• Wines and spirits have often become pawns in geopolitical spats - and why beer is mostly spared

  • Feb 29 2024
  • Length: 18 mins
  • Podcast

Wines and spirits have often become pawns in geopolitical spats - and why beer is mostly spared

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  • Summary

  • In January, the Chinese government launched an anti-dumping inquiry into all brandy and cognac imported from the EU. Cognac producers deny the allegation. In reality, they have been caught in the crossfire of a tit-for-tat trade dispute between Brussels and Beijing. By targeting cognac, China is expressing its displeasure not just with the EU’s probe into China’s subsidies for electric vehicles, but also with the EU Commission’s plans to de-risk the bloc's bilateral relations with China. In this podcast Ina Verstl and Ernst Faltermeier look at trade disputes past and present and explain why wines and spirits make for ideal targets in cross-retaliatory measures and punitive tariffs.
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