No 5. Australia
Bound by the punitive anti-dumping tariff formalised since March 2021, Australian wine exports to China suffered a drastic drop of over 90% in both value and volume terms.
Australia, which used to take up almost 40%of China’s imported wine market, now its market share only stands at 3.27%. In just a year, Australia was dethroned from being the top wine exporter to China to fifth largest one.
In 2021, Australia only exported around 9.3 million liters of wine, a devastating decline of 91.09% compared to 2020.
By value, the country’s wine exports to China plummeted by 92.24% to US$55 million. The average price for Australian wine exports to China slumped by 12.83% to US$5.96 per liter.
As the tariffs apply to wines in bottles under 2 liters, Australian bottled wine exports to China took a more serious hit than bulk wine, which dropped by 93% in value and 94.2% in volume. As a result, Australia only exported US$47.5 million and 5 million liters of bottled wine to China in 2021.
Australia’s bulk wine exports to China also declined by 77.7% in value and 75.2% in volume. It merely exported US$7.8 million and 4.2 million liters of bulk wine to China last year.
Last June, Australia requested the World Trade Organization (WTO) to investigate China’s tariffs on Australian wine exports for a second time. Later in October, WTO agreed to establish a dispute-settlement panel to address its complaint over China’s tariffs but no further progress has been made on the dispute since then.