Trade deals with China benefit Australia
Already, Australia exports $108 billion worth of goods and services a year to China – more than double what we import ($52 billion). Our future growth and jobs will rely even more heavily on trade.
ChAFTA gives Australia and advantage
The new trade deal with China will provide huge opportunities for Australian exporters and jobs. It removes barriers and gives Australian businesses access most other countries don’t get. Over 85 per cent of Australia’s goods exports to China (by value in 2013) will enter duty free when ChAFTA enters into force. This will rise to 95 per cent when ChAFTA is fully implemented. Independent economic analysis shows the new trade deals with China, Japan and Korea, will deliver $24 billion in extra income to Australians over the next 20 years and create many thousands of new jobs.
ChAFTA will deliver new, smart jobs for our future
It’s not only farmers and miners that can benefit. Service providers – in education, travel and tourism, construction, engineering, IT and many other fields – will have huge opportunities. China has offered Australia its best-ever services commitments in a Free Trade Agreement, giving new or significantly improved market access for key services. Australia also gets a “Most-Favoured Nation clause”, so if China extends any more beneficial treatment to another country in certain fields, we will get those same benefits.
Delaying (or defeating) this deal will cost Australia
Many Australian businesses – from winemakers, to macadamia growers, vitamin manufacturers and even a maker of caravans – are hiring staff and gearing up production to take advantage of this FTA. The National Farmers’ Federation says delaying the deal would cost Australian farmers $300 million next year alone. The Minerals Council estimates a delay will cost our coal industry $110 million next year alone. The Financial Services Council warns stopping the deal would cost Australia 10,000 jobs in financial services alone by 2030. We can’t afford to miss this opportunity.
Australian consumers will benefit
The China FTA also removes the five per cent tariff on Chinese manufacturing exports, electronics and white goods. Australian consumers and businesses who use these goods as inputs to production will benefit from lower prices and greater availability of Chinese products.
New Zealand's China FTA has been a big success
New Zealand signed a Free Trade Agreement with China back in 2008. Since then, their exports to China have increased four-fold, while jobs growth has been strong. Some union officials in New Zealand opposed their deal in the same way some union officials are opposing our deal. History has proved their concerns to be unfounded.
Australia must seize this opportunity
Australia has a very strong reputation in Asia for quality goods and skilled workers. We need to back ourselves and seize the opportunity to earn more exports, prosperity and jobs in our region. We owe the next generation of Australians no less
Union leaders are spreading lies
Unfortunately, a handful of unions, led by the disgraced CFMEU, are spreading lies about this deal. The Department of Foreign Affairs and Trade has dismissed their claims as “myths” while leading Australian business figures have called their campaign “xenophobic”.
Here are the facts:
- Since 1996, Australia has had a skilled visa program (known as the 457 Visa Program) allowing sponsorship of overseas workers where it’s proven no qualified Australian workers are available.
- This system ensures if someone is making a major investment in Australia, they can have confidence the project won’t get derailed if there is a shortage of skilled workers.
- Under this system, any foreign worker needs to have the required skills.
- They must also be paid the same rates and work under the same employment conditions as Australian workers.
- Under the China agreement, these exact same longstanding rules will apply for any Chinese investments.