Danger signs for Australian wine sales in China?

Earlier thus month Treasury Wine Estates chief executive Michael Clarke said the company had been having issues clearing China's customs over the past six weeks. Mr Clarke said these were short term problems. "I don't think it will be a long term issue. We have demonstrated out ability to work through these issues," he said.
Today the Chinese government controlled Global Times reported China has plenty of legitimate reasons to cool bilateral relations with Australia.
China has promised to increase its imports from the US, according to the recently-concluded Sino-US trade talks. It is reasonable to cut a few imports from Australia to implement the China-US trade agreement. It will benefit China anyway. By doing so, China will be able to keep its promise to the US, and while helping Australia to reconsider the ways in which they can balance relations with their Western allies and China's interests. Metal ore is Australia's major export to China. As long as China is in need of the metal exports, and a replacement remains difficult to find, they will continue to import them. But when it comes to wine and beef, China can easily import those items from the US, replacing Australia. ... China has been very friendly toward Australia, but their arrogant attitudes in return over the past two years have become a virtual example of what it means to "bite the hand that feeds."Australia's image among Chinese people has grown increasingly negative due to its warped accusations hurled at China. China does not need to spend time and effort seeking out revenge against Australia.The cooling of bilateral relations between the two may last for a while, perhaps a few years or even longer. It will be a good lesson for Australia to learn, while also setting a precedent for other nations to follow in that there are no benefits for any country that chooses to take provocative measures against China.


Popular Posts