China Intensifies Dairy Import Probe Amid EU Tensions

China has broadened its investigation into EU dairy imports, now including subsidies from Denmark, France, Italy, and the Netherlands. This move comes as a reaction to the EU's newly imposed tariffs on Chinese EVs. China's commerce ministry expanded the investigation after reviewing claims and consulting with EU officials.

China made a decisive move on Friday by extending its anti-subsidy investigation into dairy imports from the European Union. This expansion now encompasses EU subsidy programs, specifically targeting those in Denmark, France, Italy, and the Netherlands.

The investigation, which began in August, initially addressed cheese, milk, and cream imports, following the European Union's decision to impose tariffs of up to 45.3% on Chinese electric vehicles starting October 30. China's response aims to encourage a mutual resolution between the European and Chinese EV sectors.

According to China's commerce ministry, this extension of the probe was prompted by a preliminary review, alongside inputs from EU governments and discussions with EU representatives. It points to additional subsidies aimed at agricultural promotion, insurance, and investment within the EU dairy sector, highlighting the EU as a major dairy supplier to China, second only to New Zealand.

(With inputs from agencies.)