His warning comes a day after ACT Chief Minister Andrew Barr urged the Opposition Leader Bill Shorten and the union movement to support the deal, calling for maturity from both sides of politics.

"The China-Australia free trade agreement may help Canberra's exports but not everything can be justified by claiming it is 'good for the economy'," Mr Rattenbury said.

"We can't just give such a deal the 'good for the economy' free pass. There are serious concerns that need to be resolved."

Mr Rattenbury said he was worried about environmental protections, the ability for investors to sue for policy changes that harm investments, and the removal of labour market testing and skills assessments.

"If agreed upon these are changes that could have long term negative impacts in areas such as local training and employment, public health and safety, and our local environment," he said.

"In any case previous free trade agreements with Japan and Korea have not resulted in increased trade."

Mr Rattenbury's comments are a contrast to the Chief Minister's public support of the free trade agreement, and his belief it would encourage job growth and local exports.

"If the federal parliamentarians can sort out their political bunfight, that would be to the greater benefit of Australia's states and territories," Mr Barr said on Wednesday.

Victorian Premier Daniel Andrews, South Australian Premier Jay Weatherill, former prime minister Bob Hawke and former foreign affairs minister Bob Carr have all voiced support for the agreement in recent days.

Canberra Business Chamber chief executive Robyn Hendry said she was pleased by the Chief Minister's public support and called on both sides of politics to stop playing games.

"I did not know that he was going to make those statements but I am aware of his views on free trade and his background as an economist, so it doesn't surprise me," she said.

Ms Hendry said the agreement was another opportunity for the ACT economy to diversify and it should be welcomed by territory politicians.

"We absolutely support the free trade agreement and our members are keen to see it come to fruition so we can grow our export footprint," she said.

"We may not export as much as other jurisdictions but there are a great opportunity to support our wine industry and other specialists groups that we are very excited about."

Fraser MP Andrew Leigh, Labor's shadow assistant treasurer and a former economics professor, said he supported free trade but was concerned about the labour provisions.

"Our concern is not with the trade liberalisation part of the deal, it's with the changes to labour market testing," he told ABC TV.

"We should make sure that we've got a good deal on the trade liberalisation side but we also need to make sure that on the immigration side we're not undermining opportunities for young Australians who have got the skills and the talents to do the job.

"We don't want them to be shut out of job opportunities as a result of the deal."