Beer Produced in China Slapped With Temporary Anti-Dumping Tariff

Taiwan has announced four months of import duties on beer brewed in China, saying Chinese producers are dumping.

Transcript

00:00Quarter one this year was a fresh high for Chinese beer in Taiwan.

00:04Market share hit 36%, a four-fold jump from a decade before.

00:08But some ruling party lawmakers don't see this as an innocent example of competition in action.

00:18They've gathered with officials to talk newly announced anti-dumping measures,

00:22a four-month duty on Chinese beers of up to 64% about to take effect.

00:27The ruling Democratic Progressive Party is wary of China,

00:30and some of its lawmakers say this imported beer could fund Chinese weaponry used against Taiwan.

00:35But they also say this is a matter of upholding free and fair trade.

00:57They also say Chinese beers may not be clearly labeled as made in China.

01:05They may be well-known brands brewed under license in China,

01:07or use labeling suggesting they're Taiwanese brands.

01:10These lawmakers don't feel rules issued in April to make the place of origin clear go far enough.

01:36There's one more concern.

01:39The government started signaling these duties would come months ago.

01:42That's given importers plenty of time to stock up and try to wait out the four-month tariff period,

01:47even as the government considers a further response.

01:50The brewers here today represent large national brands.

02:18But even craft brewers not directly competing with commercial brands say the fact that Chinese beer is so much cheaper can bite,

02:25because this is a market where the average customer looks at the price and not always the place of origin.

02:31Not all brewers blame subsidies.

02:33Some say China just has the capacity to brew at a scale Taiwan can't match.

02:38But even craft brewer Jay Duan, who isn't against a Chinese beer now and then,

02:42feels the government has to do something.

02:44The lawmaker has to do something.

03:14Lawmakers gathered here today want temporary duties to be just a first step.

03:18They also want an anti-dumping report from the finance ministry,

03:21and even stricter labeling requirements, so consumers know what they're buying.

03:26The temporary duties take effect July 3rd.

03:28But these lawmakers suggest the battle of the beer with China may be far from over,

03:33with a push for further protectionist measures yet to come.

03:35Alex Chen and John Van Trieste in Taipei for Taiwan Plus.

03:39Thank you, Alex.

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