Business: Canberra Irked by Beijing’s Anti – Dumping Investigation on Wine Imports, China Unrelented

– By Vinayak Barot

NEW DELHI, August 24: China’s launching of anti-dumping investigation into the Australian exports of wine in succession to its imposition of restrictions on the imports of Australian agricultural products has further irked Canberra amidst growing tension between the two countries.

The bilateral relations between the two countries was disturbed in the wake of Australia’s call for an independent investigation into the origins of the COVID-19 pandemic and had further deteriorated after China imposed trade sanctions on import of beef and barley from Australia.

The Australian Trade Minister Simon Birmingham said “We do find this deeply troubling, concerning and perplexing given Australia’s wine industry is not subsidized to export and it’s certainly not dumping product on the world market,”

An analyst at the Australian Financial Institution said it was unfortunate that China had also imposed an additional tariff of more than 80% on Australian barley, claiming that prices are unfairly low.

“Australia’s barley shipments to China plunged 98.7% on the month to about 1.09 million Australian dollars ($780,000) in June. Meat exports to China fell 22% in June.” Australian Analyst estimated.

Over the coronavirus spread in the world, The USA and European countries were already demanding that China pay compensation on the grounds that it was the source of the virus.

A professor at Beijing, who does not want to be named, said “The Chinese Communist Party’s greatest fear was countries demanding that China pay compensation. It sought to deter other nations from joining the call for inquiry by launching an all-out attack on Australia for seeking an investigation that could lead to demands for compensation” Professor added.

In August 2018, Australia decided to shut out products by China’s Huawei from its next-generation 5G network due to security concerns. The Chinese Media had criticized Australia on social media in December 2018 when it argued that the Five Eyes intelligence-sharing alliance — comprising the U.K., the U.S., Canada, Australia and New Zealand — worked to block Huawei.

The Australian Prime Minister Scott Morrison had offered permanent residency to the people from Hong Kong living in Australia. “The Hong Kongers in Australia can apply for permanent residency,” he had said which was disliked by Beijing.

The USA is constantly keeping its eyes on China by cooperating with other democracies, mainly Five Eyes members such as the U.K. and Australia. A former head of Australia’s ruling Liberal Party John Hewson said, “Australia aims to find more customers for its farm products, it has not found a substitute for China and Australia and China need a constructive trade relationship over the long term.”