Science, innovation and a move to boost start-ups have been pushed to the fore of the Australia-China relationship with a $100 million joint research and science precinct to be built at Sydney's University of New South Wales, Prime Minister Malcolm Turnbull has announced.

The precinct is being touted as a "global first" by the university and places Mr Turnbull's promise to advance Australia's innovation, scientific and research capabilities at the heart of his foreign policy agenda. Mr Turnbull is on his first official visit to China since taking office in September. He revealed the collaboration in a signing ceremony with Chinese Premier Li Keqiang​ at the Great Hall of the People in Beijing.

Prime Minister Malcolm Turnbull listens to Chinese Premier Li Keqiang during a ceremony at the Great Hall of the People in Beijing. Credit:AP

Earlier in Shanghai, he said Australia and China "have to work much harder" to expand business links as their economies and mutual interests shift. And he said China would find transitioning to open markets and the rule of law "well worth the challenges."

"In the post-resource construction boom, we come to China with similar skills and endowments as those early Australian investors; innovation, a global mindset and the long investment horizons which come from transparent markets and the rule of law," he said.