Australian Prime Minister Anthony Albanese arrived in Shanghai on Saturday (12 July 2025) for a six-day visit to China, aimed at strengthening recently improved trade relations, even as geopolitical tensions persist.
This marks Albaneses second trip to China, during which he will meet President Xi Jinping. His visit comes at a time when Australia has tightened scrutiny of Chinese investment in critical minerals, and as US President Donald Trumps sweeping tariffs cause uncertainty in global markets.
Relations between Australia and China have been turbulent over the past decade, strained by disagreements over security and influence in the Pacific region. However, ties improved in December when China lifted a ban on Australian rock lobster imports, effectively ending a damaging trade dispute that began after relations soured in 2017.
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Trade is now flowing freely, to the benefit of both countries and to people and businesses on both sides, Albanese said before departing for China.
Speaking to reporters shortly after landing in Shanghai, the Labor Party leader described receiving a very warm welcome.
Yet Albaneses visit, which includes stops in Beijing and Chengdu, comes against the backdrop of Chinas assertive territorial claims, particularly in the South China Sea, which continue to raise concerns in the region.
Albanese said the full range of issues would be discussed with Chinese leaders, acknowledging that his trip would be a delicate balancing act between economic interests and security concerns.
We cooperate where we can, we disagree where we must, and were able to have those honest conversations about some of the disagreements that are there, he told reporters.
The two countries have different political systems and different values, Albanese noted, adding: But weve got to be able to have that engagement directly.
Chinas foreign ministry said earlier this week that relations have continued to improve and grow. Spokeswoman Mao Ning expressed hope that the visit would help strengthen communication, enhance mutual trust, and expand practical cooperation.
However, experts say the visit is unlikely to be easy.
The visit will not be a walk in the park, especially since Australia also needs to carefully manage its alliance with Trumps America and emerging disagreements about trade, said Huong Le Thu, Asia deputy director at the International Crisis Group.
She said Albaneses trip would focus on striking a balance between maintaining security ties with the United States and building stable economic relations with China.
