Climate action with China aligns with Australia’s security needs

Australian Prime Minister Anthony Albanese’s coming visit to China later this summer presents a timely chance to reframe Australia–China relations through an increasingly vital lens: climate cooperation. With bilateral ties having largely stabilised since 2022 and a joint Australia–Pacific bid for the 2026 UN climate summit under way, climate action offers a promising platform for stronger engagement.

The rationale for cooperation is clear. Australia possesses vast reserves of critical minerals and significant renewable energy potential. China is the global leader in clean energy technologies – from solar panels and electric vehicles (EVs) to wind turbines and battery storage. By May, China’s total installed solar photovoltaic (PV) capacity exceeded 1,000 gigawatts (GW) – nearly half the global total.

To meet its carbon-reduction targets, Australia needs technology and engineering resources from overseas, including China. Leveraging each country’s strengths through closer climate collaboration could accelerate industrial decarbonisation and clean energy deployment.

Two priority areas stand out. The first is securing resilient supply chains for critical minerals and clean energy components. Australia is a key global supplier of lithium, bauxite, cobalt, nickel and rare earths minerals that are essential to battery and EV production. China is a major importer of Australian raw minerals and also dominates downstream processing and manufacturing.

Building on existing frameworks, such as an updated Sino-Australian memorandum of understanding on climate cooperation, the two countries could undertake joint ventures, research and development in refining, battery production or rare earth processing. Doing so would boost domestic value-added industries in Australia and help meet China’s rising demand.

Such cooperation aligns with the Albanese government’s ambitious “Future Made in Australia” agenda, which aims to position Australia as a renewable energy superpower and advanced manufacturing hub. It could also support innovation and create job opportunities across Australia.

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