China puts punitive duties on barley
Australian seafood, dairy products may be ‘next in line'
More Australian products, including seafood and dairy goods, could run into trouble in China after Beijing slapped an 80-percent tariff on Australian barley after a two-year antidumping and countervailing probe, Chinese experts said Tuesday.
Concerns are rising on probes of other Australia products, with a Bloomberg report Tuesday citing Chinese sources claiming that Australian wine, seafood, oatmeal, fruit and dairy products are in danger of being targeted by China.
The Ministry of Commerce (MOFCOM) Monday announced antidumping remedy measures against Australia's annual $1.5 billion barley exports to China, and there have been suggestions by some Australian officials about bringing the barley trade dispute to the WTO.
Yu Lei, a chief research fellow at the Research Center for Pacific Island Countries at Liaocheng University, said there might be more actions by China if the Australian government continues to harm China, describing the barley tariff as a “mild reminder.”
Yu said China and Australia became strategic partners in 2013, and upgraded the relationship into a comprehensive strategic partnership in 2014, “but what Australia has done in recent years is not what a partner should do.”
“China's move could also be interpreted as a mild warning to Australia that it should think about what a trade partner should do,” Yu said.
Australian Agriculture Minister David Littleproud said on Monday that "there is no trade war" between China and Australia and there is rising demand for iron ore from China.
Chinese Foreign Ministry spokesperson Zhao Lijian said Tuesday that China's decision to impose anti-dumping and countervailing duties on Australian barley was based on investigations conducted in strict accordance with Chinese laws and WTO rules.
Australian government has been making political noises, demanding an independent inquiry into the COVID-19 outbreak in China, in its purposeful effort to smear and stigmatize China.
Li Guoxiang, a research fellow on agriculture at the Chinese Academy of Social Sciences, told the Global Times Tuesday that Australian dairy products and seafood are more vulnerable to investigation due to a supply glut in China.
Australia's Department of Agriculture said about 65 percent of Australian agricultural products are exported, with the majority going to China, Japan and the US.
Chinese barley importers may turn to France, Canada, Ukraine and Russia since Australian barley has lost its appeal, Ma Wenfeng, a senior analyst at Beijing Orient Agribusiness Consultancy, told the Global Times on Tuesday.
A manager at Shandong Provincebased grain importer Huamao Fodder voiced concern after hearing about the anti-dumping and countervailing tariffs on Australian barley.
“I will have to turn to Ukraine or Canada to import barley instead of Australia, as the tariff rates are too high,” he said.
Ties between Australia and China have deteriorated as the Australian government has taken unfriendly moves against China, setting barriers for Chinese investment and blocking Huawei's 5G from the market.