Despite Beijing’s refusal to budge on a number of trade restrictions imposed on Australian exports, Trade Minister Don Farrell believes there is “positive momentum” in the bilateral relationship as he returns from a two-day trip to China.
In order to overcome the trade difficulties, Senator Farrell claimed that he and his Chinese colleague Wang Wentao decided to “step up dialogue” during high-level meetings on Friday night.
He declared that Mr. Wang had consented to travel to South Australia to further their conversations.
The situation of Australians Cheng Lei and Yang Henjung, who have been held by China for years over alleged espionage offenses despite frozen bilateral relations, was also brought up by Senator Farrell, according to him.
He said that Mr. Wang reassured him during a late-night news conference that a recent agreement “remains on track” to lift Chinese restrictions that had shut off Australia’s $1.2 billion in annual barley exports to China.
“I also reiterated that we expect a similar process to be followed with the WTO dispute in respect to Australian wine,” Senator Farrell added.
He said that the negotiations were fruitful and had already resulted in “a whole lot of movement,” including the return of Australian coal and copper to the Chinese market as well as a road toward settling the barley conflict.
Senator Wong said that it was too early to evaluate China’s application since the UK’s ratification of the agreement was still pending when Mr. Wang brought up China’s anticipated admission into the Trans-Pacific Free Trade Agreement.
Senator Farrell stated that Mr. Wang had brought up China’s worries on the capacity of its businesses to invest in Australia.
The action comes after Treasurer Jim Chalmers recently turned down a Chinese company’s request to increase its interest in an important lithium venture.
However, Senator Farrell claimed that proposals from China for investment were overwhelmingly approved and that “like all countries, we reserve the right to make strategic decisions about foreign investment, particularly where they involve state-owned companies.”
He added that he had also agreed to send agricultural experts to China to assist in resolving biosecurity issues about Chinese electric cars that Australia had refused to allow into the country.
During the outset of his meeting with Mr. Wang, Chinese Foreign Minister Qin Gang appeared to confirm a rumored impending visit to Australia by Senator Farrell.
The South Australian senator claimed that he was replying to a media article, but added that “if he comes to Australia, he would be most welcome to come to Adelaide”
His remarks were in response to a South China Morning Post article that revealed Mr. Qin’s anticipated trip, which Beijing has not yet formally confirmed.
Senator Farrell refuted claims that he was leaving China empty-handed by characterizing the trip as a “first step” and denied that he was.
Mr. Wang previously stated that China had “noted” Australia’s concerns over trade difficulties and that strengthening the bilateral relationship would require a “joint effort”.
China, he claimed, was also worried that its companies and goods would “be treated fairly and justly” by Australia.
After the Morrison government requested an investigation into the causes of COVID-19, China imposed harsh taxes on Australian goods, including barley, meat, wine, lobster, coal, and timber.
In response to Australia’s suspension of a World Trade Organization lawsuit, China has agreed to examine the barley bans, paving the way for the lifting of both the wine and the commodity’s sanctions.
