Quadrilateral Security Dialogue (QSD) members– India and Australia – meet today to enhance bilateral trade
Chinese military and economic power in the Indo-Pacific concern the Quad. Beijing’s bold and invasive economic sanctions on Australia, after Canberra called for an investigation into the origins of COVID-19 in 2020, led to a further deterioration in relations. Chinese sanctions targeted 13 industries — tariffs of 73.6% on barely, up to 200% on wine and 40% on cotton production – totaling $54 billion of Australian exports.
India and Australia will work to continue reducing trade barriers. Liberalized trade between Australia and India benefits industries such as pharmaceutical and energy production. As India and Australia lack trust in China, they aim to establish strong trade agreements to buffer against Chinese regional dominance.
Expect significant trade agreements between the two states within a month. The phase-one of liberalizing the trade of minerals like Lithium should take place in today’s meeting. Australia produces 55% of global Lithium production and has 20% of global lithium deposits. India’s development of electric cars would suffice for this vital mineral to be a part of an interim free trade agreement between Australia and India today.
Marcos is an Analyst who specializes in International Diplomacy and Security. He focuses on significant developments within the MENA region.