China starts EU brandy 'anti-dumping' tax on Saturday
Beijing launched an investigation last year into EU brandy, months after the bloc undertook a probe into Chinese electric vehicle subsidies. It said later it had determined in a preliminary ruling that dumping had occurred and imposed "temporary anti-dumping measures" on imports.
The 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," it 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 liters, according to the ministry. It said the tax rate on French liquor giant Jas Hennessy would be 34.9%. Remy Martin will be hit with a levy of 34.3%, while Martell will be charged 27.7%.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
LeMonde
3 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
4 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.
Euronews
6 hours ago
- Euronews
Donald Trump says new tariffs of up to 70% will begin 1 August
US President Donald Trump is expected to begin formally notifying key US trading partners of a sweeping new tariff regime as early as Friday, according to media reports. The duties, set to take effect on 1 August, could see some countries face levies of up to 70% on exports to the United States. Speaking to reporters ahead of the Independence Day holiday, Trump said around "10 or 12" letters would be issued immediately, with more to follow over the coming days. "By the ninth they'll be fully covered," he stated, referring to a 9 July deadline he previously set for reaching deals that could avert the higher tariffs. Trump's approach, widely seen as part of his America First trade agenda, leaves little room for negotiation. "They'll range in value from maybe 60 or 70% tariffs to 10 and 20% tariffs," he added, making clear that the scale of the new charges would vary by country. The United States is currently in sensitive talks with several economies, including South Korea, Indonesia, Switzerland and the European Union. The discussions are understood to be at a critical stage, where delicate issues are being tackled. The White House first announced the higher "reciprocal" tariffs on 2 April, but delayed full implementation for 90 days to allow time for talks. During the interim, a 10% rate was applied. Should the full slate of tariffs be enacted next week, Bloomberg Economics estimates the average duty on US imports could rise to around 20%, up sharply from the pre-Trump average of roughly 3%. Such an increase would represent a significant escalation from the initial framework unveiled in April, where proposed tariffs ranged from 10 to 50%. The president has not yet detailed which countries or goods would fall under the highest rate brackets. Trump said the measures would begin generating revenue from next month. "Countries would start to pay on 1 August. The money will start coming into the United States on 1 August," he said. While tariffs are officially paid by importers or their intermediaries, the costs are often passed down to consumers or absorbed by businesses through reduced profit margins. According to local media, economists have cautioned that the delayed impact of tariffs could complicate efforts by the Federal Reserve to manage inflation. Some Fed officials are reportedly hesitant to cut interest rates while the full economic effects of the trade measures remain unclear. The new tariffs have rattled global markets, with shares in Asia and Europe declining and the dollar weakening. US markets remained closed on Thursday for the Fourth of July holiday.
