Australia to File WTO Complaint Over Wine Trade Dispute with China

China Imposes Anti-Dumping Duties Exceeding 200% on Australian Wine
Australia Condemns China's Unconscionable Economic Threat

[Asia Economy Reporter Kim Suhwan] Australia’s Scott Morrison government plans to file a complaint with the World Trade Organization (WTO) regarding the anti-dumping duties imposed by China on Australian wine, viewing it as an unfair trade sanction.

On the 10th, Prime Minister Morrison said in an interview with local media, "Both Australian barley producers and wine producers are being targeted by China’s unscrupulous trade sanctions," adding, "We will pursue a complaint to resolve this issue through the WTO."

Earlier, in April last year, Australia officially called on the international community to investigate the theory that the COVID-19 virus originated in Wuhan, China, which led to strong backlash from China and diplomatic tensions between the two countries.

Subsequently, China carried out economic retaliation by imposing anti-dumping duties or import restrictions on Australian barley, beef, timber, hay, and other products.

Amid this, China officially launched an investigation into the dumping issue of Australian wine starting in August last year.

In March, after concluding the anti-dumping investigation, China’s Ministry of Commerce determined that dumping and illegal subsidies existed in Australian wine. Consequently, authorities imposed anti-dumping duties ranging from 116.2% to as high as 218.4% on Australian wine.

Previously, China was the largest importer of Australian wine, reportedly importing 40% of Australia’s total wine exports as of 2019.

The Australian government has formalized its plan to file a WTO complaint and intends to garner support from key allies.

Prime Minister Morrison plans to visit London, UK, this week for the G7 summit of major advanced countries, where he will emphasize to world leaders that this issue represents "China’s economic threat" and request their support for the Australian government.

Meanwhile, Australia’s Department of Agriculture stated that if the government takes the trade dispute with China to the WTO, it could take up to three years for the WTO to reach a final conclusion.