Daily Management Review

Australia initiates WTO dispute with China over wine duties


Australia asked the World Trade Organisation (WTO) to start consultations with China over China's anti-dumping duties on Australian bottled wine, the WTO press office said.

As explained, Australia argues that the measures are incompatible with various provisions of the WTO Anti-Dumping Agreement, the Agreement on Subsidies and Countervailing Measures and the 1994 General Agreement on Tariffs and Trade. The request for consultation formally initiates a dispute at the WTO.

Consultation gives the parties an opportunity to discuss the issue and find a satisfactory solution without continuing the proceedings through arbitration. However, if the consultation does not resolve the issue after 60 days, Australia can ask the WTO to have the dispute heard by arbitrators.

China imposed import duties on Australian wine to 212.1% in late November 2020. The duties were expected to hit Australian winemakers hard, who said they were looking for other markets. China remained Australia's largest trading partner and largest market for Australian wine exports.

Relations between China and Australia have recently deteriorated on a number of fronts.

source: reuters.org