Beijing has decided not to impose additional sweets on brandy imports from the European Union, at least for the time being. This decision was taken amid growing trade tensions between China and the EU, after Brussels announced up to 36.3% rings for Chinese electric vehicles.
The Chinese Ministry of Commerce is investigating European brandy, considering that some EU producers may have been involved in dumping practices, selling at prices with margins of 30.6% to 39%. Despite the recognition of the existence of dumping that could harm the local industry, the Chinese government has decided not to implement anti-dumping measures at this time.
Beijing's reaction came against a backdrop of the European Commission accusing China of unfair trade practices, particularly in the electric vehicle industry, which could affect European manufacturers, especially in Germany.
The decision not to impose additional drugs has given some breathing space to European brandy producers, especially the French ones, who could be affected by overproduction in the Chinese market. However, the possibility of future sanctions is always present, which could improve the vitality of the sector.
On the other hand, Brussels has adjusted its conciliatory approach, reducing the initially proposed level of 38% to 36.3%. This price is in line with similar actions in other countries, such as Canada and the United States, which also have 100% tax on Chinese electric vehicle imports.
In addition, the EU is investigating subsidies that China provides to its solar panel sector and other industries. Beijing has responded to these accusations by calling Europe “protectionist” and has urged the EU to reconsider the tax measures since July.
