Europe's top cognac makers to attend China meeting on anti-dumping probe, source says
Adds details or quotes from source in paragraphs 3-4, 9, 11-14; BNIC comment in 10
By Emma Rumney
LONDON, July 5 (Reuters) -Leading European cognac producers will attend a hearing on China's anti-dumping probe of the industry in Beijing on July 18 - their first chance to defend themselves in person since the investigation began earlier this year, an industry source said.
Companies behind major brands Martell, which is owned by Pernod Ricard PERP.PA, Remy Martin - part of Remy Cointreau RCOP.PA - and Hennessy, owned by LVMH LVMH.PA, received a summons overnight to attend the hearing, the source said.
"We will go ... and they will tell us what questions they want us to answer," the source said, asking not to be named as they were not authorised to speak on behalf of the industry.
"There may be some leeway to say what we want, which is that we are happy to cooperate but we don't think there is any dumping and there is no good reason for them to apply duties."
China announced plans on Friday for the hearing on European brandy imports, ramping up tension on the same day the European Commission's provisional tariffs on Chinese-made electric vehicles take effect.
Beijing announced its anti-dumping probe on EU brandy in January, saying European brandy producers were selling into China at below-market rates.
France's cognac makers said they suspected the probe was linked to a broader trade row rather than the liquor market. French cognac accounts for most of China's brandy imports.
The companies producing Martell, Remy Martin and Hennessy cognac were selected as sample firms for the investigation.
CAUTIOUS OPTIMISM
Cognac makers did not call the meeting, the source said. The industry had however previously signalled its willingness to participate in a hearing, which will mark its first opportunity to make a case against tariffs in person, the person said.
The industry "asked to be heard" and will attend the meeting, a spokesperson for industry association the Bureau National Interprofessionnel du Cognac said via email, adding the industry will continue to cooperate.
Ultimately, however, its fate will be decided in political negotiations, the industry source said, adding the cognac sector is "cautiously optimistic" now that officials from Beijing and Brussels are meeting to talk face to face.
Some media have reported that provisional tariffs on EU brandy could be announced as soon as August. However, the industry had not been given any information on time lines, the source said.
Chinese statute says that the investigation should conclude within a year, but that this can be extended by up to six months, the source continued. The probe could therefore run until July 2025.
After July's hearing, investigators may seek more information on how cognac companies price or make their products, or request to visit their sites, the source added.
Reporting by Emma Rumney;
Writing by Josephine Mason;
Editing by Jason Neely, Helen Popper and David Evans
Actifs liés
Dernières actualités
Avertissement : Les entités de XM Group proposent à notre plateforme de trading en ligne un service d'exécution uniquement, autorisant une personne à consulter et/ou à utiliser le contenu disponible sur ou via le site internet, qui n'a pas pour but de modifier ou d'élargir cette situation. De tels accès et utilisation sont toujours soumis aux : (i) Conditions générales ; (ii) Avertissements sur les risques et (iii) Avertissement complet. Un tel contenu n'est par conséquent fourni que pour information générale. En particulier, sachez que les contenus de notre plateforme de trading en ligne ne sont ni une sollicitation ni une offre de participation à toute transaction sur les marchés financiers. Le trading sur les marchés financiers implique un niveau significatif de risques pour votre capital.
Tout le matériel publié dans notre Centre de trading en ligne est destiné à des fins de formation / d'information uniquement et ne contient pas – et ne doit pas être considéré comme contenant – des conseils et recommandations en matière de finance, de fiscalité des investissements ou de trading, ou un enregistrement de nos prix de trading ou une offre, une sollicitation, une transaction à propos de tout instrument financier ou bien des promotions financières non sollicitées à votre égard.
Tout contenu tiers, de même que le contenu préparé par XM, tels que les opinions, actualités, études, analyses, prix, autres informations ou liens vers des sites tiers contenus sur ce site internet sont fournis "tels quels", comme commentaires généraux sur le marché et ne constituent pas des conseils en investissement. Dans la mesure où tout contenu est considéré comme de la recherche en investissement, vous devez noter et accepter que le contenu n'a pas été conçu ni préparé conformément aux exigences légales visant à promouvoir l'indépendance de la recherche en investissement et, en tant que tel, il serait considéré comme une communication marketing selon les lois et réglementations applicables. Veuillez vous assurer que vous avez lu et compris notre Avis sur la recherche en investissement non indépendante et notre avertissement sur les risques concernant les informations susdites, qui peuvent consultés ici.
