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Turning point in Australia-China economic ties

Xinhua | Updated: 2013-07-11 17:10

CANBERRA - Australian Minister for Trade Richard Marles said Thursday that the economic relationship between Australia and China is expected to see changes as prices for commodities coming down, and that Australia should provide more than just resources to China.

Speaking at the forum on China's new model of economic development held by the Australian National University (ANU) here in Canberra, Marles said that the year 2013 marks a turning point in Australia's economic relationship with China as the mining boom comes to an end.

"We are no longer enjoying the unprecedented boost to minerals prices with those flow-on benefits of revenue of recent years. But at the same time, we should also be conscious that all the benefits of China's transformation for Australia have not disappeared," he said.

"Much of the intense investment phase of a resources boom is behind us, but as we outlined in the Australian Asian Century White Paper, many opportunities remain there to be grasped," he added.

He noted that the rising middle class in China presented huge opportunities for Australia.

"Our future economic prosperity is about being able to trade into the Chinese middle class," he said.

As for China's ongoing reform on its model of economic development, Marles said that in this "highly interconnected, globalized world, China's success in its economic reform program matters to everyone, not just China."

"We all have a stake in China's reform," he said.

Marles also took the occasion to announce a new cooperation between Australian and Chinese universities, led by ANU, on the research on climate change.

This joint research will tackle challenges like pricing carbon in China's power sector, the impacts of carbon price on electricity sector investments, factors determining energy demand and energy mix at the provincial level. It will also test the policy design options for China's pilot emission trading schemes.

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