[Asia Economy Reporter Cho Hyun-ui] As China continues to impose sanctions on Australian imports, it has been reported that 10,000 liters of Australian wine have been seized in China.


Hong Kong's South China Morning Post (SCMP) cited Chinese customs data on the 31st, reporting that 8,640 liters of red wine from Australia's Paspeily Group and 2,646 liters of red wine from Lyndsdale have been seized in Shenzhen.


The reasons for the seizure were poor labeling and excessive use of additives, respectively. Analysts interpret this as a clear message from China that it will no longer purchase products from Australia.


SCMP explained, "This seizure simultaneously reflects how attractive the Chinese market remains to the Australian wine industry, despite China having already unofficially banned imports." This is because Australia has continued to export wine despite various sanctions imposed by China since last year.


Earlier, on the 26th, China's Ministry of Commerce announced it would impose anti-dumping tariffs ranging from 116.2% to 218.4% on wine imported from Australia. The Ministry had also pointed out in November last year that Australian wine received subsidies and was being sold below market value.


Before the conflict between the two countries, 40% of Australian wine exports went to China, amounting to 1 billion Australian dollars (approximately 860 billion Korean won) annually. However, the imposition of tariffs in November last year effectively blocked Australian wine exports to China.


SCMP stated, "The Australian wine industry has tried to open sales channels to the United States and the United Kingdom, but these markets have not become alternative markets capable of absorbing the large volumes previously sold to China."


Over the past year, China has imposed various import restrictions on Australian products ranging from coal to beef and lobster.



The relationship between China and Australia deteriorated starting in 2018 when Australia banned Huawei from participating in its 5G network. The situation worsened to its worst point last year after Australia called for an international investigation into the origins of COVID-19.


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

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