On Friday 4 July, Beijing announced that it would be imposing a definitive anti-dumping tariff on European brandy from Saturday 5 July. This confirms the provisional duties put in place in October 2024 (see EUROPE 13499/27).
This measure mainly targets French cognac, a quarter of whose exports are destined for the Chinese market. The highest rate, 34.9%, applies to French cognac giant Hennessy.
In recent weeks, some other French producers have found agreements with China to set minimum import prices, enabling them to avoid tariffs.
The announcement of these anti-dumping tariffs is a further sign of the recent deterioration in relations between the EU and China, at a time when the two parties are due to hold a summit at the end of the month (see other news).
On Friday 4 July, the European Commission deplored Beijing’s imposition of definitive tariffs, which it considers unfounded. According to Commission Trade spokesman Olof Gill, the EU’s comments and objections communicated to Beijing concerning “shortcomings in the investigation” were not addressed by China at any time.
In November 2024, the Commission had already initiated proceedings at the World Trade Organization over these customs duties (see EUROPE 13531/9). (Original version in French by Léa Marchal)