‘Unfounded’: Chinese embassy denies claims it’s blocking Australian imports

Australia is losing millions each day as a result of China’s escalating trade bans – now Beijing has made an astounding claim.

The Chinese embassy has hit back at Australia's concerns that it is blocking imports amid an ongoing trade stoush, which as led to a raft of devastating restrictions to be imposed upon Australian industries.

Australia’s Trade Minister Simon Birmingham raised concerns once again yesterday about tariffs placed on Australian wine and barley exports, calling them inconsistent with the “spirit” of ChAFTA and the World Trade Organization’s (WTO) rules.

The wine industry has been especially hard hit by the new import taxes of up to a staggering 212 per cent. Other industries already affected by Beijing’s bullying include timber, lamb and lobster, and there are fears the tactics could spread even further to other sectors.

But in a statement today, the Chinese embassy said it “has actively fulfilled” its obligations under ChAFTA, the two countries’ free trade agreement, adding that the “so-called concerns about China’s adherence … are totally unfounded”.

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China has called Australia’s concerns over its blocks on our imports “totally unfounded”. Picture: Kevin Frayer/Getty Images

Trade Minister Simon Birmingham said the tariffs placed on Australian exports are inconsistent with the “spirit” of ChAFTA and the WTO’s rules. Picture: NCA NewsWire/Gary Ramage

“Import tariffs from Australia has been lowered for six consecutive years since 2015. At present, about 95 per cent of imported goods from Australia enjoy zero tariffs,” the statement read.

“In contrast, more than 10 Chinese investment projects have been rejected by the Australian Government under the pretext of ambiguous national security or national interests since 2018.”

The embassy added that in the past four years, Australia has launched 25 of its own anti-dumping and anti-subsidy investigations into Chinese products.

“These measures, inconsistent with the letter and spirit of ChAFTA, have undermined Chinese companies’ interests and brought negative impact on economic and trade co-operation between the two countries,” it said.

“We hope Australia can do more to enhance mutual trust and bilateral co-operation in line with the China-Australia comprehensive strategic partnership so as to bring the bilateral relations back to the right track as early as possible.”

Responding to the embassy’s statement, Mr Birmingham told the ABC’s Afternoon Briefing today “that the evidence just doesn’t stack up in terms of China just trying to deny that there’s nothing to see here”.

“Our wine industry knows that there’s something to see here. Our live seafood industry knows that there is. Our timber industry knows that there is. Our fresh meat industry knows that there is. Our barley and grain sector knows that there is,” he told host Patricia Karvelas.

“The sectors that have seen the obvious, continuous accumulation of impacts throughout the course of this year and, indeed, in the case of the barley processors that started a couple of years ago, clearly can see a pattern of behaviour.

“And that pattern of behaviour is inconsistent with both the intent and the spirit, as well as the letter of ChAFTA or, of course, the commitments China has made more broadly to the World Trade Organisation.”
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Mr Birmingham added the latest round of tariffs are “another step” in a “disappointing, frustrating and deeply concerning pattern of decisions by China”.

He added that the latest round of tariffs on the wine industry are “another step” in a “disappointing” pattern.

“The evidence is very clear in the Australian wine industry’s favour. We will continue to defend the wine industry by using the domestic process available in China and, ultimately, considering the appeal rights of the independent umpire through the World Trade Organisation,” he said.

“This is obviously another step in what has been a disappointing, frustrating and deeply concerning pattern of decisions by China over quite some period of time.

“We have called out those behaviours and that pattern of behaviour. We’ve done so publicly. We’ve done so directly with China. We are continuing to do so through the WTO, and we will keep standing up for Australian industry.”

Australian consumers are now being called on to boycott Chinese products this Christmas, with One Nation’s Pauline Hanson urging Aussies to hit China where it hurts in retaliation to the nation’s “recent economic attacks against Australia”.

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The tariffs are just the latest development in a brutal feud between the two nations that has been escalating for years – since the US, a close ally of Australia, entered a trade war with the economic giant in 2018.

That year, Australia angered China by becoming the first nation to ban Chinese smartphone heavyweight Huawei from its 5G network over national security concerns.

Relations also nosedived earlier this year when Prime Minister Scott Morrison called for an independent inquiry into the origins of the lethal coronavirus pandemic.

In November, China also leaked a bombshell dossier listing 14 reasons why it was “angry” at Australia.

– with Alexis Carey