China's New Tariffs on EU Dairy Products: What You Need to Know

In a recent development, China has decided to impose provisional tariffs of up to 42.7% on dairy products imported from the European Union. This decision follows an investigation into EU subsidies that allegedly harmed China's dairy industry. The tariffs, effective immediately, are part of a series of retaliatory measures amid escalating trade tensions between China and the EU. The implications of these tariffs could significantly impact the dairy market and trade relations. Read on to learn more about the specifics of these tariffs and the broader context of the ongoing trade disputes.

By Narendra Chaudhary Dec 22, 2025, 17:31 IST

China Imposes High Tariffs on EU Dairy Imports

In a significant move, China has announced that it will implement provisional tariffs of up to 42.7% on dairy imports from the European Union, including products like milk and cheese, as stated by the country's Commerce Ministry on Monday.

These increased tariffs, set to take effect on Tuesday, stem from an investigation initiated by China's Commerce Ministry in August 2024, amid rising tensions between Beijing and Brussels. The inquiry focused on the subsidies provided by EU nations for their dairy and agricultural products.

This investigation is part of a broader series of retaliatory actions, following the EU's scrutiny of Chinese subsidies for electric vehicles, which led to tariffs as high as 45.3% on EVs manufactured in China.

Additionally, China has launched investigations into the imports of European brandy and pork as countermeasures against the EU's tariffs on Chinese electric vehicles, urging the EU to eliminate these tariffs.

The provisional tariffs on EU dairy products will vary between 21.9% and 42.7%, covering a range of items such as fresh and processed cheese, blue cheese, milk, and cream with a fat content exceeding 10%.

According to the Commerce Ministry, the preliminary findings indicated that the subsidies from the EU and its member states have adversely affected China's domestic dairy sector.

The investigation into EU dairy products examined subsidies under the EU's Common Agricultural Policy and those provided to farmers in countries like Italy, Ireland, and Finland, as reported by the Commerce Ministry in August 2024.

The relationship between China and the EU remains tense, particularly as China's trade surplus with the EU has gained attention. Last year, the EU faced a substantial trade deficit with China, exceeding 300 billion euros (approximately USD 352 billion).

Recently, Beijing also declared it would impose tariffs of up to 19.8% on EU pork imports, a reduction from the initially proposed tariffs of up to 62.4%.

China accused the EU of dumping pork and related products at low prices, which it claims has harmed its domestic pork industry.

In July, China announced tariffs of up to 34.9% on brandy imports from the EU, including cognac from France, although some major brands received exemptions.