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A LANDMARK free trade agreement has been finalised between Australia and China, slashing tariffs on 95 per cent of goods and unlocking billions of dollars of exports.
The Chinese-Australia Free Trade Agreement (ChAFTA) was revealed by Trade Minister Andrew Robb this afternoon, in what has been hailed as an "historic day" for the country.
Mr Robb said the deal concluded a "powerful trifecta" of trade agreements after the government finalised agreements with Japan and Korea earlier this year.
FTA: The key industries affected
The three countries receive 61 per cent of Australia's exported goods, and account for 52 per cent of all of Australia's goods and service exports.
"I do think it is going to provide the impetus for taking our relationship within the Asian region, particularly the north Asian region, to a whole new level," he said.
"It will not only impact directly on goods and services trade, but have a very material impact on investment," he said.
"But also I think, the intangibles, it builds trust, it builds more confidence, it builds relationships and it is a contributor to a much wider cultural engagement and just greater stability and peace in the region."
Under the agreement, which has been almost a decade in the making, Australian farmers and dairy processors will get at least the access negotiated by their New Zealand counterparts.
All tariffs will be abolished for Australia's $13 billion dairy industry, and beef and sheep farmers will also benefit from the abolition of tariffs ranging from 12-25 per cent.
"In agriculture it's in every respect New Zealand-equivalent ... in dairy it's New Zealand-plus," he said.
Tariffs on horticulture, seafood and live animal exports will be eliminated, while wine makers will also secure tariff abolition of between 14-30 per cent within four years.
Wool producers have also won greater access, with the ability to export another 30,000 tonnes of clean wool allowed on top of existing quotas.
The resources and energy sector has also benefited with tariffs on coking coal and aluminium oxide to be abolished on the first day of the agreement.
Cotton, wheat, sugar, rice and oilseed industries have missed out on any tariff relief.
The government said it had secured the "best ever" agreement for market access for the services sector, including legal services, financial services, telecommunications and aged care services.
In a win for China, the Foreign Investment Review Board screening threshold will be lifted from $248 million to $1.078 billion.
Chinese companies building infrastructure projects worth more than $150 million in Australia will be able to access foreign labour under the country's 457 visa scheme.
Unions have warned against easing workforce restrictions saying the move may allow Australian working conditions to be undermined.
But Trade Minister Andrew Robb said the Investment Facilitation Agreements would ensure Chinese-owned companies complied with Australian employment laws, including wages and conditions.
In addition to skilled workers having easier access to Chinese projects, a new Work and Holiday program will be established giving 5000 Chinese visitors a year the right to work.
Guaranteed access will also be granted to Chinese employees transferring within companies and "independent executives" to work in Australia for up to four years.
Prime Minister Tony Abbott and Chinese President Xi Jinping will this evening witness the signing of multiple memoranda of understanding to bring the agreement into effect, including a declaration of intent to conclude the trade deal in 2015.
Mr Xi told parliament that China's population of 1.3 billion created a market of "immense potential".
"In the next five years, China will import more than US$10 trillion of goods. Its outbound investment will exceed $500 billion.
"Chinese tourists will make over 500 million overseas visits. All of this will provide a bigger market, more capital and more opportunities for the wider world."
A joint statement from Opposition Leader Bill Shorten and opposition trade spokeswoman Penny Wong said Labor supported the finalisation of negotiations on the agreement.
"Labor supports freeing up global trade because it drives growth, generates jobs, improves living standards and reduces poverty, both at home and abroad," the statement said.
He called on the government to release the full text of the agreement for public scrutiny.
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I like this one "In addition to skilled workers having easier access to Chinese projects, a new Work and Holiday program will be established giving 5000 Chinese visitors a year the right to work."
A LANDMARK free trade agreement has been finalised between Australia and China, slashing tariffs on 95 per cent of goods and unlocking billions of dollars of exports.
The Chinese-Australia Free Trade Agreement (ChAFTA) was revealed by Trade Minister Andrew Robb this afternoon, in what has been hailed as an "historic day" for the country.
Mr Robb said the deal concluded a "powerful trifecta" of trade agreements after the government finalised agreements with Japan and Korea earlier this year.
FTA: The key industries affected
The three countries receive 61 per cent of Australia's exported goods, and account for 52 per cent of all of Australia's goods and service exports.
"I do think it is going to provide the impetus for taking our relationship within the Asian region, particularly the north Asian region, to a whole new level," he said.
"It will not only impact directly on goods and services trade, but have a very material impact on investment," he said.
"But also I think, the intangibles, it builds trust, it builds more confidence, it builds relationships and it is a contributor to a much wider cultural engagement and just greater stability and peace in the region."
Under the agreement, which has been almost a decade in the making, Australian farmers and dairy processors will get at least the access negotiated by their New Zealand counterparts.
All tariffs will be abolished for Australia's $13 billion dairy industry, and beef and sheep farmers will also benefit from the abolition of tariffs ranging from 12-25 per cent.
"In agriculture it's in every respect New Zealand-equivalent ... in dairy it's New Zealand-plus," he said.
Tariffs on horticulture, seafood and live animal exports will be eliminated, while wine makers will also secure tariff abolition of between 14-30 per cent within four years.
Wool producers have also won greater access, with the ability to export another 30,000 tonnes of clean wool allowed on top of existing quotas.
The resources and energy sector has also benefited with tariffs on coking coal and aluminium oxide to be abolished on the first day of the agreement.
Cotton, wheat, sugar, rice and oilseed industries have missed out on any tariff relief.
The government said it had secured the "best ever" agreement for market access for the services sector, including legal services, financial services, telecommunications and aged care services.
In a win for China, the Foreign Investment Review Board screening threshold will be lifted from $248 million to $1.078 billion.
Chinese companies building infrastructure projects worth more than $150 million in Australia will be able to access foreign labour under the country's 457 visa scheme.
Unions have warned against easing workforce restrictions saying the move may allow Australian working conditions to be undermined.
But Trade Minister Andrew Robb said the Investment Facilitation Agreements would ensure Chinese-owned companies complied with Australian employment laws, including wages and conditions.
In addition to skilled workers having easier access to Chinese projects, a new Work and Holiday program will be established giving 5000 Chinese visitors a year the right to work.
Guaranteed access will also be granted to Chinese employees transferring within companies and "independent executives" to work in Australia for up to four years.
Prime Minister Tony Abbott and Chinese President Xi Jinping will this evening witness the signing of multiple memoranda of understanding to bring the agreement into effect, including a declaration of intent to conclude the trade deal in 2015.
Mr Xi told parliament that China's population of 1.3 billion created a market of "immense potential".
"In the next five years, China will import more than US$10 trillion of goods. Its outbound investment will exceed $500 billion.
"Chinese tourists will make over 500 million overseas visits. All of this will provide a bigger market, more capital and more opportunities for the wider world."
A joint statement from Opposition Leader Bill Shorten and opposition trade spokeswoman Penny Wong said Labor supported the finalisation of negotiations on the agreement.
"Labor supports freeing up global trade because it drives growth, generates jobs, improves living standards and reduces poverty, both at home and abroad," the statement said.
He called on the government to release the full text of the agreement for public scrutiny.
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I like this one "In addition to skilled workers having easier access to Chinese projects, a new Work and Holiday program will be established giving 5000 Chinese visitors a year the right to work."