Taiwan Imposes Anti-Dumping Duties on Chinese Beer and Steel

Taiwan has introduced anti-dumping duties on beer and hot-rolled steel imported from China, following a comprehensive investigation that concluded the local industry faced significant harm. The Ministry of Finance announced this decision on July 31, 2023, stating that the levies would remain in effect for five years.

The investigation began in March after local producers raised concerns regarding unfair competition. Initially, temporary duties were imposed in July for a four-month period. The finance ministry, along with the Ministry of Economic Affairs, ultimately determined that certain Chinese companies had engaged in dumping practices that adversely affected Taiwan’s domestic market. Notably, the investigation highlighted the Chinese subsidiaries of major beer producers Budweiser and Kirin as participants in these practices.

The duties imposed on Chinese-made beer will range between 19.13 percent and 51.94 percent, while the tariffs on hot-rolled steel will be set at either 16.1 percent or 20.15 percent. The duties will take effect retroactively from the initial imposition in July. The ministry also indicated that some beer importers might have been aware of the dumping activities occurring from April 4 to July 2, potentially subjecting those imports to the new tariffs as well.

China was the leading source of beer imports to Taiwan in 2022, with shipments valued at over US$125 million, according to Bloomberg News. Taiwan has a total of 13 active anti-dumping cases, with 10 of them involving products from China, which remains its largest trading partner.

The backdrop of these tariffs reflects ongoing tensions between Taiwan and China, as Beijing continues to exert military, political, and diplomatic pressure on the self-governing island. The imposition of these duties underscores Taiwan’s commitment to protecting its domestic industries against perceived unfair trade practices.