China slaps Aussie wine makers with more tariffs

China has escalated trade tensions with Australia yet again by slapping more tariffs on an industry it has already hit hard: Wine.

China has slapped Australian wine makers with more tariffs adding extra pressure to an industry already suffering from crippling levies.

China’s Commerce Ministry on Thursday said it would impose temporary anti-subsidy tariffs on imported Australian wines of 6.3 per cent to 6.4 per cent that will take effect on Friday.

The industry has already been hit by tough tariffs ranging from 107.1 per cent to 212.1 per cent, after Beijing alleged Australian wine makers were dumping product into the Chinese market and lowering the price.

Penfolds owner Treasury Wine Estates has been hit hard by the China tariffs. Picture: Carla Gottgens/Bloomberg

China claims the investigation found exporters were dumping cheap wine into its domestic market.

The latest move adds to the increasing tension between the two countries after China also hit other major exporting markets such as resources and agriculture.

China’s latest round of import tariffs come after the country’s largest wine producer, Treasury Wine Estates, introduced a “freedom wine” marketing campaign on its bottles sold in Taiwan.

Beijing’s tough stance on Australia follows Canberra calling for an inquiry into the origins of the coronavirus pandemic.

China imposed tariffs of more than 80 per cent on Australian barley products earlier in the year and also suspended imports on beef.