As trade tensions between the two countries escalated, Australia's Ambassador to Beijing, Graham Fletcher, was spotted at the trade fair amid speculation of sweeping import bans.
The state controlled Global Times is reporting what Beijing has dismissed as a rumour, that across seven sectors, Australian goods would be banned from China.
It wrote: "Chinese analysts believe the reported visit of Australian ambassador to China to the 3rd China International Import Expo (CIIE) in Shanghai, reflects Australia's need for the Chinese market amid worsening diplomatic ties and its economic consequences. The visit came after China halted seven categories of Australian goods from the market."
China purchases 40 per cent of Australia's wine.
Tony Battaglene from Australian Grape and Wine says that small producers may not survive a ban.
"It's a 1.2 billion dollar export market for us, 40 per cent of our export, so we are vulnerable. Depending on the length of the ban, the extent of the ban, if there's a ban - and we still don't know, we must be clear about that, if that happens then there'll be an economic impact that could send people to the wall."
The move, if confirmed, follows earlier disruptions to imports of Australian coal, timber, and rock lobsters.
