China slaps duties on Australian wine for 5 years as trade spat escalates

The duties, which vary from 116% to 218%, had been introduced Friday and are available after an investigation by Chinese authorities discovered cases of “dumping and [market] damage.” They take impact on Sunday.

Australian Grape & Wine Chief Executive Tony Battaglene told Bloomberg Friday that the trade group will seemingly advocate making a criticism to the World Trade Organization. China was, till not too long ago, the biggest market for exports of Australian wine.

Relations between Australia and China started to deteriorate final April after Prime Minister Scott Morrison referred to as for a global investigation into the origins of the coronavirus. Various Australian exports — together with timber, beef and a few kinds of coal — quickly started to come across difficulties getting into the Chinese market.

Chinese funding in Australia plunged to simply over 1 billion Australian {dollars} ($763 million) in 2020, down 62% from the earlier yr, in accordance with a report launched earlier this month by the Australian National University’s Chinese Investment in Australia Database.
Australia’s wine industry has been on the heart of the storm. The Chinese Ministry of Commerce imposed momentary tariffs of as much as 212% on Australian wine imports in November following an anti-dumping investigation.

The worth of exports of wine to China dropped to virtually zero in December, in accordance with statistics from trade group Wine Australia.

— Laura He and Ben Westcott contributed reporting.

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