Trade tensions: China imposes punitive duties on Australian barley as Canberra calls for virus probe

20/05/2020 12:00 - 216 Views

A vessel laden with Australian barley has turned back from China after Chinese authorities slapped anti-dumping duties on grain imports for five years amid escalating tensions between the countries.

China - which is Australia's biggest barley customer - has imposed an anti-dumping duty of 73.6pc and an anti-subsidy duty of 6.9pc, effective from yesterday, according to China's Ministry of Commerce.

Industry groups warn that the measures will gut an export market worth AUS$1.4bn (€837m) in 2017.

Australia has annoyed China by calling for an independent investigation into the origins of the coronavirus pandemic and into China's wildlife wet markets. It may appeal China's grain duties to the World Trade Organisation.

However, Australia's exports of wine, seafood, oatmeal, fruit and dairy could be placed in danger of being targeted if China opts to escalate their dispute further.

Source: Bloomberg