Weak growth levels for the Chinese economy represents a big concern for Australia’s bottom line and global finances, the treasurer says.
Fresh from his trip to Beijing for major economic talks, Treasurer Jim Chalmers said the discussions could not have happened at a more important time.
Dr Chalmers was the first treasurer in seven years to visit China, which he said was critical to restoring ties with Australia’s largest trading partner after years of diplomatic tensions.
He said lower-than-expected growth levels for the Chinese economy was a worry for Australia.
“We’re anticipating the weakest few years of Chinese growth, really, since that economy opened up in the late 1970s. That’s been a big concern for us,” Dr Chalmers told ABC Radio on Monday.
“It”s a big part of the global economic uncertainty that we’re dealing with. So the government’s efforts to support more economic activity in the Chinese economy … are good for Australia and they’re very welcome.”
While the Chinese government has an annual growth target of five per cent, it grew 4.7 per cent in the June quarter.
Dr Chalmers said consumption had been an issue in the Chinese economy, along with the nation’s property sector.
The treasurer indicated efforts were still ongoing for China to ease trade restrictions on Australian lobster.
While China had dropped barriers on other Australian goods such as beef, wine and barley, lobster still remained.
“We shouldn’t forget that of the $21 billion in trade restrictions, about $20 billion of those have been lifted,” Dr Chalmers said.
“There’s a little bit more work that our agencies are doing. Our agriculture and trade authorities on both sides of the equation are working to try and get those last remaining restrictions lifted.”
