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China threatens France with wine and spirits tariffs

12 February 2026 By Ron Emler

China has issued a threat that it could launch “investigations” into French wines and spirits or impose “reciprocal tariffs” on EU products if France urges the European Union to slap import duties on Chinese goods.

China has issued a threat that it could launch "investigations" into French wines and spirits or impose "reciprocal tariffs" on EU products if France urges the European Union to slap import duties on Chinese goods.

A social media account closely linked with Chinese state broadcaster CCTV said that China would target French products, notably wines and spirits, in retaliation.

As both Cognac distillers and Australian wine groups know, “investigations” by Beijing can take considerable time and result in higher import duties and loss of markets in China.

On Monday, the French Government issued a strategy report which urged the EU to consider an unprecedented 30% across-the-board tariff on Chinese goods or a 30% depreciation of the euro against the renminbi to counter a surge of cheap imports.

Rules allegedly broken

The Chinese social media account Yuyuan Tantian said the report’s recommendations targeted only Chinese products and violated World Trade Organisation rules. “It is tantamount to declaring war on China in trade,” it said.

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“Today, as you can see, the proposal has not been taken up by the government, which does not mean that it is unfounded,” a French Government spokesperson said.

Cognac tax

China last year hit the big Cognac Pernod Ricard, LVMH and Remy Cointreau with hefty duties only to reduce them in return for guaranteed minimum prices in China, effectively a tax on the spirit.

That anti-dumping investigation lasted more than a year and was widely viewed as retaliation for EU tariffs on China-made electric vehicles. France voted in favour of the tariffs. Beijing has frequently said it is open to talks with the EU to address trade disputes.

“China has always kept its door open for communication, but is also well-prepared to meet all challenges,” the Yuyuan Tantian report added.

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