At the beginning of the year, Australia overtook Russia to become China’s primary coal provider, coinciding with the ongoing improvement in bilateral relations between Beijing and Canberra.
In January and February, Chinese customs data revealed a remarkable 3,188 percent surge in imports, amounting to US$1.34 billion, compared to nil shipments in January 2023.
Australian coal shipments constituted 24 percent of China’s total coal imports during the initial two months of the year, a substantial increase from the previous year’s 0.9 percent.
During the same timeframe, Russia’s share decreased significantly from nearly half to 22 percent, with shipments from the northern neighbor dropping by 41 percent to US$1.25 billion.
In 2020, relations between China and Australia soured when Canberra demanded an inquiry into the origins of the coronavirus. However, since then, ties have gradually improved, as exemplified by Australian Prime Minister Anthony Albanese’s visit to China in November.
In his first visit to Australia in seven years, Minister of Foreign Affairs Wang Yi highlighted the importance of deepening cooperation between the two countries across all sectors, despite ongoing differences regarding strategic and security issues.
Additionally, exports of Australian coal, cotton, and barley, which were previously subject to official or unofficial bans, have gradually resumed since last year.
In 2019, Australia held the top spot as China’s primary coal provider, making up nearly 60 percent of its imports. However, by 2022, Australia’s share had plummeted to just 1.5 percent, while Russia surged ahead to claim the leading position with a 40 percent share.
Australian coal imports are tariff-free within the Regional Comprehensive Economic Partnership due to the membership of both China and Australia in the Asia-Pacific trade agreement.
In the initial two months of 2024, China’s exports of lithium batteries to Australia surged by 90 percent, reaching 1.76 million units, and exceeding a value of US$95.8 million compared to the previous year.
China has experienced a rise in wine imports from Australia, with the percentage climbing to 0.6 in the initial two months of the year, yet significantly lower than the 37 percent recorded in 2019.
In March 2021, Beijing enforced tariffs reaching up to 218 percent on Australian wine; however, there are anticipations for their removal due to the ameliorating relations.
To have the best trading experience with us, open an account at Longhorn
- Broker
- Min Deposit
- Score
- Visit Broker
- Award-winning Cryptocurrency trading platform
- $100 minimum deposit,
- FCA & Cysec regulated
- 20% welcome bonus of upto $10,000
- Minimum deposit $100
- Verify your account before the bonus is credited
- Over 100 different financial products
- Invest from as little as $10
- Same-day withdrawal is possible
- Fund Moneta Markets account with a minimum of $250
- Opt in using the form to claim your 50% deposit bonus
Learn to Trade
Never Miss A Trade Again
Signal Notification
Real-time signal notifications whenever a signal is opened, closes or Updated
Get Alerts
Immediate alerts to your email and mobile phone.
Entry Price Levels
Entry price level for every signal Just choose one of our Top Brokers in the list above to get all this free.
