrived in Australia, replacing two pandas returning to China later this year.
