China removes tariff on Australian wine

China has scraped tariffs on Australian wine. Australia and China are rebuilding trade ties after a period of strained relations which hit a low in 2020 after Australia called for an independent investigation into the origin of Covid-19.

In 2020, Beijing had imposed tariffs of above 200 percent on Australian wine products, at the height of the diplomatic dispute between the two countries. The Australian government statement said this had “effectively made it unviable for Australian producers to export bottled wine to that market.”

In a statement on 28th March, the Australian Prime Minister, Anthony Albanese, its Foreign Minister, Penny Wong, and Australia’s Trade Minister, Don Farrell, said that they had been informed that from 29th March China’s duties on Australian bottled wine would come to an end. Australia would, in turn, discontinue its legal proceedings against China in the World Trade Organization.

“We welcome this outcome, which comes at a critical time for the Australian wine industry. The re-entry of Australian bottled wine into the Chinese market will benefit both Australian producers and Chinese consumers,” the joint statement reads.