China will lift tariffs on Australian hay imports in the latest sign relationships between Canberra and Beijing are on the mend.
The federal government has confirmed all trade restrictions will be removed with resumption of full trade expected to be announced soon.
Federal Trade Minister Don Farrell shared the “terrific news” on social media.
“This is another positive step forward, but there is more work to do,” he said.
“The Albanese Government will continue to persevere and press for all outstanding impediments to be removed as soon as possible, including lobster, wine and beef.”
The lifting of restrictions comes after similar moves for barley, timber and coal and amid growing hopes removal of tariffs on wine is imminent.
Federal Agriculture Minister Murray Watt said work was continuing to lift restrictions on wine, beef and lobster.
The federal government this week turned down a proposal by China to remove tariffs on wine if Australia gave more favourable treatment to wind towers, steel sinks and railcar wheels.
“We see these as entirely separate matters,” Mr Watt told ABC’s Insiders.
“We have been able to stabilise our relationship with China and that is paying dividends for our farmers in areas like barley, horticulture, cotton and others.
“But wine remains an issue that we want to see resolved.”
China is WA’s largest market for hay and Australia’s third largest, but exports to Middle Kingdom have halved since tariffs were introduced in 2020.
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