Breakthrough in Australian-Chinese Wine Trade: Business Lobby Expresses Optimism for Re-Entry

Business Chief Predicts China is on the Verge of Removing Tariffs on Australian Wine

The Chinese government is on the verge of lifting heavy tariffs on Australian wine imports, according to a business lobby. David Olsson, the National President of the Australia China Business Council, expressed optimism that a significant amount of Australian wine will be able to re-enter the Chinese market once tariffs are lifted. However, he noted that not all of it will return and many producers are also looking to diversify and explore other markets.

Olsson mentioned in an interview with Bloomberg at the Boao Forum in China that while Australian businesses value the Chinese market, they are concerned about the unpredictability and uncertainty, especially when it comes to long-term investments. He acknowledged that geopolitical issues will continue to influence relations between Australia and China.

Despite this progress, the heaviest remaining sanctions are on Australian wine, with tariffs reaching as high as 218%. However, the Australian government is optimistic that these tariffs will be removed by the end of March. Economic ties between Australia and China have been improving since the Labor government took office in May 2022, with Beijing gradually lifting trade sanctions imposed on Australian exports during the peak of tensions. Despite this progress, economic ties between Australia and China remain complex as ongoing geopolitical tensions shape their economic interactions.

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