The negotiation of the China–Australia Free Trade Agreement (ChAFTA) has been in process since May 2005 and has survived two changes of government in Australia. The negotiations have been on and off for many years. Recent development, however, indicates that the two countries are finally close to strike a deal. This paper examines the difficulties that bedevilled the negotiation process and how the circumstances have changed now. It also examines the way forward from both Australia and China’s perspectives.