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Australia’s exports to China reached historic highs as barriers fell.

Australian and Chinese flags are seen at the third China International Import Expo (CIIE) in Shangha... Australian and Chinese flags are seen at the third China International Import Expo (CIIE) in Shanghai, China November 6, 2020. REUTERS/Aly Song
Australian and Chinese flags are seen at the third China International Import Expo (CIIE) in Shangha... Australian and Chinese flags are seen at the third China International Import Expo (CIIE) in Shanghai, China November 6, 2020. REUTERS/Aly Song

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Australia’s exports to China reached record highs in March as the Asian superpower sucked in more iron for its steel sector and cut thermal coal shipments amid improving diplomatic relations.

Australian exports to China rose 31% to A$19 billion ($12.71 billion) in March, surpassing the mid-2021 record.

Mining earnings and tax revenue increased as Australia’s total trade surplus rose to A$15.3 billion, its second-highest ever.

The Australian Bureau of Statistics reported 24.3% and 17.7% increases in iron ore lump and fine exports to China from a month earlier.

March thermal coal shipments to China rose 125% from February, offsetting a decline in Japan.

In January, Beijing lifted an unofficial embargo on Australian coal, allowing customs passage for the first time since 2020, when it imposed trade restrictions on various Australian imports during COVID-19.

China and Australia agreed last month to resolve a WTO dispute over Chinese barley tariffs within three months after a leaders summit late last year.

Restarting commerce is harder than discontinuing it, Reuters said.


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