China Imposes De Facto Import Ban on Australian Wine

Anti-dumping duty at 212% plus countervailing duty deposit
China targets Australian wine industry... Tax bomb on Australian wine

[Asia Economy Beijing=Special Correspondent Jo Young-shin] China has imposed an anti-dumping tariff of 212% on Australian wine and has decided to impose a countervailing duty deposit as well.

Countervailing duties are tariffs imposed by an importing country when it determines that products subsidized by the exporting country are imported and cause damage to its domestic industry. The deposit is a measure to collect a similar level of cash before the countervailing duty is officially imposed.

On the 10th, China's Ministry of Commerce announced that based on the investigation results confirming the existence of subsidies on Australian wine, it will impose a provisional countervailing duty deposit of 6.3 to 6.4% on Australian wine in accordance with China's Anti-Subsidy Regulations.

China is the largest importer of Australian wine, importing 39% of the wine exported from Australia, so the impact on the Australian wine industry due to this measure appears inevitable. This imposition of the countervailing duty deposit is effectively interpreted as a measure tantamount to an import ban.

The Ministry of Commerce stated that this measure follows the anti-subsidy initiation investigation conducted on August 31 and announced that it will be applied starting from the 11th. The target of the imposition is red wine imported from Australia contained in containers of 2 liters or less.

The conflict between the two countries, which began in April when Australian authorities demanded an international investigation into the origin of the novel coronavirus (COVID-19), has gradually worsened, spreading to China's imposition of tariffs on Australian beef, barley, and wine, as well as controversies over the Australian military's alleged civilian killings in Afghanistan.

This content was produced with the assistance of AI translation services.