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China-Australia relations
EconomyChina Economy

China-Australia free trade deal may soften virus spat, but won’t halt anti-dumping probes, experts say

  • China-Australia free trade agreement could help soften the blow of a diplomatic spat between the two nations, trade lawyers say
  • Rumours are swirling that China is moving to target more Australian perishable goods, after it slapped tariffs on barley and halted some imports of beef

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China has slapped anti-dumping duties on Australian barley as diplomatic tensions escalate between the two trading partners. Photo: Bloomberg
Su-Lin Tan

Australia’s free trade agreement with China could temper a potential full-blown trade war between the two countries, but it will not stop further anti-dumping investigations, trade lawyers say, amid concerns Beijing could soon launch another round of tariffs on Australian exports.

China has drawn up a list of potential goods including wine, dairy, seafood, oatmeal and fruit that could be subject to stricter quality checks, anti-dumping probes, tariffs or customs delays, sources told Bloomberg this week.

Chinese state media could also be encouraged to push consumer boycotts, the sources said, with any additional measures dependent on how Canberra addresses China’s objections to Australia’s diplomatic stance on the coronavirus pandemic.

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China has already moved to slap export bans and tariffs on Australian beef and barley producers, claiming illegal customs labelling and unfair calculations of anti-dumping duties.

01:57

Xi Jinping tells World Health Assembly China has been transparent on coronavirus

Xi Jinping tells World Health Assembly China has been transparent on coronavirus

Beijing, however, does not intend to publicly acknowledge any link between its trade actions and Australia’s calls for an independent investigation into the origins of the coronavirus, Bloomberg reported.

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