China: Tariffs on US Products, Anti-European Investigation

The trade conflict between China, the United States, and the European Union is spreading like wildfire. Following Washington’s decision to restrict Chinese exports of electric cars, China announced that it would impose “anti-dumping duties” on propionic acid-based products from the USA starting July 21. The Commerce Department said the 43.5% duties would be imposed on affected US companies for five years. Propionic acid is used in the manufacture of preservatives and herbicides. It is widely used, among other things, for the production of some types of livestock feed.

China’s retaliation also concerns the Old Continent. Following Brussels’s announcement that Chinese exports of electric cars would be subject to “prohibitive” tariffs, Beijing has launched an investigation into some pork products exported by European companies to the Chinese market, which Beijing suspects are subject to “unfair commercial policies.” According to a statement from China’s Ministry of Commerce, “given the large number of European exporters and Chinese manufacturers involved,” the investigation will be conducted “on a selective basis” so that it could be completed “as soon as possible.”

The “anti-dumping” investigation will examine some important pork products and by-products from the EU during 2023. Three major European pork exporters have come under the scrutiny of Chinese authorities: Denmark’s Crown, the Netherlands’ Vion Boxtel, and Spain’s Litera Meat. China’s Ministry of Commerce says the interests of at least 24 major Chinese agri-food companies have been affected by European “dumping.” The investigation is expected to conclude by June 17, 2025, but could be “extended for six months under special circumstances.”