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China-Australia relations
EconomyChina Economy

China-Australia relations: on first anniversary of trade conflict, hay-import licences bedevil Australian exporters

  • China’s import permits for 25 Australian hay exporters have not been renewed two months after their expiration
  • Hay-licence problems are just the latest in a series of trade difficulties resulting from the war of words that erupted one year ago between Canberra and Beijing over the coronavirus origin

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One year ago, Beijing and Canberra kicked off a war of words that has seen a number of Australian products banned or detained by China. Photo: Getty Images
Su-Lin TanandOrange Wang
Relations between China and Australia have become fraught over the past year after Canberra pushed for an international probe into the origin of the coronavirus without diplomatic consultations beforehand, and Beijing eventually responded with a number of trade blocks on wine, barley, cotton, copper, coal, sugar and lobsters. We look at the issues in this series.

Two months after their expiration, Chinese import permits for hay from 25 Australian businesses have not been renewed, as the political and trade conflict between the two major trading partners crosses the one-year milestone.

China’s General Administration of Customs did not respond to requests for comment, and the Ministry of Commerce said it was not aware of the situation.

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Munro Patchett, general manager of Gilmac, Australia’s largest hay exporter, said the 25 facilities were in communication with Chinese customs and were waiting to learn the fate of their applications – made months before their expiration – to renew their import licences for five years.

“We are hoping it’s an oversight,” Patchett said.

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The 25 facilities stopped exporting hay to China in February, concerned that shipments would be stopped at ports and not cleared for entry into the country. Exports from three other facilities that still have active hay imports permits have continued.

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One year of China-Australia trade tensions
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