It is possible China could walk away from its free trade deal with Australia if Labor insists on making amendments to the agreement, the federal government says.
China's ambassador Ma Zhaoxu is set to express concerns the agreement could slip through the pair's fingers, as the opposition argues for safeguards to protect local jobs.
International Development Minister Steve Ciobo told Sky News on Tuesday there was a chance China could withdraw from deal and that would be a "great shame" for Australia.
Labor's employment spokesman Brendan O'Connor said it was unfair to see the ambassador's comments as a threat.
He questioned how the opposition's concerns could be seen as xenophobic, when crackdowns on foreign investment were not.
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"We want to make sure there are protections for the millions of Australians that require work," Mr O'Connor told Sky News.
Former prime minister Tony Abbott expects the China agreement to come before the Senate in the next sitting fortnight.
"It is absolutely critical it has a smooth and swift passage through the parliament ... this is something that will set Australia up not just for years but for decades," he told 2GB radio.
He said aspects of the China agreement the opposition was complaining about were contained in trade agreements Labor finalised in government.
