Is China still buying Australian wine?
Key points: China’s tariffs on Australian wine have effectively closed off the market. The industry is diversifying into new markets. The federal government has announced its intention to take China to the WTO over the tariffs.
Is China banning Australian wine?
An increase and extension to tariffs on some Australian wine producers paves the way for a World Trade Organisation dispute. Reuters on Friday reported China’s Ministry of Commerce had confirmed it would impose “anti-dumping measures on some Australian wine imports from March 28 for five years“.
What is China doing to Australian wine?
On 1 January 2019, the tariff on Australian wine fell to zero, giving Australia a 14% tariff advantage over competitors. Under zero tariff, Australia’s share of China’s total bottled wine imports increased from 28% in 2018 to 37% in 2019 in value terms.
Is wine made in China?
Wine has been produced in China since the Han dynasty (206 BC–220 AD). Thanks to its immense territory and favorable climates, China is the largest grape producer worldwide, contributing to nearly half of the world’s grape production. When it comes to viticulture, it also has the third-largest vineyard area worldwide.
How much wine does China buy from Australia?
Before November, China was Australia’s biggest wine market by far. In 2019, more than a third of the wine that Australia exported went to China. The country bought $A1. 1 billion from Australian vineyards, according to Wine Australia.
Is Australian wine Subsidised?
“The OECD [Organization for Economic Cooperation and Development] ranks Australia as the second least subsidised agriculture sector in the world. “We are not dumping wine in China, and as the OECD points out, our producers are not subsidised in any way that would harm the Chinese wine sector.”
Why did China increase tariffs on Australia?
To address burgeoning wine imports from Australia, China imposed prohibitive tariffs on Australian wine in 2020 that will all but halt the trade. Australia has responded through a large number of government and industry submissions, including those from Australian Grape and Wine (AGW).
Why did China put tariffs on Australian wine?
The imposition of tariffs follows punitive measures imposed on other commodities such as barley, beef and seafood, as a diplomatic dispute over an investigation into the origins of the coronavirus outbreak escalated into a trade war.
What percentage of Australian wine is exported to China?
Australia wine exports to China crater 96% in December quarter as tariffs bite.
What does Australia export to China?
Iron ore, gas and coal make up the bulk of Australian exports to China (more than AUD 79 billion), but Australian service industries – led by education and tourism – are a growing part of the trade relationship.