Trade Update – 4th February 2022: AUSTRALIAN MINISTER PURSUES INDONESIAN BOOST, GLOBAL DAIRY INDUSTRY EYES CANADA, INDIA & UK NEGOTIATORS TO MEET IN MARCH 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.
AUSTRALIAN MINISTER PURSUES INDONESIAN BOOST: Agriculture Minister Littleproud was in Indonesia during the week in a bid to boost farm trade between the two economies. An MOU on agriculture cooperation was signed. Two-way farm, fisheries and forestry trade was worth more than $4b in 2020-21.
GLOBAL DAIRY INDUSTRY EYES CANADA: Canada is under the eyes of the global dairy industry as it faces a February 3 deadline to comply with a USMCA Panel ruling that it had breached the American trade agreement by reserving most of the in-quota element of its dairy tariff-rate quotas to domestic processors.
INDIA & UK NEGOTIATORS TO MEET IN MARCH: A second round of negotiations for a free trade agreement between India and the United Kingdom will be held between March 7 and 18. This follows a first round in January where 32 sessions covering 26 policy areas were held virtually over a two-week period.
AUSTRALIA FURTHER DELAYS US INQUIRY: Australia has announced a second delay to its inquiry into the alleged dumping of quenched and tempered steel plate from the United States. A final recommendation is now due by May 25. This compares to an initial date of August 17 and subsequent date of March 18.
EU REFERS CHINA TO WTO: The EU has referred China to the WTO claiming its trade practices against Lithuania breach trade rules. The row was sparked by Lithuania allowing Taiwan to open an office. Trade Minister Tehan said Australia had an interest in the issues raised and would seek to join the consultations.
THAILAND LOOKS TO SAUDI TRADE BOOST: Thailand and Saudi Arabia have agreed to resume full diplomatic relations with a view to boosting trade and investment opportunities. The relationship was downgraded in 1989 following claims a Thai janitor stole expensive jewels from a Saudi Prince’s palace.
SINGAPORE SIGNS PACIFIC FTA: Singapore and the Pacific Alliance (Chile, Colombia, Mexico & Peru) signed an FTA during the week. Singapore, Australia, Canada, Japan and New Zealand launched FTA negotiations with the Pacific Alliance in 2017. Singapore is the first of the economies to reach an agreement.
TUVALU RATIFIES PACER PLUS: Prime Minister Natano this week signed his economy’s ratification of the Pacer Plus FTA. Tuvalu becomes the ninth economy to ratify the trade agreement. The FTA has previously been ratified by NZ, Australia, Samoa, Kiribati, Tonga, Solomon Islands, Niue and the Cook Islands.
AUSTRALIA TO FACE NEW CHINA BID: China is expected to make a second bid at the WTO Dispute Body meeting on February 28 to have a WTO Dispute Panel appointed to review Australia’s dumping duties on stainless steel sinks, wind towers and railway wheels. Australia vetoed China’s first bid on January 25.
PHILIPPINE EXPORTS JUMP: Exports by the Philippines jumped 14.5% in 2021 to $US74.6 billion. Trade Secretary Lopez said a recent International Trade Centre study suggested the Philippines could double its exports in five years if it invested in increasing production capacity and addressing trade frictions.