The Strategist

Cognac producers in France alarmed by EU and China’s plans to mutually raise duties



10/09/2024 - 05:34



The National Cognac Bureau (BNIC) stated that French cognac producers are now being held captive by the impact of the EU's tariff increase on Chinese electric cars and Beijing's retaliatory actions.



needpix
needpix
"We urge our government to act accordingly to put an end to the escalation that is affecting us," stated BNIC on Tuesday.

The organization said that China's response to brandy shipments would have a very negative impact on the industry and communities, and emphasized the importance of the French authorities not leaving them in such a situation.

Along with cognac producers, armagnac producers and the French Federation of Wine and Spirits Exporters also signed the statement.

The European Commission received approval from EU countries to levy extra duties on Chinese electric car imports into the region last week. China's Ministry of Commerce announced its possible plan to increase tariffs on high-powered cars imported from the European Union and to implement extra restrictions on European brandy imports. The majority of China's brandy imports are from France, as stated by The Financial Times.

source: ft.com