Trade Update – 10th February 2022: PHILIPPINES SENATE DELAYS RCEP VOTE, EU PRODUCERS SEEK AUSTRALIAN TARIFF END, AUSTRALIAN WINE EXPORTS FALL, US LAUNCHES EVASION INQUIRY and many more…
Weekly trade review provided by Chatto Creek Advisory Pty.
Chatto Creek Advisory Pty Ltd is a Melbourne-based strategic consultancy specialising in trade policy advice and government engagement strategy. It is headed by Russell Scoular, an executive with rich government relations, trade policy, and business experience throughout the Asia Pacific.
|PHILIPPINES SENATE DELAYS RCEP VOTE: The Philippines Senate adjourned last week without concluding a vote on the ratification of the RCEP FTA. The Philippines is now not expected to ratify its participation in the FTA before a half-Senate election in May. Meanwhile, it is close to signing an FTA with South Korea.
EU PRODUCERS SEEK AUSTRALIAN TARIFF END: As FTA negotiations resume, European auto producers have called for the immediate abolition of auto tariffs as part of an EU-Australia FTA. They also want an end to Australia’s luxury car tax and initial concessional EU content arrangements for electric vehicles.
AUSTRALIAN WINE EXPORTS FALL: Wine exports fell by 30% in value in 2021. A report by Wine Australia blamed the fall on factors such as dumping duties in China and a global freight crisis. Exports to China were down by 97%. However, exports to Singapore, South Korea, Hong Kong, Taiwan and Thailand were all up.
US LAUNCHES EVASION INQUIRY: The US has launched an inquiry into the alleged evasion of dumping and subsidy duties on quartz surface products from China. Its focus will be on whether millions of dollars of products are being exported to Malaysia for minor processing before onward shipment to the US.
TAIWAN CUTS IMPORT TAXES: Taiwan has temporarily halted business taxes on imported wheat, corn and soybeans, halved import tariffs on butter and milk powder and cut commodity taxes on gasoline and diesel. The Taipei Times reported Cabinet had made the decision in a bid to reduce inflationary pressures.
US & JAPAN REACH STEEL AGREEMENT: The US and Japan have agreed Japan can export 1.25 million tonnes of steel annually exempt of a 25% tariff imposed by the Trump Administration. USTR Tai said the deal would help the US and Japan work together to combat China’s non-market trade actions.
AUSTRALIAN PAPER INQUIRY DELAYED: The Anti-Dumping Commission has extended a key deadline with regard to the possible continuation of anti-dumping measures on A4 copy paper from Brazil, China, Indonesia and Thailand. A final report is now due to be filed with the Minister of Industry by March 4.
US TO EXTEND TRUMP-ERA SOLAR TARIFFS: President Biden has announced the US will extend tariffs on a range of solar products. The tariffs were introduced in 2018. However, President Biden has boosted the allowable volume of tariff free imports and will work to exempt goods from Canada and Mexico.
APEC OFFICIALS PREPARE FOR THAI MEETING: Senior officials from the 21 APEC economies will begin an 11-day virtual meeting next week. The meeting will be hosted by Thailand and follows an informal meeting of officials in Phuket in December to determine the key policy priorities for APEC in 2022.
INDIA PREPARES FOR SHOE TRADE BOOST: India has announced a continuation of its footwear and leather development program. It includes $A321 million in funding to foster the development of 10 design studios, international brand promotion and new infrastructure to boost domestic and export sales.