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Trade War Averted Between China & EU
Julien Camus
Wine Culture
La revue du vin de France (RVF) reports on an agreement dated March 19, 2014 to end China’s inquiry into anti-dumping wine trading practices by EU countries. As European wine trade and marketing is government funded, China claims that wine is sold to Asia below the cost of production (i.e. dumping). This claim was levied in response to France’s protective tax on the importation of Chinese solar panels.
Combined with a campaign by the Chinese government against luxury gifts and entertaining, the inquiry contributed to a substantial drop in wine exports from EU countries to China in 2013, claims RVF. According to the terms of the “amicable accord,” the Europeans have agreed to provide “technical support” to their Chinese counterparts with respect to “adapted” grape varieties as well as training of “local vintners and specialists.” The tax on Chinese solar panels has been eliminated.