Mind the Gap: Boosting Australia’s China Capability

By Tom Parker, Chief Executive Officer | Australia China Business Council

Australia needs to invest in building our understanding of China.

As Treasurer Jim Chalmers noted in his address to the Lowy Institute, we are living in a world of ‘churn and change’ with rising geopolitical competition, demographic shifts, higher risks of major supply chain disruptions, and the restructuring of global trade to net-zero.

Against this backdrop of uncertainty, Australia needs individuals and organisations who can understand, explain and navigate our changing world, and this includes modern China, which is rapidly changing.

Unfortunately, many Australians with extensive experience and China capability have left the China sphere due to COVID-19 border closures and reduced demand from ongoing security and geopolitical concerns.

Alarmingly, the next generation of China capable government, business and community leaders is rapidly diminishing, with no high-level advanced Chinese language programs offered in any Australian university.

A report on Australia’s China Knowledge Capability, published in 2023 by the Australian Academy of the Humanities (AHH) and funded by the National Foundation of Australia China Relations (NFACR) found that in the five-year period from 2017 to 2021, the nation graduated only 17 students in Chinese Honours.

It is frightening to think that only a handful of Australian graduates have deep China literacy and understanding to build academic careers, enter the public and diplomatic service, become teachers, shape policy or drive our bi-lateral business community.

As Frances Adamson AC (former Australian Ambassador to China) declares in the Foreword to the AAH Report: “Put simply, Australia’s China Capacity is central to the national interest”, as Australia needs its own source of objective independent expertise on China.

ACBC is aware of this urgent need and aims to develop a larger pool of China-capable talent within Australia’s business community, from boardrooms to early-career professionals. Given the complexity and significance of China in Australia’s trade and investment sectors, everyone in business requires some level of China knowledge.

In the coming weeks, ACBC will conduct a national survey to identify current gaps and establish a baseline for Australia’s business sector’s China capability. The findings will be presented as part of a panel discussion at our flagship Canberra Networking Day on September 12th at Parliament House. During this event, we will outline our goals and plans to develop and deliver a series of programs aimed at enhancing and expanding Australia’s China capability.

ACBC welcomes recent funding from NFACR to support and encourage China capability development across honours programs, regional tourism operators, and wine exporters and early career professionals. There are also several excellent programs being offered by Asialink and the Asia Society, and ACBC is keen to build a framework for engagement that enables prior learning and experience but also provides a flexible learning structure that adds new information to deepen China literacy and understanding.

In addition, any discussion around Australia’s China capability must also map out building inclusive programs that engage our Chinese diaspora and provide platforms that support and allow their leadership in this space.

China capability is a journey, not a destination.

If you are interested in helping shape the future of Australian business’ China capability, please reach out to our CEO, Tom, at tom.parker@acbc.com.au or contact your local ACBC branch.