The resumption is a reminder of their economic interdependence as Australia's raw materials play a crucial role in fuelling the export-oriented economy of China.
Duties on 100 per cent tariff lines are to be eliminated by Australia under the new pact.
“It wants to be a ‘green energy superpower’ while remaining one of the largest fossil fuel exporters in the world”, the author writes.
The cooperation has accelerated because they share the common goal of deterring China.
Israel's Foreign Ministry voiced "deep disappointment" with the decision and said it would summon the Australian ambassador.
Australia, Britain and the US previously announced a security agreement known as Aukus, pledging to cooperate more closely on defence and research.
The troops will be held on the larger ships out at sea before being sent onto land via fast craft and helicopter for their mission.
Trade and investment have become a spotlight in bilateral ties, with two-way trade hitting US$9.6 billion in seven months of this year.
The ambassador also said there were many areas in which Australia and China share common interests and continue to cooperate, such as environmental protection and free trade.
Europe's rush for supplies and an outage at the biggest US LNG plant supplying Europe have had knock-on effects driving power prices up.