Wednesday, June 5, 2013
Trade Wars: The Chinese Empire Strikes Back
5 June 2013, by Tyler Durden (.zerohedge)
We reported yesterday that Europe, in a surprising escalation of global trade wars, announced it would impose solar-panel duties against China in one week, with the terms rapidly deteriorating over the next three months.
It took China less than one day to retaliate. What's worse the retaliation is aimed at Europe's already weakest - the PIIGS - by targeting not hard German machinery exports but something far more prosaic: French, Spanish and Italian wine.
Reuters reports that "in a step targeting southern European states such as France and Italy that back the duties but largely sparing north European opponents such as Germany, Beijing said it launched an anti-dumping and anti-subsidy probe into sales of European wine.
The Chinese ministry said the government had begun the probe into EU wines at the request of Chinese wine makers.