China is downgrading its dispute with the EU. Brussels has announced punitive tariffs on electric cars. However, Beijing does not want to impose corresponding measures on spirits from Europe for the time being.
In the midst of the trade conflict with the EU over the import of electric cars, China wants to forego its own punitive tariffs on European brandy for the time being. As the Chinese Ministry of Commerce in Beijing announced, although dumping prices for brandy from the European Union have been identified, no measures will be taken for the time being.
China launched the anti-dumping investigation against Brandy in January after the EU launched an investigation into subsidies for Chinese electric vehicles. Brussels later announced that it would impose provisional tariffs. However, the EU Commission must first have the member states vote on the course of action. A decision is expected by the end of October.
Brussels sees exports in line with rules
The EU Commission has taken note of the Chinese announcement, said a spokesman. The Commission is following the investigation very closely. “We are determined to provide our EU industry with appropriate support throughout the investigation.” The brandy exports to China are in line with all applicable World Trade Organization rules. There is no connection with the planned EU punitive tariffs on Chinese electric cars.
According to observers, the reluctance to impose brandy tariffs indicates that China wants to push ahead with negotiations. However, further investigations into products from the EU are still underway in Beijing. In July, the Chinese Ministry of Commerce announced that it was investigating pork and its byproducts imported from the EU.
Further investigations are underway in China
Just last week, China also announced an anti-subsidy investigation into imported dairy products from the EU. Certain goods such as fresh or processed cheese are affected, the Ministry of Commerce in Beijing announced.
With regard to the EU’s additional tariffs on Chinese electric cars, Beijing speaks of protectionism. Brussels is ignoring facts, disregarding World Trade Organization rules and will only harm itself and others, said Foreign Ministry spokeswoman Mao Ning in Beijing.
Source: Stern
