Australia gives China vast amounts of resources, primarily iron ore, natural gas, and coal, which fuel China's economy, alongside premium agricultural products like beef, wine, and dairy, plus education, tourism, and financial services, making China Australia's largest trading partner and a major destination for Australian exports.
Resources and energy make up the largest share of Australia's exports to China, with iron ore, natural gas and gold leading the way.
Scale of Trade Between Australia and China
In 2024, Australian exports to China reached approximately AUD $196 billion, driven primarily by iron ore, natural gas and coal. These resources are critical to China's industrial and energy needs, making Australia a key supplier in global commodity markets.
Top 5 exports to China
Australia is one of the most popular destinations for overseas higher education and tourism among Chinese people. Australia's Chinese community is also one of the largest in the world, and per capita it is the largest outside Asia, and Mandarin Chinese is the second-most spoken language in Australia.
Collating numbers released in the IMF's quarterly update on foreign exchange reserves, RBC's Sydney-based fixed income strategist Michael Turner said it appeared China held around $130 billion of the $730 billion Australian Government and quasi-government bonds in the market.
The PRC claims the de jure administration of Taiwan Province, as well as mainland-nearby islands of Kinmen and Matsu Islands, currently controlled by the Republic of China (ROC).
In 2024, China imported 1.34 million tons of beef from Brazil, 594,567 tons from Argentina, 243,662 tons from Uruguay, 216,050 tons from Australia, 150,514 tons from New Zealand, and 138,112 tons from the U.S..
Australia is the largest donor to Solomon Islands. Consistent with the Millennium Development Goals, Australia's aid program is guided by five core strategic goals—saving lives, opportunities for all, sustainable economic development, effective governance, and humanitarian and disaster response.
Foreign aid to China since 1949 has taken the form of both bilateral and multilateral official development assistance (ODA) and other official aid. According to World Bank and OECD data, China's net ODA received is negative, reflecting that it gives more than it receives.
'Australian-made' Macadamias at Woolworths spark outrage over 'Sorted in China' label. A recent discovery has raised eyebrows over a packet of Australian-made Honey Macadamias sold at Woolworths. The product, clearly labelled as “Product of Australia,” also includes the curious disclaimer: “sorted in China.”
China is still a major player in the Australian Property Market. Despite Beijing's recent restrictions on offshore company investment China's presence in Australia's property market remains very strong, accounting for a third of national development sites.
1. Electrical Machinery and Equipment: The Tech Leader. Electrical machinery and equipment dominated China's exports at $928 billion in 2024, accounting for 26% of total exports. This category includes smartphones, LED lights, circuit boards, and consumer electronics.
Trade and investment
China is Australia's largest two-way trading partner, accounting for 25 per cent of our goods and services trade with the world in 2024, totalling $312 billion.
Top Ten Best and Most Famous Australian Exports
Australia's most exported foods
China has allegedly told its steel mills to stop buying iron ore from BHP (ASX: BHP) as part of contract negotiations. China Mineral Resources Group, formed in 2022 to negotiate with iron ore miners on behalf of mills, is trying to force BHP to agree to long-term contracts at discounted prices.
ALDI Australia sources 100% of its fresh meat from Australian farms, prioritizing local suppliers like the Bindaree Food Group (Jindurra Station) for beef, ensuring fresh, ethically raised products, with independent standards for pork and quality for all meats like chicken and lamb, supporting local farming while offering competitive prices.
Under China's WTO accession protocol, China applies quotas on imports of rice, wheat, maize, sugar and vegetable oils. These are open to all WTO members, including Australia.
China's transition is opening space for other countries to move into low-cost manufacturing, where China until recently dominated. Deloitte predicts that the economies of Malaysia, India, Thailand, Indonesia, and Vietnam, the “Mighty Five” or MITI-V, will inherit China's crown for such products.
On 25 October 1945, Japan handed over Taiwan and Penghu to the Republic of China, as a result of World War II. This marked the end of Japanese rule and the beginning of post-war era of Taiwan. This event was referred to by the Republic of China as the retrocession of Taiwan (臺灣光復).