The Australian wine industry is popping the cork in celebration with news China has officially lifted its tariffs on Australian bottled wine.
On Thursday, the Chinese government announced the duties would be removed as of Friday, March 29.
"The Ministry of Commerce ruled that in view of the changes in the relevant wine market conditions in China, it is no longer necessary to impose anti-dumping duties and countervailing duties on imported relevant wines originating in Australia," a statement from the Chinese government read.
Prime Minister Anthony Albanese said the welcome news 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.
Mr Albanese said the process in working with the Chinese government follows the success of a similar approach taken to remove duties on Australian barley.
The duties had been in place since 2020, reaching 218 per cent, making it unviable for Australian producers to market wine in China.
In 2019, the value of Australian wine exports to China were worth $1.1 billion.
In South Australia, wine exports to China fell from $946.5 million in 2019, to $2.8m for the year ending January 2024.
Mr Albanese said Australia would no longer continue with its legal proceedings with the World Trade Organisation.
"We will continue to press for all remaining trade impediments affecting Australian exports to be removed, which is in the interests of both Australia and China," he said.
Australian Grape & Wine Chief Executive Lee McLean said this was an important decision for the industry.
"We acknowledge and thank Foreign Minister Penny Wong, Trade Minister Don Farrell and Agriculture Minister Murray Watt and their respective departments for their steadfast support of Australian grape growers and winemakers throughout the process," he said.
"The Australian wine sector has made a long-term commitment to building the market for Australian wine in China, with many wine companies having developed close relationships with importers, buyers and consumers of Australian wine over many years.
"We are working closely with the Australian government and Wine Australia to ensure a coordinated approach is taken to re-entry and that the sector is well positioned to re-establish trade relationships."
Treasury Wine Estates chief executive officer Tim Ford said this was a "momentous milestone" for the sector.
"The removal of tariffs on Australian wine exports to China is terrific news and is cause for celebration across the Australian wine industry and with our partners and consumers in China," he said.
"It's testament to the continued stabilising of relations between both countries by the respective governments and the ongoing partnerships maintained between Australian businesses and our Chinese counterparts."
