China commences anti-dumping investigation against Australian wine
What is dumping and what do wine exporters need to do now?
The announcement that China has commence an anti-dumping investigation into Australia wine has come as a surprise many. Dumping is associated with unfair tactics and selling goods at a loss. This isn't what is associated with the Australian wine industry. However, the industry is in for a nasty shock – you can be found to be dumping even when acting ethically and selling at a profit.
It is easy to argue that the investigation is politically motivated. However, it is important to keep in mind that this week Canada commenced a dumping investigation against Australian gluten. Further, since the start of this year, Australian has commenced five anti-dumping investigations against Chinese products. Australian wine exporters need to focus on how to get the best outcome from the investigation, rather than question the motives of the Chinese government.