China slaps 'anti-dumping' taxes of up to 34.9 percent on EU brandy
Beijing launched an investigation last year into EU brandy, months after the bloc undertook a probe into Chinese electric vehicle (EV) subsidies.
It later said it had determined in a preliminary ruling that dumping had occurred and imposed "temporary anti-dumping measures" on imports of the alcoholic beverage.
And Beijing's commerce ministry said on Friday that China's tariff commission had "decided to impose anti-dumping duties on imports of relevant brandy originating in the EU from July 5, 2025".
"The investigating authority finally ruled that there was dumping of relevant brandy imported from the EU," the ministry said in a statement.
"The domestic relevant brandy industry was threatened with substantial damages, and there was a causal relationship between the dumping and that threat," it said.
The levies will apply to brandy in containers of less than 200 litres, according to the ministry.
It said the tax rate on French liquor giant Jas Hennessy would be 34.9 percent.
Remy Martin will be hit with 34.3 percent and Martell 27.7 percent.
The levies come as Chinese top diplomat Wang Yi has held fraught meetings with his counterparts during a tour of Europe this week.
And they will likely be high on the agenda when he meets French Foreign Minister Jean-Noël Barrot on Friday afternoon in Paris.
Bitter taste
A trade spat between Beijing and the bloc erupted last summer when the EU moved towards imposing hefty tariffs on EVs imported from China, arguing that Beijing's subsidies were unfairly undercutting European competitors.
Beijing denied that claim and announced what were widely seen as retaliatory probes into imported European pork, brandy and dairy products.
The EU imposed extra import taxes of up to 35 percent on Chinese EV imports last October.
Beijing later lodged a complaint with the World Trade Organization, which said in April that it would set up an expert panel to assess the EU's decision.
China is a major market for French cognac, with exports worth 1.4 billion euros ($1.6 billion) per year. The anti-dumping measures are costing the industry 50 million euros per month.
China and the EU are scheduled to hold a summit this month to mark the 50th anniversary of the establishment of diplomatic ties.
But the festivities come at a time of strained relations, with the trade tensions compounded by Beijing's position on the Russian invasion of Ukraine, which Brussels says shows tacit support for Moscow.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
LeMonde
19 minutes ago
- LeMonde
World Immigration In France, asylum seekers navigate labyrinth of Europe's Dublin Regulation By Julia Pascual and Samuel Gratacap Published today at 8:30 pm (Paris) 7 min read Lire en français Subscribers only Share Share on Messenger Share on Facebook Share by email Share on Linkedin Copy link Investigation '2015-2025: Europe's migration crisis' (3/5). In the 1990s, the European Union established the Dublin Regulation, aiming to prevent asylum seekers from filing applications in multiple countries. The massive influx of refugees over the past 10 years has shattered the system, which is no longer implemented in all EU member states. source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-00-texts-en.txt source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-00-structure.txt source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-00-styles.txt source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-03-texts-en.txt source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-03-structure-en.txt source https://assets-decodeurs.lemonde.fr/doc_happens/asile/2506-asile-03-styles.txt style https://assets-decodeurs.lemonde.fr/redacweb/lm-styles/lm-styles.v1.0.1.css The plane touched down on the tarmac of Marignane airport, near the southern French city of Marseille. Around 30 plainclothes police officers stood on the runway, ready to board five men. Turks and Afghans, they were escorted one by one, their wrists bound by handcuffs, their heads buried in their shoulders. As one of them prepared to board, he collapsed on the tarmac. The officers, used to seeing this happen, were unfazed. Mechanically, they turned the man on his side and strapped one belt around his ankles, another around his knees. Bound, the man was carried horizontally into the cabin. Within a few hours, he would land in Zagreb. His offense: applying for asylum in France, while according to his fingerprints, he had entered the European Union (EU) via Croatia. Under the Dublin Regulation, asylum applications are to be examined in the country of first entry, or the member state in which an asylum seeker initially sets foot in the EU. A few hours earlier, another of the five escorted passengers, an Afghan, had fainted and collapsed in the parking lot next to the prefecture in Marseille. His eyes rolled back and his body went stiff. "Come on, breathe, it's going to be all right," assured one of the officers, all of whom requested anonymity. "It's the fear of leaving," another said empathetically. You have 87.11% of this article left to read. The rest is for subscribers only.
