Australia's agriculture and trade ministers met with the nation's peak wine body on Wednesday in a bid to lodge a defence against China's trade intervention.
China says Australia is unfairly dumping wine into the market, slapping huge tariffs on the products that have shaken the local industry.
Federal Agriculture Minister David Littleproud said the government would "vigorously defend" the industry, pointing out Australian wine was the second highest priced wine in China.
Along with Trade Minister Simon Birmingham, he met with head of Australian Grape and Wine Tony Battaglene on Wednesday to lodge an appeal with the World Trade Organisation.
The ministers will continue working with industry to help find new markets for Australian wine.
Mr Littleproud said Australia followed the rules of international trade.
China is furious with Australia for demanding an investigation into the origins of coronavirus, speaking out about human rights abuses, and clamping down on foreign investment and interference.
It has prompted hits on a wide range of Australian exports including coal, timber, grain and seafood with bans and tariffs.