French Foreign Minister Jean-Noël Barrot announced on Saturday he would travel to China “in the next few weeks” in hopes of finding a settlement over Beijing’s tariffs on French cognac and Armagnac.
Cognac and Armagnac, among other brandies, have been subject to Chinese anti-dumping measures and tariffs since October 2024, imposed in retaliation to the European Commission’s decision to impose tariffs on Chinese electric vehicles.
Barrot’s trip to Beijing, which his cabinet told Euractiv has been long in the making, will help “advance [on] difficult issues, especially on Cognac and Armagnac,” he said on the sidelines of the Munich Security Conference on Saturday. Barrot had met with his Chinese counterpart Wang Yi earlier in the day.
France has continuously denied the use of government subsidies on Cognac and Armagnac productions, contrary to Beijing’s allegations.
Beijing’s move has been seen by diplomats and trade experts alike as tit-for-tat retaliation after the Commission announced in early October it would introduce tariffs of up to 35.3% on Chinese electric vehicle manufacturers, including BYD, Geely, and SAIC.
The EU’s decision – which faced heavy backlash from Germany right up to its imposition – is the outcome of a year-long anti-subsidy probe by the Commission. France had offensively pushed for the investigation in the summer of 2023.
Ex-prime minister Michel Barnier had been tasked by Emmanuel Macron back in November to travel to China in the first quarter of 2025 to strike a deal – but a December no-confidence vote ousted him.
The issue was then relegated way down the priority list of new Prime Minister François Bayrou, whose full energy was invested in getting a deal on the 2025 budget.
98% of all Cognac bottles are exported annually, according to the industry’s national trade body – some 20% of which is sent to both China and Singapore.
Barrot also met with Keith Kellogg, President Donald Trump’s special envoy for Ukraine and Russia, as well as Secretary of State Marco Rubio.
[OM]
Source: euractiv.com
