Aiding green transition

Australia's commitment to facilitating trade with China under ChAFTA has helped fuel the increasingly important position of Chinese EVs in Australia's major green transition.

According to the Electric Vehicle Council, the peak national body representing the country's EV industry, EVs accounted for more than 14 percent of all new cars sold in Australia in March, the highest monthly share on record. Over 15,300 battery EVs and plug-in hybrid EVs were sold.

"Australians are enjoying cheaper-to-run, greener cars from across the world, including China. The Chinese EV industry is providing Australians with options across models that cater to different lifestyles," said Aman Gaur, head of legal affairs, policy, and advocacy at the Electric Vehicle Council.

"Free trade under ChAFTA has helped Australians access Chinese EVs. In addition, the Australian government's removal of tariffs from imported electric cars in 2022 has also contributed to more choice at lower prices in Australia's car industry," he told China Daily.

"Australia's transport emissions make up about one-fifth of our national emissions. With electric vehicles, Australians are able to decarbonize and move to a greener future with electric cars from across the world," Gaur said.

Ma Lei, president of the Council of Foreign Relations, a chapter of the China Chamber of Commerce in Australia, said ChAFTA "has not only transformed bilateral trade but also deepened our economic integration, fostering mutual prosperity and resilience in an ever-changing global landscape".

"As the world's second-largest economy and a leading manufacturer, China remains steadfast in its commitment to comprehensive reforms, modernization and high-quality development," said Ma, whose organization represents over 450 Chinese enterprises operating across Australia.

"Its green economy transition opens unprecedented opportunities for collaboration with Australia, particularly in advancing sustainability, fostering innovation, and working toward a net-zero future," he said.

Steven Ducat, CEO and founder of SPD Energy, an Australian-owned Chinese enterprise, said the agreement is a "catalyst, a recognition of the growing interdependence between our economies" for businesses like his operating on the ground.

Ducat's company has a flagship manufacturing facility located in Foshan, Guangdong province, and he has been living and working in China for 25 years.

"It supercharged the partnerships we were already building, providing clarity and confidence," he said. "For SPD Energy, ChAFTA created the framework that allowed us to truly combine Australian innovation with China's incredible manufacturing capabilities, accelerating the delivery of green energy solutions across the whole region," Ducat added.