Credited from: SCMP
On September 5, China announced that it would impose temporary anti-dumping duties of up to 62.4% on certain pork imports from the European Union, as its Ministry of Commerce determined that these imports were causing "material injury" to its domestic industry. The duties, which will range from 15.6% to 62.4% based on the producer, will take effect starting September 10, marking a significant escalation in trade tensions between the two economic powers, according to SCMP, Reuters, Reuters, Channel News Asia, and Le Monde.
The investigation that led to these duties was initiated amidst heightened scrutiny of Beijing's state subsidies for the domestic electric vehicle industry. The Chinese authorities' statement indicated that they had "preliminarily determined" that pork and by-products from the EU were being dumped into China’s market. The European Commission, however, criticized these allegations as "questionable," stating that it would take necessary steps to defend its producers against these measures, according to SCMP, Reuters, Channel News Asia, and Le Monde.
China's import duties are expected to have a considerable impact on European producers, particularly as the bloc exported significant quantities of pork to China, with Spain alone accounting for 4.3 billion yuan (approximately $604.3 million) in pork imports last year. Furthermore, industry representatives, such as Anne Richard from the French pork industry association INAPORC, expressed concern that the measures would affect prices and market dynamics in the EU. Richard emphasized that the prices of certain pork products were actually higher in China than in Europe, countering the dumping allegations, according to Reuters, Channel News Asia, and Le Monde.
This development follows ongoing trade disputes between the EU and China. The recent escalation is viewed as retaliation for EU tariffs on Chinese electric vehicles, further complicating an already strained economic relationship influenced by several geopolitical factors, including Russia's invasion of Ukraine. The Chinese government’s investigations into EU products, including pork, brandy, and dairy, have been interpreted as defensive actions against external pressures, according to Reuters, Channel News Asia, and Le Monde.