Surtaxes on cognac: China announces the imposition of “temporary anti-dumping measures”

Trade tensions between Beijing and Brussels. China announced on Monday the imposition of “temporary anti-dumping measures” on brandies (wine-based spirits) imported from the European Union (EU), of which cognac represents 95% of the total.

It was not immediately clear on Monday whether these measures, which will be imposed from Friday, were new or an extension of those already existing. Since October 11, China has already required importers of European brandies to post a deposit with Chinese customs, as part of an anti-dumping investigation.

“The investigating authorities (on European brandies) have decided to implement temporary anti-dumping measures in the form of a bond or a letter of guarantee,” the Chinese Ministry of Commerce said in a statement on Monday. press release.

Retaliatory measure

This anti-dumping investigation is widely seen as a retaliatory measure after the European Commission adopted a regulation in October imposing additional customs duties on electric cars imported from China, accused of unfair competition. A measure which had the strong support of France.

In France, the cognac inter-professional association believes that it has been “sacrificed” by the government for the benefit of the automobile industry. A French diplomatic source strongly denounced these Chinese measures at the end of October, whose “political nature is obvious”.

The imposition of customs surcharges on cognac could be devastating for the sector and block access to the Chinese market for this product. “We are ready to take all possible technical and legal measures” if necessary, indicated last week the French Minister for Foreign Trade, Sophie Primas. However, she indicated that negotiations with Beijing on cognac remained “clearly open”.

In addition to brandies, China is also carrying out anti-dumping investigations targeting pork and dairy products imported from the EU, posing a threat to these sectors.