Chinese President Xi Jinping has told thousands of foreign exporters that Beijing does not want to hurt other economies as Chinese state media reports $ 6 billion ban on seven key Australian products is imminent
Australian companies in the seafood, wine, barley, sugar, copper, charcoal and lumber industries prepare for a sudden halt in exports to China on Friday as until 200 gather in Shanghai for one of the country’s biggest import conferences
Xi told the China International Import Expo on Wednesday evening that countries must work together to find a way out of the coronavirus crisis that has plunged the world economy into its worst recession in a century
« It is ill-advised to seek unilateral domination or to choose to harm the interests of others, which diminishes one’s own interests, » he said
Trade Minister Simon Birmingham stepped up Australia’s response to Chinese officials on Thursday, responding directly to Xi’s comments as trade negotiators brace for the possibility of key exports being banned from China in 24 hours
Some Australian wine exporters have stopped sending product to China in anticipation of being stranded in Chinese ports, while lobster fishermen have stopped fishing in Australian waters after tons of live lobster have been destroyed on the tarmac at Shanghai airport this week Up to 90% of Australian lobster goes to China Queensland logs have also been stranded due to pest control concerns which have been denied by Australian authorities
« China’s still uncertain and inconsistent messages increase risks and undermine statements made by President Xi at this year’s China International Import Expo, » Senator Birmingham said
« If China is to be true to its government’s statements, it must be convinced that normal customs and related processes will apply to imports of products such as seafood and wine »
The trade dispute has escalated this year following Australia’s request in April for an investigation into the origins of the coronavirus The Australian government has also expressed concerns about the future of Hong Kong, Xinjiang and of China’s territorial ambitions in the South China Sea
China’s Foreign Ministry has denied increasing economic pressure to secure diplomatic concessions on Wednesday, a day after a verbal notice relayed by customs officials was given to traders telling them to stop importing Australian products, he said any import restrictions were up to individual companies
Chinese state media The Global Times said on Thursday that China had « suspended seven categories of Australian products from the market. » The report came as Australian Ambassador to Beijing Graham Fletcher prepared to attend the Shanghai trade show where dozens of representatives of Australian companies were to gather under the « Australian Pavilion of Oz-Town »
Australian industries targeted by Chinese authorities have products that may come from elsewhere and are not considered essential to China’s economic recovery
Australia’s top exports, iron ore and coal, account for over $ 120 billion in Australia’s annual exports to China China is heavily dependent on Australia to supply the huge amount of ore from iron it needs to produce steel for construction and infrastructure projects.However, coal imports are more vulnerable to restrictions, as China has a large domestic coal mining sector, which Beijing seeks to to reinforce
New figures released by statistical agency Yihailan on Friday show Australian coal imports to China fell 90% last week, compared to the same period last year This may be partly due to storage before annual quotas were reached and the overproduction of the coal market induced by the coronavirus, which has caused miners in Australia and elsewhere to cut back on production Chinese importers have also been verbally ordered to stop importing Australian coal this year
Xi told the expo that China has set out to promote « a new paradigm of development with domestic circulation as a pillar » and that domestic and international trade are mutually reinforcing. He said he expects that China imports $ 22 trillion ($ 31 trillion) in goods over the next decade, but that demand in China’s « huge home market » will continue to « unleash infinite potential »
The China Alcoholic Beverages Association has urged the Chinese Commerce Department to introduce retrospective tariffs on Australian wine to protect its local industry Australian exporters have strongly denied the dumping allegations, noting that Australian wine prices are among the highest in China
Investigations by Chinese authorities pose a significant threat to Australian wine exports to China, which total around $ 1.2 billion annually
Shareholders in wine giant Treasury Wine Estates were told at the company’s annual shareholders meeting on Thursday that Treasury is forecasting a range of potential Chinese tariffs on its exports, from mild to severe
« This is a wide range of pricing scenarios, and I won’t state the actual percentages we’re working on, but some of them are certainly more dramatic than others, » the director said. General of the Treasury, Tim Ford, in an interview after the meeting
Eryk Bagshaw is the China correspondent for The Sydney Morning Herald and The Age Due to travel restrictions, he is currently based in Canberra
China, Australia, Treasury Wine Estates
Global news – AU – Xi says it is ‘ill-advised to harm the interests of others’ as Australia preparing to reach $ 6 billion
SOURCE: https://www.w24news.com