World Immigration In France, asylum seekers navigate labyrinth of Europe's Dublin Regulation By Julia Pascual and Samuel Gratacap Published today at 8:30 pm (Paris) 7 min read Lire en français Subscribers only Investigation'2015-2025: Europe's migration crisis' (3/5). In the 1990s, the European Union established the Dublin Regulation, aiming to prevent asylum seekers from filing applications in multiple countries. The massive influx of refugees over the past 10 years has shattered the system, which is no longer implemented in all EU member states. The plane touched down on the tarmac of Marignane airport, near the southern French city of Marseille. Around 30 plainclothes police officers stood on the runway, ready to board five men. Turks and Afghans, they were escorted one by one, their wrists bound by handcuffs, their heads buried in their shoulders. As one of them prepared to board, he collapsed on the tarmac. The officers, used to seeing this happen, were unfazed. Mechanically, they turned the man on his side and strapped one belt around his ankles, another around his knees. Bound, the man was carried horizontally into the cabin. Within a few hours, he would land in Zagreb. His offense: applying for asylum in France, while according to his fingerprints, he had entered the European Union (EU) via Croatia. Under the Dublin Regulation, asylum applications are to be examined in the country of first entry, or the member state in which an asylum seeker initially sets foot in the EU. A few hours earlier, another of the five escorted passengers, an Afghan, had fainted and collapsed in the parking lot next to the prefecture in Marseille. His eyes rolled back and his body went stiff. "Come on, breathe, it's going to be all right," assured one of the officers, all of whom requested anonymity. "It's the fear of leaving," another said empathetically. You have 87.11% of this article left to read. The rest is for subscribers only.
LeMonde
2 hours ago
- LeMonde
Europe and US to seek to avoid return of steep tariffs in weekend of last-ditch trade talks
Seeking to stave off a damaging trade war, EU trade commissioner Maros Sefcovic held discussions in Washington this week with his US counterparts. The talks were described as productive, but neither side indicated how close they were to a deal. If the EU does not clinch an agreement with the US by Wednesday, higher levies will return and unleash economic pain on the bloc. The European Commission, which leads trade policy for the 27-country bloc, briefed EU ambassadors on Friday about how talks were going. During the meeting, a senior EU official told member states there was no deal yet but that talks would continue "likely over the weekend," an EU diplomat told AFP agency. "A first basic agreement until deadline isn't off the table. Things are still very much in flux," the diplomat said. Another European diplomat said it was not clear yet how US President Donald Trump would classify the status of negotiations with the EU when it addresses its trading partners early next week. Trump could keep the tariff suspension for partners where there is an agreement in principle, restore tariffs if there is no deal or reimpose levies where negotiations are going badly, the diplomat said. 'Imbalance' will remain If no deal is struck, the default levy on EU imports is set to double to 20% or even higher, with Trump having threatened at one point to slap 50% duties. EU chief Ursula von der Leyen said on Thursday that Brussels sought an agreement in principle, which would mean further talks would be necessary on the details. But the commission believes that whatever happens, an imbalance in trade measures between the EU and the US will remain. "This begs the question, asked by a number of ambassadors today, how we prepare to remedy that imbalance," the diplomat said. Some capitals appear to have reconciled with the prospect of the US keeping the current flat levy of 10% on EU exports, the challenge then being to negotiate carve-outs for key sectors, such as cars and aeronautics.
Fashion Network
2 hours ago
- Fashion Network
LVMH cognac makers spared from China's tariffs, but EU spirits sector remains under pressure
China has opted to exempt key cognac producers — including LVMH, Pernod Ricard and Rémy Cointreau — from newly announced tariffs of up to 35% on EU brandy, provided they agree to minimum pricing terms. The decision follows months of tension between the EU and China over anti-dumping investigations and comes as luxury groups continue to navigate shifting regulatory landscapes in global markets. The exemption applies only to companies that commit to selling above a set minimum price. For other producers — or those who breach the agreed price terms — China will apply duties of up to 34.9% for a period of five years, beginning Saturday, according to a statement from the Chinese government. SpiritsEUROPE, the trade body representing EU spirits producers, welcomed the partial relief for major cognac houses but warned that broader punitive measures remain in place. The organisation called for all restrictions to be lifted, noting that such tariffs risk further straining EU–China trade relations at a time when collaboration is essential. 'While we welcome the conclusion of price undertakings with certain companies, we urge that this option be extended to all compliant firms,' said SpiritsEUROPE Director General Hervé Dumesny. For LVMH, whose Moët Hennessy division includes high-end cognac labels such as Hennessy, China remains a critical growth market not only for wines and spirits, but also across fashion, jewellery and cosmetics. Any escalation in trade disputes — even outside of fashion — could influence wider sentiment and regulatory scrutiny toward European luxury brands operating in the region. The move echoes past trade tensions, such as the delisting of the e-commerce platform Wish in 2021, and reinforces how trade disputes across categories — including spirits — can have ripple effects on broader luxury exports. With China representing a key consumer base for European luxury houses, evolving tariff frameworks remain closely monitored across the sector, particularly as brands continue to adapt to shifting consumer behaviour and geopolitical uncertainty.
