China has initiated an anti-dumping investigation into pork imports from the European Union, focusing primarily on Spain, the Netherlands, and Denmark.
This development comes in response to the EU’s decision to impose anti-subsidy duties on Chinese electric vehicles.
China’s Ministry of Commerce announced the investigation on Monday, which will concentrate on pork products intended for human consumption, including fresh, cold, and frozen whole cuts, as well as pig intestines, bladders, and stomachs. The probe is set to commence on June 17.
The investigation was prompted by a complaint filed by the China Animal Husbandry Association on June 6, representing the domestic pork industry. This move is seen as a countermeasure to the European Commission’s announcement on June 12, which imposed anti-subsidy duties of up to 38.1% on imported Chinese cars, effective July.
The EU is the largest supplier of pork to China, accounting for over half of the $6 billion worth of pork imported in 2023. Spain is the largest EU exporter to China, followed by the Netherlands and Denmark.
Chinese authorities have hinted at potential retaliatory measures through state media and industry figures. The European Commission has expressed confidence that the investigation will comply with World Trade Organisation rules. Spain has called for negotiations to avoid tariffs on its pork exports to China.
This development reflects the escalating trade tensions between China and the EU, with both sides imposing duties on each other’s products. The investigation may lead to tariffs on EU pork imports, which could have significant implications for the global food industry.
In a related development, China’s May industrial output showed a slower growth rate of 5.6% from the previous year, below expectations. However, retail sales beat forecasts, rising 3.7% on year, thanks to a holiday boost.
Meanwhile, China and South Korea are set to hold their first high-level security talks in nine years, coinciding with Russian President Vladimir Putin’s visit to North Korea. The talks will focus on bilateral relations, the Korean Peninsula issues, and other topics of interest.
This ongoing trade dispute and diplomatic efforts underscore the complex and interconnected nature of global trade and geopolitics. As the investigation unfolds, its impact on the pork industry and trade relations between China and the EU will be closely monitored.
