French Cognac Makers Blast China’s Anti-Dumping Probe

French cognac makers have rebutted claims by China that they are dumping brandy in the Chinese market, stating that the alleged price discounts are unusually small for such a formal investigation, according to Dominique Vidalon for Reuters.

The statement of the French cognac makers comes in light of China opening an anti-dumping investigation on brandy imported from the European Union (EU), primarily targeting France.

The Bureau National Interprofessionnel du Cognac (BNIC), representing French cognac makers, said in a statement to Reuters that this "raises the question of the real purpose of the process."

Last week, China opened an anti-dumping investigation on brandy imported from the European Union (EU), primarily targeting France, adding to ongoing trade disputes between Beijing and Brussels.

BNIC stated that China’s commerce ministry launched the investigation based on price reductions of 15.88%, a level considered unusually low for an anti-dumping investigation.

The news impacted shares in French spirits companies Remy Cointreau and Pernod Ricard on January 5. Trade disputes between China and Europe have been escalating over the past year, with both sides exchanging accusations of unfair competition and protectionism.

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