China extends olive branch, lifting trade ban and flagging Albanese visit

China’s ambassador to Australia Xiao Qian said Beijing’s decision to lift a ban on Australian timber imports showed efforts to repair relations between Australia and its biggest trading partner were beginning to pay off.

China cited quarantine risks as the reason it stopped accepting Australian timber in 2020, a period in which it also restricted imports of Australian wine, barley, beef and coal in what the Australian government believes was a calculated attempt at economic coercion.

“The momentum’s positive,” Xiao told reporters in Canberra when asked about the state of the trade relationship.

“Both sides agree to sit down and talk about differences and engage with each other.

“There are also concerns from the Chinese side about Chinese investment in Australia, Chinese support to Australia, and Chinese projects.”

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China’s Foreign Ministry has spent the past week criticising the G7 gathering as a meeting of the world’s elite that wants to impose western restrictions on developing countries.

“If G7 members truly care about economic security, they should ask the US to stop bludgeoning and curbing other countries in the name of national security,” spokesman Wang Wenbin said, accusing Japan of being “obsessed with stoking bloc confrontation”.

Xiao said the Chinese government would welcome Albanese to Beijing to meet with Chinese President Xi Jinping at a time of “mutual convenience” for both leaders.

“I’m looking forward for that to happen as early as possible,” he said.

Trade Minister Don Farrell, who travelled to Beijing last week for meetings with China’s commerce minister, said the removal of the timber import ban was “a great outcome for the Australian forestry sector”.

“Australian timber was one of the outstanding trade impediments discussed with my counterpart in Beijing last week,” he said.

“Any step towards resolving the trade impediments is welcome.

“We look forward to the full resumption of trade for all affected products as soon as possible.”

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Australian timber exports to China were worth $600 million in 2019, the year before the trade ban came into effect.

Xiao criticised the Quad grouping of Australia, the United States, Japan and India as a “rich man’s club”, saying: “Personally I don’t think the Quad is a good idea.

“It’s an even worse idea when it’s trying to target China.”

Doubling down on his criticisms of the AUKUS pact as a threat to regional peace and stability, Xiao said: “China was not a threat, is not a threat, will not be a threat in the future to Australia.

“Targeting China as a threat is absolutely unfounded and absolutely unnecessary.”

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