China Initiates Anti-Dumping Probe on EU Pork Imports Amid Trade Tensions

 In a strategic move following recent trade disputes, China has launched an anti-dumping investigation into pork imports from the European Union, a decision widely viewed as a response to the EU's plans to impose provisional tariffs on electric vehicles (EVs) manufactured in China. The Chinese Commerce Ministry announced on Monday the initiation of the probe into EU pork, omitting direct reference to the EV tariffs but indicating a clear retaliatory measure. This investigation is seen as a leverage point for China in future trade negotiations with the EU.

The decision not to impose duties on gasoline-powered vehicles with large engines, despite potential climate change justifications, reflects China's sensitivity to the German auto industry's concerns over the EU's EV tariffs. This industry, which has substantial production in China and relies heavily on the Chinese market, expressed dissatisfaction with the EU's tariff announcement as a threat to global trade cooperation.

Hildegard Müller, head of Germany's auto association, VDA, warned that such measures increase the risk of a broader trade conflict. Meanwhile, the EU's move to impose tariffs ranging from 17.4% to 38.1% on Chinese EVs starting July 4 is part of its response to what it perceives as unfair subsidies in China's electric vehicle sector.

The investigation into EU pork imports is expected to cover a range of products including fresh and frozen meat, intestines, and other organs, with a timeline set at one year, extendable by six months if necessary.

Olof Gill, a European Commission spokesperson, emphasized that EU farm subsidies adhere strictly to WTO obligations and pledged close monitoring of China's probe to ensure compliance with international trade rules.

In response, Spanish officials and industry leaders have expressed readiness to cooperate with Chinese authorities to mitigate potential trade tensions, highlighting the importance of avoiding further escalation in retaliatory measures.

The escalation in trade tensions between China and the EU underscores ongoing global economic uncertainties amid broader geopolitical dynamics.