Pauline Hanson has called on Australians to boycott Chinese products this Christmas – as Beijing imposes significant anti-dumping duties on wine.
China has launched a series of trade strikes against Australia, including exports of barley, cotton, red meat, seafood, sugar, timber and coal, as diplomatic quarrels deepen.
Australian wine entering the Chinese market will face tariffs of up to 212 percent as it has benefited from zero tariffs under the China-Australia Free Trade Agreement.
Relations between Australia and China have deteriorated in recent years, with China’s complaint list over foreign investment rules, Huawei banning the 5G network and pushing for an investigation into the origins of the coronavirus.
Ms. Hanson took to Facebook on Friday to urge Australians not to buy anything made in China.
“In response to China’s recent economic attacks on Australia, I have only one thing to say: Merry Christmas China,” said the politician.
The One Nation senator shared an image along the post, which read, ‘Boycott Chinese products this Christmas’.
One Nation Senator Pauline Hanson (pictured) called on Australians to boycott Chinese products after the country inflicted devastating trade complaints on Australian industries
Ms. Hanson took to Facebook (pictured) on Friday to urge people not to buy anything made in China
Previously, Ms. Hanson claimed that China is exploiting the COVID-19 recession to attack Australia.
“It is clear that China’s recent wave of economic attacks, timed to exploit the COVID-19 recession, is intended to do maximum damage,” Hanson wrote on Facebook.
“For decades I have warned that our country’s overexposure to the whims of a hostile, authoritarian, communist Chinese government leaves us vulnerable to this exact type of danger.
“Both the Coalition and Labor ignored One Nation’s warnings, dined with Chinese money and now it is everyday Australians who have to pay the bill!”
Ms. Hanson’s comments come because China is going to impose significant anti-dumping duties on Australian wine from Saturday.
The Chinese Ministry of Commerce has determined that Australian exporters have dumped wine on the market.
“There has been dumping of imported wines originating in Australia … (and) it was substantial,” the ministry said in a statement on its website.
“There is a causal link between dumping and material injury and it has been decided to introduce temporary anti-dumping measures … in the form of a down payment from 28 November.”
Australian-made wine for sale at a Beijing store. The Chinese Ministry of Commerce has determined that Australian exporters are dumping wine on their domestic brand and has introduced a tariff of between 107.1 percent and 212.1 percent on the alcohol product.
The ministry said the ‘margin ratio’ for the down payment would be between 107.1 percent and 212.1 percent for Australian wine imports of 2 liter containers or less.
It said the investigation had been conducted in “strict accordance with relevant Chinese laws and regulations and WTO (World Trade Organization) rules.”
Australia’s $ 6 billion wine industry exports about 39 percent of all product to China, according to Wine Australia.
This makes China Australia’s largest wine export destination and means the country spends about $ 1.16 billion annually on Australian bottles.
The Australian wine industry has already been rumored to be introducing a tariff on Australian wine in October.
Doug Rathbone, chairman of Rathbone Wines, said the move is ‘clearly politically motivated’ and is part of China’s ongoing diplomatic feud with Australia at the time.
Chinese President Xi Jinping made a toast to the Belt and Road Forum last year. An investigation by the GOC found that ‘dumping of imported wines originating in Australia’ was ‘substantial’
A cargo ship anchored at the port of Zhoushan in Zhejiang Province in southeast China. Australia’s $ 6 billion wine industry exports about 39 percent of all product to China
“It’s pretty obvious it’s political,” Mr. Rathbone said, according to The Australian.
“It’s a bit like the barley industry, which is in a position where the tariffs are not justified on a commercial basis.”
Earlier this month, China turned down Australian wine en route to Shanghai, with local customs seizing imports ordered by more than a dozen wine exhibitors intended to be displayed at a regional fair.
The $ 1.2 billion attack on the wine trade came when all Chinese companies were informally instructed by the Communist Party to stop buying Australian red wine, barley, sugar, wood, coal, lobster and copper.
Major wine producer Treasury Wine Estates announced to the stock market that it had been informed that Chinese producers had asked the Chinese Ministry of Commerce to subject Australian wine to retroactive rates.
Treasury Wine said it would “ continue to work proactively ” with its Chinese customers to assess how that request affects future import orders – but it now seems those efforts have been fruitless.
In August, Beijing accused Australian exporters of selling wine in China at an artificially low price to eradicate competition and increase market share, a practice known as ‘dumping’.
Hundreds of bottles of Australian wine en route to the Shanghai stock exchange (pictured) were stopped at the Chinese border earlier this month
The dumping allegations came after Chinese ambassador Cheng Jingye made economic threats against the Australian in May.
‘It is up to the people to decide. Maybe the common people will say why should we drink Australian wine? Eat Australian beef? he told AFR.
Meanwhile, an Australian coal fleet with $ 1.1 billion in blacklisted cargo is currently trapped off the coast of China.
Australian coal exports to China are down 96 percent in the first three weeks of November, as 82 ships loaded with 8.8 million tons of coal remain afloat off Chinese ports.
The number of stranded ships has quadrupled in the last two weeks, leaving Morrison’s government openly questioning whether China is deliberately discriminating against Australian exports.
Coal provides Australia with more than $ 53 billion each year and is the country’s second largest export product after iron ore.
Last year, Australian miners shipped $ 10 billion in metallurgical coal and $ 7 billion in thermal coal to China.
An Australian fleet of coal trapped off the coast of China has grown to 82 ships and is carrying $ 1.1 billion in blacklisted cargo. Depicted file image of tankers waiting to unload cargo
CHINA’S WINE INTERVENTION AGAINST AUSTRALIA
- Chinese authorities say Australia is unfairly dumping wine on the market
- Temporary rates have been set, ranging from 107 to 212 percent
- Australia now has ten days to appeal the decision
- Wine is a $ 2.9 billion industry for Australia and China accounts for 37 percent of total wine exports, by far the largest market for Australia
- Australian ministers have not been in touch with their Chinese counterparts, but officials in Canberra and Beijing are working on a solution
- After Australia previously brought Canada to the World Trade Organization due to wine decisions, Australia could take that route with China again