Australian Wine Import Tariff Reduced To Zero In China

Import tariffs on Australian wine reduced to zero in China creating new opportunities for exporters.

Under the China Australia Free Trade Agreement (ChAFTA) signed between Australia and China in December 2015, import tariffs have now been officially reduced to 0% effective 1 January, 2019.

Australian wine exports to China surpassed AU$1 billion in 2018. This comes after China overtook the UK in 2017 to become Australia's most valuable export market.

With French wines (among others) still having a 14% import tax, Australian wine has an opportunity to continue our growth and overtake France as China's biggest source of imported wines.

So, how does this play out on the ground in China? Well, Australian wines are still subject to VAT and excise tax but the removal of import tariff should make a big difference. Here is a breakdown from Wine Australia on how the calculations work out:

Source: Wine Australia

It's an exciting time to be part of the Australian wine industry and we hope these changes can continue to drive sustainable growth in the region long into the future. If we can help you with Australian wine, please explore how we can help here.

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