The anti-subsidy probe has further soured relations between the world’s second- and third-largest economies.
#EU #ChinaEU #China #Food
#EU #ChinaEU #China #Food
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00:00Trade tensions between the European Union and China are souring.
00:07The EU is China's second biggest supplier of dairy products,
00:10but an anti-subsidy probe into certain European dairy exports has further stirred the pot.
00:17Several European dairy companies have found themselves in the sights of China's regulators,
00:22who believe they may be benefiting from unfair subsidies.
00:26The EU staunchly denies such claims and says it will fight them at the World Trade Organization.
00:32That we have basically never seen before, so we're very happy to see that the European Commission
00:37has woken up and takes now the defence of our trade interests very, very seriously.
00:43EU dairy exports to China hit $1.8 billion last year.
00:48According to the European Dairy Association, China buys roughly 0.3% of the EU's cheese
00:54and 4% of its cream, but officials say it still represents a significant segment for the industry.
01:03Ten EU member states voted to roll out additional duties of up to 35.3% on Chinese-made electric vehicles.
01:12With a dozen more abstaining and five against, it was enough to commit the entire bloc.
01:17A move, some fear, could significantly dent broader trade relations.
01:22It has a direct impact on export, on limiting the choice of the consumers, and is hindering the green transition.
01:29On the other hand is what we are worrying now, the uncontrollable outcome of the T-40 measures.
01:36China has also launched investigations into European pork and brandy exports.
01:42The dairy probe focuses on certain cheeses, as well as liquid milk and cream with a fat content above 10%.
01:51China says its own farmers are under threat,
01:54but the European Commission insists that claims of market manipulation are unfounded.
02:01These trade disputes have divided lawmakers across the EU's member states,
02:05amid fears of possible ramifications across a number of sectors.
02:10We have to be very careful, we have to be very delicate how to handle the situation,
02:14because we can harm ourselves much more than the Chinese would harm themselves.
02:18So we have to be very cautious.
02:21Both the EU and China say they're acting to defend their domestic dairy industries.
02:27It's a dispute that could take years for the World Trade Organization to chew over.
02:32But producers will be hoping their politicians can find a quicker resolution.
02:37William Denslow, CGTN, Brussels.