Li, currently ranked world No. 5, recovered from a set down to defeat world No. 2 Petra Kvitova in this afternoon’s semi final 1-6 7-5 6-2 to book her spot in the decider.
Third seed Azarenka overcame her semi final opponent, Poland’s Agnieszka Radwanska, after a slow start to win 1-6 6-3 6-2.
Reigning French Open champion Li said she is close to her best form after some impressive wins during the past week.
“I’m back and I am feeling stronger, not only in my body but also in my mind,” Li said.
“It was a big win for me today against Petra, especially after she won Istanbul and the Hopman Cup.”
Azarenka, whose previous best in Sydney was a semi final showing in 2010, said she was pleased with her fighting spirit she displayed in today’s match.
“I feel very good and I’m glad I’ve had a lot of matches in this event,” Azarenka said.
“It seems like all my work during the pre-season is paying off, so I am happy with that.
“I’m really looking forward to the final. It is a great opportunity and anything can happen.”
The women’s singles final gets underway at Sydney Olympic Park Tennis Centre at 7.30pm on Friday night. It will be the seventh time the pair has met since 2008, with the Chinese player leading their head to head 4-2.
Their most recent meeting was at the year -end WTA Championships in Istanbul last October, with the Belarusian scoring a comfortable 6-26-2 victory.
Should Azarenka win tomorrow night, it will be her 9th career WTA title while Li has 5 career titles.
Following the women’s singles decider tomorrow night, the top four doubles players in the world will face off in the doubles final.
Top seeds Kveta Peschke and Katarina Srebotnik will play the No. 2 seeds Liezel Huber and Lisa Raymond.
The Apia International Sydney will be held at Sydney Olympic Park Tennis Centre from Sunday 8 to Saturday 14 January 2012.
