- Anti-dumping tariffs and countervailing duties were imposed in mid-2020 at the height of trade tensions between China and Australia.
- This move will alleviate China supply concerns after Russia withdrew from the Black Sea Grain Initiative, a humanitarian pact to deliver key Ukrainian grains to global markets.
- Australia “welcomes” this outcome, expects similar process to follow with wine tariffs.
China on Friday lifted tariffs on Australian barley imports starting Aug. 5, a move that points to improving bilateral relations and would alleviate supply concerns after Russia suspended a humanitarian corridor to deliver key Ukrainian grains to global markets.
These anti-dumping tariffs and countervailing duties were imposed in mid-2020 at the height of diplomatic tensions between China and Australia. Beijing slapped import tariffs on several Australian exports from wine and red meat to lobsters and timber. Besides this barley announcement, China also resumed Australian coal imports in January.
The Chinese Ministry of Commerce “has ruled that it is no longer necessary to continue to impose anti-dumping duties and countervailing duties on imports of barley originating in Australia in view of changes in the Chinese barley market,” it said in a statement Friday. No further details on these changes were provided.
In April, Australia agreed to “temporarily suspend” its World Trade Organization complaint against China for its 2020 decision to impose 80.5% duties on Australian barley, paving the way for Beijing to expediate its review of the tariff decision. These tariffs were slated to expire next week.\
