China announced on Wednesday, August 21, the opening of an investigation into alleged subsidies granted by the European Union (EU) to certain dairy products, in a context of tensions with Brussels over surcharges on electric vehicles from China.
“The Ministry of Commerce has decided to open an anti-dumping investigation into certain dairy products imported from the European Union from August 21, 2024,” explains a press release.
The investigation covers products such as fresh and sour milk cheese, blue cheese and some milk and cream, the Ministry of Commerce said. The procedure targets a number of subsidies granted under the EU’s Common Agricultural Policy (CAP). The investigation must be concluded within a year, but it could possibly be extended by six months, the statement said.
Surcharge on electric vehicles imported from China
The decision comes at a time of tension: on Tuesday, the EU confirmed its intention to impose a surcharge for five years on electric cars from China, including those from the American manufacturer Tesla, which has a factory in Shanghai. Brussels believes that the prices of Chinese vehicles are artificially low due to state subsidies that distort the market and harm the competitiveness of European manufacturers.
These surcharges, which can reach up to 36%, will replace temporary taxes decided at the beginning of July on electric vehicles imported from China. Beijing, which has criticised the move, has repeatedly threatened retaliation in recent months.
In January, China had already announced that it was investigating an alleged anti-competitive infringement of wine spirits, such as cognac, imported from the EU and particularly from France, which had given rise to the Brussels investigation.
In June, China also launched an anti-dumping investigation into imports of pork and pork products from the EU, goods mainly produced in Spain, France, the Netherlands and Denmark.
This article is originally published on .lemonde.fr
