China and Australia Seek Closer Ties Amid cautious Optimism

During a meeting in Beijing on Tuesday, President Xi Jinping expressed China’s willingness to work with Australia to strengthen bilateral relations. The leaders discussed deepening cooperation in areas such as free trade and artificial intelligence, as China aims to position itself as a stable partner amid ongoing trade tensions with the United States.

Xi emphasized China’s interest in promoting further development of the longstanding free trade agreement between the two nations. “We are ready to promote further progress in China-Australia relations,” he said at the outset of the talks.

Australian Prime Minister Anthony Albanese reaffirmed his country’s appreciation for its economic ties with China, noting that Australia’s approach would be guided by national interests. “We value our relationship with China and welcome progress under the free trade deal,” he said. “Dialogue is essential. I look forward to sharing Australia’s perspectives on maintaining peace, security, stability, and prosperity in our region.”

Albanese is scheduled to meet Chinese Premier Li Qiang later on Tuesday. His discussions are expected to focus on resource trade, energy transition, and regional security issues topics that are of strategic importance to Australia.

While Australia maintains a close security alliance with the United States, Albanese has adopted a pragmatic approach to China, emphasizing cooperation where possible and expressing disagreements where necessary.

Ahead of the visit, China signaled openness to closer collaboration. State media praised the trip as an example of how countries with different political systems can still find common ground.

However, longstanding concerns remain. Australia continues to scrutinize China’s military expansion and has expressed unease over the detention of Australian citizen Yang Hengjun. Additionally, tensions have arisen over Australia’s increased screening of foreign investments in critical minerals and Albanese’s pledge to regain control of a Chinese-leased port.

Australia’s trade with China, its largest partner, includes extensive exports of iron ore, agriculture, and energy. Albanese’s delegation includes executives from major mining companies, who met Chinese steel industry officials at the start of his six-day visit.