The China/Australia FTA – what does it mean for us?

It took a decade of negotiations spanning three governments, but in late 2014, Australia and China finally concluded a Free Trade Agreement ("FTA"). Corporate & Commercial Lawyer, Sam Bassingthwaighte, looks at the likely impact of the FTA.

WHAT HAPPENS NOW?

For the FTA to take effect, the two governments need to go through their respective domestic treaty making processes, including converting the terms of the FTA into legal text and passing the legislation through parliament. This ratifying process is likely to be completed towards the end of 2015.

The FTA with China, on the back of the recent FTAs with South Korea and Japan, means that significant trade barriers, covering more than 61% of Australia's export of goods, will be removed immediately or incrementally over a number of years.