PRESS RELEASE
10.08.2024
One step closer to definitive taxation of Cognac and Armagnac by China
The Chinese authorities have just announced that additional import duties will be imposed from 11 October on all wine-based spirits originating in the European Union, in other words mainly Cognac, Armagnac and brandies. They are requiring importers to lodge deposits equivalent to the level of duty announced on 29 August, i.e. an average of 35%. Clearly, this is a direct and immediate response by the Chinese authorities to the decisions taken by Europe on 4 October in favor of taxing Chinese electric cars.
This new step confirms the threat of definitive taxes on our spirits, as soon as the European Union has formalized its surtaxes on Chinese electric vehicles, potentially at the end of October. This announcement comes at a time when the Chinese authorities had announced that they had no intention of levying provisional duties before the end of the investigation, which shows that their position has hardened.
Faced with this development, the French authorities cannot abandon us and leave us alone to face Chinese retaliation that does not concern us. As we have been saying for months, the impact of these taxes would be catastrophic for our industries and our regions.
As France and China celebrate the 60th anniversary of the re-establishment of diplomatic relations this year, everything must be done to avoid this outcome. We call on our government to finally take the necessary steps to put an end to this escalation, of which we are hostages and whose outcome is now more threatening than ever.
