National Commentaries

Despite a new year and a new president in Washington, China’s economic punishment against Australia continues. More than four years since the early signs of politically motivated trade restrictions first appeared, this economic statecraft saw a reduction of approximately AU$3 billion worth of Australian exports to China in 2020.1 Impacting a wide range of industries, most notably coal, wine, barley, and cotton, there are so far no indicators that China is planning to significantly ease these trade restrictions.2 Ratcheted up dramatically in 2020, these punitive measures come on the back of a precipitous and sustained downward trajectory of diplomatic and political relations. Australia has been on the receiving end of increasingly strident and threatening diplomatic messaging, high-profile and likely politically motivated targeting of Australian citizens in China, a decline in leader- and ministerial-level engagement, and a winding back of access to Chinese officials at the working level.3

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