China says to take anti-dumping measures against EU brandy imports

China said Tuesday that it would take "temporary anti-dumping measures" on brandy imported from the European Union, the latest move in an escalating trade row between Beijing and Brussels.

China launched an investigation in January into brandy imported from the European Union, months after the EU undertook an investigation into Chinese electric vehicle subsidies.

Beijing said in August that it would not impose provisional tariffs on European brandy makers even though it had found evidence of dumping, but did not rule out subsequent measures.

From Friday, operators will have to pay a "corresponding guarantee" to Chinese customs when importing EU brandy into the country, Beijing's commerce ministry said.

The amount would be based on calculations involving prices approved by customs, as well as import taxes, the ministry said.

China imported more brandy than any other spirit in 2022, with most of it coming from France, according to a report by research group Daxue Consulting.

The EU last week gave a definitive green light to imposing extra tariffs of up to 35.3 % on EVs imported from China, saying that Beijing has unfairly subsidised its domestic industry to the detriment of European automakers.

Beijing denies the allegations. It has also launched a probe into EU subsidies of some dairy and pork products imported into China.