China lobbies Australia on joining regional trade pact

China has lobbied the Australian parliament to help it join a major regional trading pact, describing the strength of Chinese trade with Australia and avoiding mention of billions of dollars in punitive sanctions imposed by Beijing.

The Chinese embassy’s suggestion, in a submission to a parliamentary inquiry, came in the same week that Australian Treasurer Josh Frydenberg said Australia must diversify its economy to rely less on China, its largest trading partner, and warned businesses to brace for new tensions with it. [L1N2Q70J7]

Since the Comprehensive and Progressive Agreement for Trans-Pacific Partnership was signed by 11 nations including Australia in 2018, Britain, China, Taiwan and Thailand have signalled interest in joining it.

The Chinese embassy said in its submission that China and Australia’s economies have enormous potential for cooperation.

It said a China-Australia Free Trade Agreement (CAFTA) signed in 2015 had led to rapid development of their relationship, dispute settlement mechanisms, and last year 95% of tariffs had been eliminated.