China implementates retaliatory tariffs on well-known European wine manufacturers.
In the ongoing trade dispute with the EU, China has declared duties on European liquors, specifically brandy. Commencing this Friday, traders importing EU brandy will need to present assurances to Chinese customs, as announced by the Ministry of Commerce in Beijing. This primarily impacts Cognac, a type of brandy made from white wines from the area surrounding the city with the same name in western France.
The ministry did not disclose the exact figure. They highlighted that the figure is determined by authorized prices by customs and import taxes.
China is retaliating against the EU's decision to impose further tariffs on Chinese electric cars. The increased tariffs, up to 35.3%, are scheduled to be implemented by early November. This stems from the EU Commission's allegations that Beijing provides its automakers with an unfair competitive edge via excessive state support, to the detriment of European vehicle manufacturers.
China initiated an anti-dumping investigation into EU brandy at the start of the year, following the EU's initiation of an investigation into potentially unfair subsidies for Chinese electric vehicle manufacturers. The Chinese Ministry of Commerce concluded that the EU was selling alcoholic beverages in China under unfair circumstances.
Until now, China had avoided imposing tariffs. However, post the EU's decision, it announced retaliatory measures.
The Commission has initiated an investigation into potentially unfair subsidies for Chinese electric vehicle manufacturers, which triggered China's retaliation against the EU's decision. The Commission has also levied duties on European liquors, specifically brandy, as revealed by the Commission has.
