global trade

Allies raise a glass to Australia amid China wine dispute

Agence France-Presse

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Allies raise a glass to Australia amid China wine dispute

WINE. Bottles of Australian-made wine are displayed for sale at a store in Beijing, China, on August 18, 2020.

Photo by Noel Celis/AFP

Supporters including Taiwan and the United States pledge to buy Australian wine, now subject to tariffs of up to 212% in China

Australia’s global allies voiced support for the country’s beleaguered wine industry on Wednesday, December 2, vowing to down a glass to lessen the impact of choking Chinese sanctions.

China on Friday, November 27, announced it would impose anti-dumping tariffs on Australian wine, the latest salvo in a barrage of trade sanctions that critics say are politically motivated.

In response, supporters including Taiwan and the United States pledged to buy Australian wine, now subject to tariffs of up to 212% in China.

“We stand in solidarity with #Australia by serving #FreedomWine,” Taiwan’s ministry of foreign affairs said in a tweet.

In Washington, the National Security Council said: “Australian wine will be featured at a White House holiday reception this week.”

It added: “Pity vino lovers in China who, due to Beijing’s coercive tariffs on Aussie vintners, will miss out. #AussieAussieAussieOiOiOi!”

Already strained China-Australia relations have worsened since Canberra moved to crack down on Chinese operations in the country and called for an inquiry into the origins of COVID-19 after its emergence in central China last year.

Australian winemakers said the latest tariffs would likely mean the lucrative Chinese market would dry up.

Treasury Wine Estates – which produces the popular high-end Penfolds brand – said it would look to other “key luxury growth markets” and cut costs as sales accounting for 30% of earnings fall away. 

Members of the Inter-parliamentary Alliance on China, a global bloc of lawmakers from 19 democratic nations, said they would help, with several pledging to switch their New Zealand pinot noir, Norwegian aquavit, or Japanese sake for an Aussie tipple.

In Hong Kong, #SolidaritywithAustralia trended on Twitter and the city’s exiled democracy activist Nathan Law said, “I don’t really drink, but I guess I am moved to buy a bottle of Australian wine.” – Rappler.com

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