Sem categoria

What Is the Trade Agreement Australia Made with China

Australia and China have a long history of trade relations, with both countries benefiting from each other`s resources and markets. In 2015, the two nations signed a free trade agreement (FTA) that has since paved the way for increased economic cooperation.

The FTA between Australia and China aims to eliminate tariffs on goods and services, making them more affordable and accessible to consumers in both countries. This agreement has given Australian businesses greater access to the Chinese market, which is the largest consumer market in the world.

One of the key benefits of the FTA is that it allows for easier access for Australian businesses to export their products to China. Some of the biggest winners of the agreement have been Australian farmers, manufacturers, and service providers. Tariffs on Australian beef, dairy, wine, horticulture, and seafood, as well as manufactured goods such as pharmaceuticals, have been reduced or eliminated, making them more competitive in China`s market. This has led to a significant increase in exports from Australia to China and has strengthened bilateral trade relations.

The FTA also benefits Chinese businesses by providing greater access to the Australian market. China has traditionally been a major importer of raw materials from Australia, such as iron ore, coal, and natural gas. However, the FTA has opened up new opportunities for Chinese companies to invest in Australian agriculture, tourism, and services.

Another important aspect of the FTA is the protection of intellectual property rights. This is crucial for businesses operating in industries such as pharmaceuticals, where there is significant investment in research and development. The FTA ensures that Australian and Chinese businesses have access to each other`s markets while protecting their intellectual property rights.

In conclusion, the FTA between Australia and China has been a significant boost for both countries` economies. It has increased market access for Australian businesses and provided new opportunities for Chinese companies. The agreement has also helped to strengthen bilateral trade relations between the two nations, which bodes well for future economic cooperation.