China has abolished heavy tariffs against Australian wine in another significant step towards improved diplomatic relations and trade ties.
The Chinese government agreed to review the wife tariffs five months ago and has since gradually unwound the trade barriers.
The Commerce Ministry in Beijing said on Thursday it was "no longer necessary" to impose anti-dumping duties and other levies on imports of Australian wine.
The news comes as bullish Prime Minister Anthony Albanese, on a visit to Brokenwood Wines at Pokolbin on Thursday, said an end in the lengthy and expensive stand-off was "imminent."
Mr Albanese later said the outcome came at a critical time for the Australian wine industry.
"The re-entry of Australian bottled wine into the Chinese market will benefit both Australian producers and Chinese consumers," he said.
"We acknowledge and thank Australian grape growers and wine producers for their fortitude and support during a challenging period."
The tariffs, which make Australian exports to China significantly more expensive for potential customers in that market, have dogged the region for several years.
They extended out of hostilities between the two countries under the former federal government in 2020.
Mr Albanese noted the Hunter was "196 not out" after producing wine for almost two centuries, and he was keen on its prospects.
"We're going to help the hit to the boundary to get that double century in style with the resumption of trade with China," he said.
"China wants good high-quality wine, and Australia produces it in places like the Hunter Valley.
"When the impediments to trade with China were put in place, the trade was worth $1.1 billion every year in 2019.
"Now, we reckon that the resumption of trade, which we think is imminent, will see an even higher amount.
"Because that's what we've seen with other products that have been resumed, like barley, and some of the other products ... there's a couple more things to go, lobster, beef, and we're continuing to work on that."
The Australian wine trade with China in 2019, before the tariffs were in place, was worth $1.1 billion a year and would likely increase when restrictions were scrapped, Prime Minister Anthony Albanese said during his Hunter visit.
Trade for the industry plummeted after China imposed a 220 per cent tax on Australian wine exports.
Beijing slapped trade sanctions worth $20 billion on Australian products during the height of diplomatic tensions in 2020.
Impediments remain on Australian lobster and beef.
Trade Minister Don Farrell met with China's man in Australia, Xiao Qian, on Wednesday.
China's Foreign Minister Wang Yi visited Australia and met with Foreign Minister Penny Wong earlier this month. The Chinese premier is expected to come to Australia later in the year.
Australia lost its case in a World Trade Organisation dispute with China on extra taxes for steel products.
China complained to the international body in June 2021 over Australian tariffs on railway wheels, wind towers and stainless steel sinks.
The WTO found that Australia had acted inconsistently with parts of an anti-dumping agreement in all three cases.
Australia had also initiated two disputes against China over barley and wine tariffs.
The government paused both to allow Beijing to review the measures.
The trade impediments on barley were eventually dropped, and movement on wine is expected imminently.
This story was compiled with reporting by AAP.
