Australia, China trade: Customs fears for wine, copper, sugar
Shipments of wine could be banned from entering China as soon as this weekend, costing grape growers more than $1.2 billion a year, and there are fears for other industries.
NSW
Don't miss out on the headlines from NSW. Followed categories will be added to My News.
Wine shipments to China could be banned as soon as Friday and Aussie exporters fear copper and sugar will join a growing list of goods hit with sanctions by the Chinese government under a new wave of increased trade tensions.
Suppliers were last night scrambling to verify claims shipments of Australian wine will not clear Chinese customs after Friday in a move that could cost grape growers more than $1.2 billion a year.
This week more than $100,000 worth of live Australian rock lobsters died after an abrupt four-day hold up at Shanghai airport.
More than 90 per cent of Australia’s lobsters are exported to China, worth about $700 million a year, but producers have stopped shipments until they can get more information about the new customs checks.
It follows Queensland timber being held up at customs in China due to claims an invasive beetle was found in the shipment, while another barley producer was also held up due to the “discovery of a pest’’.
Trade Minister Simon Birmingham said the “numerous reports” of difficulties faced by Australian exports on entry into China were of “concern”.
“China has consistently denied any targeting of Australia … in the spirit of their statements, we urge relevant Chinese authorities to address concerns of sectors like the seafood trade to ensure their goods can enter the Chinese market free of disruption that threatens the quality of their products,” he said.
But Beijing’s foreign ministry spokesman Wang Wenbin defended the seafood quarantine measure.
“This practice is in line with pertinent laws and regulations, and protects the safety of Chinese consumers buying imported food,” he said.
Mr Wang said also said the pests found in the timber would cause damage to the country’s ecological security.
In a move that is certain to heighten tensions with Beijing, Prime Minister Scott Morrison will fly to Japan within weeks to meet the country’s new PM Yoshihide Suga and strike a new defence deal.
US Ambassador to Canberra Arthur Culvahouse said on Tuesday Australia needs to play a strong “leadership role” to help deal with the challenge of China.
“I believe … there’s widespread agreement in the United States about the challenge presented by the People’s Republic of China, and I want to be clear I’m talking about the Chinese Government and the Chinese Communist Party, not the people in China,” Mr Culvahouse said.
The top diplomat also said he doubted there would be “many changes” in the US policy towards China despite his country’s election result.
“The fundamental China policy will continue as it is, and as Vice President (Joe) Biden was a member of the administration that articulated the pivot to Asia.”
More Coverage
Originally published as Australia, China trade: Customs fears for wine, copper, sugar