HomeEconomyA "less unfavorable" result: cognac producers will escape Chinese taxes

A “less unfavorable” result: cognac producers will escape Chinese taxes

Cognac producers, including the main exporters such as Hennessy, Rémy Cointreau and Martell, will escape the taxes announced by China, which will replace the increases in negotiated price.

It is rather one for cognac producers. The main exporters, such as Hennessy, Rémy Cintreau and Martell, will finally escape the taxes announced by China, in exchange for price increases negotiated by the interposion.

Last year, China opened an investigation into its EU wine life imports after customs tariffs decreed by Europeans in Chinese electric vehicles, of which Brussels judges production artificially supported by public subsidies. At the end of this anti -dumping survey, Beijing announced that it will impose, this Saturday, July 5, an average customs right of 32.2% in the water of the wine imported from the European Union, which are mainly cognac.

“Most tolerable conditions than anti -support taxes”

But the price increases proposed by certain producers and accepted by the Ministry of Commerce of China will replace it, a “less unfavorable” result welcome by the National Interprofessional Office of Cognac (BNIC), which does not calculate these negotiated prices.

“Meanwhile, the minimum price commitment regime offers more tolerable conditions for our businesses than final anti -dumping taxes announced, even if access to the market they allow remains degraded,” he added. In a press release, Rémy Cintreau said they are waiting for details, but greets “a significantly less penalizing alternative than the application of anti -subume final rights.” The Spirits will update its annual objectives on July 25 to reflect this “clearly favorable” development. However, “this agreement does not constitute in any case the recognition of spill practices,” specifies the press release of Rémy Cointreau.

Author: CR with AFP
Source: BFM TV

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