China’s Ministry of Commerce has announced an anti-dumping investigation into imported products from the European Union (EU). This involved imported pork and by-products, Beijing said on Monday. It will probably be a counter-reaction to the threatened EU tariffs on Chinese electric cars.
Experts had already expected counter reactions from China. Fresh and frozen pork or offal are subject to the anti-dumping investigation. Last year, 5.6 billion euros worth of pork came from abroad, including offal. More than half of the products came from the EU. Pig parts such as legs, ears and innards are very popular in China.
Are dairy products still important?
Prior to this announcement, China’s Global Times newspaper reported that the industry was gathering evidence to investigate certain dairy products and pork from the EU. No further information was provided.
In any case, no tariffs will be imposed on EU products that the country still needs, says Jac Gunter of the Merics Institute in Berlin. “These include machinery, high-value industrial goods, chemicals, medical technology and other products.” Larger European carmakers are also likely to be spared, as they would create jobs, pay taxes and contribute to growth in China.
Not the first investigation
Chinese producers, on the other hand, could produce sufficient quantities of agricultural, food and beverage products themselves. This also includes pork. It is not the country’s first investigation into European products. In January, the Commerce Ministry announced an investigation into brandy, mainly affecting manufacturers from France.
As reported, the EU has imposed punitive tariffs on Chinese electric cars imported into Europe (see video above). It is suspected that illegal subsidies exist. The amount should vary depending on the car manufacturer, the average rate is 21 percent.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
