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Thursday, 6 June 2013

Unit 4: China, EU, Dumping & Protectionism

As I posted a few days ago, the Solar Panel argument was just the start of what could be a damaging trade war between China & the EU. This is a story where both superstates will lose out.

Demand for wine in China has surged in recent years, making it a key global wine market
Last month, the Chinese government warned the EU that it would "take necessary steps" to defend its national interests, if any duties were levied against its goods. Well, today they did just that, accusing the French of 'Dumping' wine into China!


Observers suggested that Beijing's latest move was a direct consequence of the EU decision.

"This might represent retaliation to what happened yesterday," Davide Cucino, president of the European Union Chamber of Commerce in Beijing, told the BBC.

"There is no interest for both actors to play the protectionism card, and frankly speaking retaliation represents a missed opportunity for China to provide the necessary evidence… in order to carry out a resolution to the photovoltaic case."

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