French Cognac Producers Present Minimum Prices to Resolve China Tariff Standoff
French cognac producers have proposed minimum export prices to China as part of negotiations to end a tariff dispute. Tensions with China stem from an anti-dumping investigation and potential 39% tariffs. While no deal has been reached, recent discussions signal progress towards a resolution.
Representatives of French cognac producers have proposed minimum export prices for the Chinese market in a bid to resolve a tariff standoff. The proposed prices range from $20 to around $300 per litre, according to a document seen by Reuters.
The move comes amid ongoing negotiations with China's commerce ministry over an anti-dumping investigation, with potential tariffs reaching up to 39% if unresolved. Recent talks in Paris and Beijing provided hope, but concluded without a deal, as deadlines loom.
An agreement in principle was reportedly reached to lift trade restrictions in exchange for the minimum price limits. French and Chinese political engagement appears to have bolstered progress, but the industry remains anxious as the July 5 deadline approaches.
(With inputs from agencies.)
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