Despite improving relations, Australia remains cautious about its economic ties with China and is actively seeking to strengthen partnerships with India.

Prior to his meetings, Chalmers met with Australian business leaders, including executives from major companies such as Rio Tinto and BHP.

During his visit to Beijing, Chalmers emphasized the importance of balancing the relationship with China to ensure mutual benefits while safeguarding Australia's interests.

The visit aims to co-chair the Australia-China Strategic Economic Dialogue, focusing on increasing trade and investment opportunities between the two nations.

Dr. Jim Chalmers, Australia's federal treasurer, is visiting China for the first time in seven years to stabilize economic ties.

Chalmers noted that Australia has significant stakes in China's economic recovery and welcomed potential measures to boost growth.

He intends to address China's ongoing restrictions on Australian live lobster and two red meat exporters during his discussions.

These trade bans, imposed in 2020 in response to Australia's call for a COVID-19 inquiry, previously cost exporters over AU$20 billion annually but have since decreased significantly.

While China has expressed interest in investing in Australian critical minerals, Australia remains cautious due to U.S. concerns about China's dominance in this sector.

Chalmers acknowledged that efforts for greater economic stability between Australia and China conflict with both countries' strategic policies.

Federal Treasury forecasts indicate that China's economic growth will remain below five percent for the next three years, marking the weakest growth since the late 1970s.

Chalmers expressed optimism about hosting Chinese counterparts next year to further discussions on trade, investment, and decarbonization.