The Federal Opposition fears China will push to have major areas like agriculture left out of a free trade deal with Australia.
Overnight, Australia and China have agreed to begin negotiating a free trade agreement (FTA).
China has also expressed its happiness that Australia has recognised China as having "market economy status" before negotiations begin in a move Labor has criticised, saying Australia has given away its strongest bargaining point.
Labor's trade spokesman Simon Crean says Australia must also insist that agriculture not be left out of negotiations.
"It would be not only bad for Australia, it would be counterproductive to advances in the World Trade Organisation in the Doha round," he said.
"Our fear is that not only would we compromise those negotiations if we allow carve-outs and certainly to leave agriculture out would be disastrous for us."
