Trade Minister Dan Tehan appears to be in denial over Australia’s worsening trade dispute with China and the thousands of jobs that are under threat as a result.

Mr Tehan has told The West Australian newspaper he will oversee “another golden age of trade diplomacy” with China, yet there is clear evidence the trading relationship continues to deteriorate.

According to evidence given to Senate Estimates last Thursday night, the value of Australia’s trade with China has plummeted by 40 per cent when exports of iron ore are excluded.

Officials from the Department of Foreign Affairs and Trade also told the hearing that wine exports to China fell from $164 million in October last year to a paltry $1 million in January, as a result of interim tariffs imposed by China in November.

On Friday, China’s Ministry of Commerce announced it would lock in these tariffs -- of up to 218 per cent -- for the next five years.

The officials also confirmed that Mr Tehan is yet to receive a reply to a letter he sent in January to his Chinese counterpart, Wang Wentao, seeking to reopen dialogue with our biggest trading partner.

When Mr Tehan became Trade Minister in December, exporters hoped the appointment would prove to be a circuit-breaker in Australia’s trade disputes with China and propel the Government to finally get serious about the need for export diversification.

So far it appears nothing has changed.

Mr Tehan’s comments to The West Australian last Friday suggest he does not understand the hard work that will be needed to fix the trade relationship and support our exporters.

In the interview, Mr Tehan also called on Australian businesses to maintain their contacts in China during this period of trade tensions. 

Yet this comes at the same time as the Morrison Government is actively encouraging Australian business leaders not to question the way the China relationship has been handled.

Mr Tehan should be realistic and honest with Australian exporters about the serious challenges they are facing.  

Even better, he should come up with a genuine plan to help get them through this crisis.