China imposes more taxes on Australian wine amid tension

On Thursday, the Chinese government imposed more taxes on Australian wine, increasing pressure on a bitter diplomatic conflict over the coronavirus, land disputes and other irritants.

China, Australia’s largest export market, has already blocked imports of its wine, barley, beef and other products since the Australian government expressed support for an investigation into the origin of the coronavirus pandemic that began in China. Last December.

The Chinese Commerce Ministry said an investigation launched in August found Australia improperly subsidizing wine exports, hurting Chinese producers. The ministry said importers will have to pay a 6.3% to 6.4% deposit, starting Friday, pending a final decision.

That is in addition to taxes of more than 200% previously imposed on Australian wine, which the country’s trade minister said would make it unsellable in China.

China’s Foreign Ministry has demanded that Australia take unspecified steps to repair relations.

Beijing is increasingly using access to its populous market as a lever to extract concessions from its neighbors and increase its strategic influence.

Chinese leaders were upset by Australia’s decision to pursue a mutual defense treaty with Japan, which Beijing sees as a strategic rival, and to join Asian governments and the United States in opposing China’s claims on most of it. of the South China Sea, one of the most important in the world. busiest trade routes.