In a further escalation of tensions between Australia and China, the latter on Friday stated that it would impose anti-dumping measures on Australian wine, as per an AFP report.

Following China’s decision, the Australian government lashed out at its biggest trade partner and said that it would ‘vigorously defend’ its multi-billion-dollar wine industry from Chinese tariffs.

David Littleproud, the Agriculture Minister said, “The Australian government will vigorously defend the industry.” He added, “Obviously we’ll exhaust all avenues available to us through the WTO.”

China, Australia’s biggest trade partner, has already suspended timber and beef imports and following the new measures, importers will have to pay deposits of 107.1% to 212.1%, as per China’s commerce ministry.

The Chinese ministry further justified its move by stating that foreign imports were causing harm to the domestic wine industry.

Wine imports in China hit a record high of A$ 1.3 billion (US $900 million) in 2019, as per Australian government data.

China’s wine industry has protested against Australian wines stating that government subsidies give them an unfair advantage over Chinese products.

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Australia’s relationship with China has taken a turn for the worst since Canberra called for an inquiry into the COVID-19 pandemic.

China recently produced a list of complaints against Australian policies from banning Huawei’s participation in 5G to calling for an investigation into the origin of coronavirus.

A Chinese official gave a dossier to Australian media recently and said, “If you make China the enemy, China will be the enemy,” as per an AFP report.