Chinese companies reserve the right to request investigations into EU pork and dairy products

By Joe Cash

BEIJING (Reuters) – Chinese firms reserve the right to request anti-subsidy and anti-dumping investigations into European milk and pork imports, China’s Commerce Ministry said on Thursday, when asked whether industry associations were lobbying on the issue.

Following the European Commission’s announcement on Wednesday that it will impose additional tariffs of up to 38.1 percent on imported Chinese electric cars from July, global food companies, as well as companies in other sectors, are on high alert for possible retaliatory tariffs from China.

“Regarding the issue you raised, Chinese industrial enterprises reserve the right to apply for an investigation to protect normal market competition and their legitimate rights and interests,” He Yadong, a spokesman for the Ministry of Commerce, said in response to a question from Reuters.

China’s state media reported that domestic companies plan to request investigations that could lead to lengthy trade suspensions.

The state-backed Global Times newspaper reported on Saturday that Chinese companies plan to ask authorities to launch an anti-subsidy investigation into certain EU dairy products and an anti-dumping investigation into certain European pork products, citing an unnamed “business insider” in both cases.

In January, China launched an anti-dumping investigation into brandy imported from the EU following a complaint by the China Alcoholic Beverages Association on behalf of the Chinese brandy industry.

The Chinese authorities had previously hinted at possible retaliatory measures in comments in state media and in interviews with industry representatives.

The Commerce Department spokesman said an “investigative agency” would review each hypothetical application and make a public announcement if it met “registration requirements.”

(Reporting by Joe Cash; Editing by Christopher Cushing and Susan Fenton)