Building partnerships with China for over 150 years.

China remains Victoria's largest export market. It is home to the world's largest population and a booming middle-class; there is an increasing demand for premium goods, services, and knowledge, which has opened up key opportunities for Victorian businesses to establish valuable trade partnerships with China.

Market snapshot

Shanghai city
New and emerging opportunities for Victorian businesses continue to grow as the Chinese economy diversifies into new consumer segments.

With five Victorian Government Trade and Investment (VGTI) offices in China, we continue to support Victorian businesses to participate in trade shows in China to promote their goods and services.

Greater China Insights Winter 2024

China's state of the economy

From 15–18 July 2024, the Chinese Communist Party’s (CCP) Central Committee gathered for its Third Plenum. The Third Plenum occurs approximately every five years and is typically used to introduce the Party’s long-term economic vision.

While no major policies were announced to address near-term growth challenges, the CPP reaffirmed its long-term vision of economic growth based on innovation, green energy and consumption.

This shift aligns with China’s transition from an economic model focused on investment in property and infrastructure to one centred on innovation and technology-driven productivity. The country seeks to enhance its self-reliance and strengthen its capabilities in high-end industries and workforces, particularly within the science and technology sectors.

Economic growth projections

The Third Plenum was held against the backdrop of newly released figures for China’s second-quarter GDP growth, which showed a year-on-year increase of 4.7 per cent, down from 5.3 per cent in the previous quarter.

Despite this slowdown, the International Monetary Fund (IMF) has maintained its 2024 projections for China at 5 per cent. However, the IMF anticipates that various economic headwinds will slow China’s growth rate to approximately 3.3 per cent by 2029.

Opportunity for Victoria

The CCP has underscored China's commitment to expand its global presence, signalling that the country is eager to engage with new markets and opportunities.

China’s innovation-driven economic development prioritises partnerships to advance technological development. In the past few months, China has also rolled out visa-free policies to boost tourism and business cooperation, including a 15-day visa-free policy for Australians.

Victorian businesses are already working to capitalise on the opportunities arising from China's evolving economic landscape.

Trade and investment

Amidst economic uncertainty, Chinese consumers are becoming more cautious, holding back on non-essential spending and focusing on high-quality and value-for-money products. This can present an opportunity for Victorian businesses offering good value at premium quality, including in the food and beverages and beauty, wellness and personal care sectors.

China’s 1.4 billion population offers opportunities across a range of sectors. As China seeks to enhance its food security, it is diversifying its protein sources and increasingly turning to alternative proteins. As an emerging global hotspot for food innovation, Victoria is well-positioned to service the growing demand for plant-based meat and dairy alternatives.

Victoria is also Australia’s leading health, life sciences, and biotechnology hub, making it an attractive destination for Chinese investors looking to innovate through partnerships with developed economies. Furthermore, Victorian businesses specialising in treatments, technologies and therapeutics can also achieve significant growth by entering the Chinese market.

International Education

Vocational education and training (VET) offer growing opportunities for collaboration, particularly as China prioritises enhancing its skilled labour force to support economic growth and self-reliance in strategic industries.

Currently, there are 110 joint programs between Victorian TAFEs and Chinese higher vocational colleges, with additional opportunities in joint curriculum development, faculty and student exchange programs, industry training, and building digital platforms and training facilities.

As China’s graduate job market becomes increasingly competitive, more Chinese students are seeking to study abroad to improve their employment prospects. This trend presents significant opportunities for Victorian universities to attract Chinese students through postgraduate programs and career-oriented pathways.

Victorian Government support 

Global Victoria continues to support Victorian businesses ready to enter the Chinese market through an established network of five Victorian Government Trade and Investment (VGTI) offices in Shanghai, Beijing, Chengdu, Nanjing and Hong Kong. Our VGTIs can assist in connecting your business to distributors and other partners.

Vic House is Victoria’s dedicated multi-storey facility in Shanghai, designed to showcase Victorian products and host business-to-business (B2B) meetings with importers, distributors and retailers. It offers a free platform to support Victoria’s exports to Greater China year-round.

Looking Ahead

  • Women in Export Roundtable (7 August 2024) – A collaboration between Global Victoria Women (GVw) and the Australia China Business Council delivered a roundtable discussion with 20 women leaders to discuss exporting to China.
  • Australian International Education Conference (22 – 25 October 2024) – Study Melbourne is the Destination Partner for the 2024 conference and is looking forward to welcoming international delegates and partners from China.
  • China International Import Expo (5 – 10 November 2024) – Global Victoria is leading a trade mission to China’s flagship trade event in Shanghai.

Connect with us

Stay tuned for upcoming events and activities by following us on the Melbourne LinkedIn, and China VGTI LinkedIn platforms, and keep checking back to our website.

Key industries of opportunity for Victorian exporters

Food and fibre

Victoria is Australia's largest supplier of food and fibre products to China. Since the China-Australia Free Trade Agreement (ChAFTA) took force in 2015, significant export barriers have been removed, and Victoria's agribusiness sector is well placed to boost sales to China by exporting their premium food products and beverages.

International education

International education is one of Victoria's major service-based exports. Our reputation as one of the world's most liveable cities, combined with our leading educational institutions, make Victoria a highly ranked option for Chinese families and students who continue to seek the globally-recognised education opportunities that Victoria offers.

Medtech, pharma and healthcare

With an ageing population and the implementation of healthcare reform, China's high demand for healthcare services provides key opportunities for Victoria's medical, pharmaceutical and biotechnology businesses.

Victoria's reputation as a world leader in medical technologies and pharmaceuticals places Victorian businesses in a strong position to address China's healthcare needs by exporting innovative products, knowledge and supply-chain solutions.

Tourism

With nine airlines offering direct flights to Melbourne from China, the number of Chinese tourists visiting our shores prior to the COVID-19 pandemic, increased by record numbers.

Transport and construction technologies

China is seeking to develop its hi-tech and innovation industries. Victorian businesses with expert knowledge and skills in building high-quality, innovative infrastructure have substantial export opportunities in engineering, specialist design and the advanced materials industries to meet China's infrastructure requirements.

Contact us

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