China hits Australian wine industry
The Australian government has expressed disappointment with China’s decision to impose new tariffs of up to 200 per cent on Australian wine, in a re escalation of trade tensions.China’s replica mens hermes h bracelet
move to slap tariffs on Australian wine makers after an anti dumping investigation will kill off the industry, Trade Minister Simon Birmingham has warned.The massive blow for Australian businesses comes after China Commerce Ministry accused them of flooding it with cheap wine, in an effort to skew the market.Temporary duties ranging from 107.1 per cent to 212.1 per cent will be implemented on Australian wine imports in 2L containers or less from Saturday.Senator Birmingham said the tax would likely see Chinese consumers turn away from Australia high quality wine because they will be unable to afford the price hikes.will have the effect of rendering largely unmarketable, unviable to the China wine industry or the Chinese wine market for Australian producers, Senator Birmingham said.is a very distressing time for many hundreds of Australian wine producers, who have built in good faith a sound market in China. than a third of Australian wine worth $1.07 billion was exported to China in 2019 20 making it the top trading partner for the winemakers.Preliminary findings from the anti dumping investigation launched in August showed there was a relationship between dumping and material damage is dumping of imported wines originating in Australia, and the relevant domestic wine industry in China has been substantive, the Chinese ministry said in a statement.The Morrison government and industry, which have repeatedly refuted the dumping allegations, will hold an emergency meeting on Friday afternoon to discuss the 10 day appeal process.Agriculture Minister David Littleproud said it was a seriously concerning development that Australia would fight against.Australian government categorically rejects any allegation that our wine producers are dumping product into China, and we continue to believe there is no basis or any evidence for these claims, he said.fact is Australia produces among the least subsidised product in the world and provides the second lowest level of farm subsidies in the OECD.gives the perception this decision is predicated on that rather than any wrongdoing by the wine industry.A document containing 14 grievances China has with Australia also leaked this month following customs issues with Aussie goods including seafood, timber and coal.The list included Australia push for an independent investigation into the origins of coronavirus, interference in China affairs with Taiwan, Hong Kong and Xinjiang, and issues in the South China Sea.Australian ministers have also been unable to get their Chinese counterparts on the phone despite the ongoing trade disputes.respect the process, we expect to be respected in return, he said, adding the government was working to shore up other markets for winemakers.The industry peak body denied the claims from the Chinese government and said the scale of the tariffs will force Australian producers to consider alternative export markets.are preliminary tariffs, and both the anti dumping and countervailing duties investigations are ongoing Australian Grape and Wine chief executive Tony Battaglene said.continue to stand firm that Australian exporters are not dumping wines in the Chinese market, nor have they received subsidies that have had a negative impact on the Chinese wine industry. in the form of tariffs is incompatible with Australia Free Trade Agreement with China and the rules based trading system.The move will also increase the risk for businesses and countries around the world to trade with China.In May, China threatened to boycott Australian beef, wine and international student markets.By mid August it had announced imported wines in 2L containers or less were subject to anti dumping investigations for the period of January 1 to December 31, 2019.