China-Australia relations: Canberra confirms WTO complaint ‘logical next step’ on China barley tariffs

China placed a combined 80.5 per cent tariff on Australian barley imports in May after an 18-month investigation

Trade minister Simon Birmingham confirmed that Australia had notified the World Trade Organization (WTO) that it will lodge requests for ‘formal consultations with China’

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Australia Trade minister Simon Birmingham was speaking on Wednesday after China placed a combined 80.5 per cent tariff on Australian barley imports in May. Photo: EPA-EFE

Published: 11:12am, 16 Dec 2020Updated: 10:51am, 17 Dec 2020

Trade minister Simon Birmingham on Wednesday described Australia’s decision to appeal to the World Trade Organization (WTO) over China’s tariffs on Australian barley imports as the “logical and appropriate next step”.

After an 18-month investigation, China’s Ministry of Commerce ruled in May that Australian barley was being both undervalued and subsidised. This was followed by a combined 80.5 per cent tariff being imposed, consisting of 73.6 per cent in anti-dumping duties and 6.9 per cent in anti-subsidy duties.

We have applied at every step of this journey all the appropriate processes, procedures and courtesies to the manner in which Australia and Australian industries have engaged with the Chinese government and their Chinese counterparts

Simon Birmingham

Birmingham confirmed on Wednesday that Australian officials had notified the WTO in Geneva and their counterparts in Beijing that it will lodge requests for “formal consultations with China in relations to the application of anti-dumping and countervailing against the Australian barley industry” later on Wednesday.

“We have applied at every step of this journey all the appropriate processes, procedures and courtesies to the manner in which Australia and Australian industries have engaged with the Chinese government and their Chinese counterparts. This is the logical and appropriate next step for Australia to take,” said Birmingham.

“We are highly confident that based on the evidence, data and analysis that we have put together already, Australia has an incredibly strong case.

“WTO dispute resolution processes are not perfect, and they take longer than would be ideal, but ultimately, it is the right avenue for Australia to take.”