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China Imposes Up to 43% Provisional Duties on EU Dairy in Subsidy Probe

The step intensifies EU–China trade tensions following Brussels' WTO challenge to the dairy investigation.

FILE - A Chinese paramilitary policeman stands guard at the entrance to the European Union Delegation to China compound in Beijing, China, on Oct. 14, 2023. (AP Photo/Ng Han Guan, File)
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Overview

  • China’s Commerce Ministry announced preliminary anti‑subsidy rates ranging from 21.9% to 42.7%, with cooperating firms facing 28.6% and non‑cooperating exporters the top rate.
  • The measures cover products including fresh and processed cheeses and some milk and cream, and they are being collected as cash deposits during the ongoing probe.
  • Company‑specific rates include a 30% levy for France’s Fromarsac and 43% for certain units of Dutch group FrieslandCampina.
  • Beijing launched the dairy investigation in 2024 and extended it in August 2025, citing the complexity of the case.
  • The move follows China’s recent final tariffs on EU pork at reduced levels compared with earlier provisional rates and comes after the EU imposed duties of up to 45% on Chinese electric vehicles.