China exempts EU brandy exporters from duties if price terms are met, accepts 34 undertakings

EU brandy exporters will not face anti-dumping duties when selling products to China, provided they comply with agreed price terms, China's Ministry of Commerce said on Saturday. The ministry has accepted price undertakings from 34 European producers as part of the final ruling in its anti-dumping investigation.

The ministry announced the outcome of the probe on Friday, saying it would impose anti-dumping measures on EU brandy imports for five years starting Saturday, citing dumping margins ranging from 27.7 percent to 34.9 percent.

In a follow-up response to media inquiries, the ministry explained that under standard anti-dumping practice, exporters who agree not to sell below a certain price level — known as a price undertaking — may be exempted from duties. EU industry groups and companies were found to have submitted applications on time, and after a legal review, 34 firms were granted exemptions under these terms. 

The ministry said the final decision complies with Chinese law, supports fair market competition, and has been welcomed by both Chinese producers and the EU industry. It also reiterated China's stance in favor of resolving trade frictions through dialogue and consultation.

A ministry spokesperson noted that China has consistently advocated for the prudent use of trade remedy measures. The investigating body conducted a thorough legal review of the undertaking applications and took into full account the situation of the domestic industry. The authorities have concluded that using price undertakings in the final ruling complies with Chinese laws and regulations and helps maintain a fair and competitive market order.

The decision has been supported by China's domestic producers and welcomed by EU industry stakeholders. The acceptance of price undertakings in this case, the spokesperson added, also reflects China's continued willingness to resolve trade frictions through dialogue and consultation.