According to Bloomberg News on August 14th, China began ordering Australian barley after Beijing lifted high tariffs on Australian barley earlier this month.
According to insiders, traders have booked at least four batches of Australian grains for transportation from September to October. Beijing terminated anti-dumping and countervailing duties on imported barley originating from Australia on August 5th, citing changes in the Chinese barley market, indicating that the relationship between the two trading partners is improving.
According to the report, before Beijing imposed tariffs exceeding 80% in May 2020, China was the largest export market for Australian barley. The deterioration of relations between the two countries has affected the trade of other commodities, including coal and wine.
According to traders, Australian barley delivered to China for animal feed is priced at $280 to $300 per ton, while domestically produced corn in China is priced at nearly $400 per ton. Traders say that Australia's supply has a price advantage.
According to the report, according to data from the Australian Department of Agriculture, the trade volume of barley between the two countries reached as high as AUD 1.5 billion (approximately RMB 7.07 billion - note on this website) from 2017 to 2018. Later, the imposition of tariffs caused the market's transaction volume to drop to zero. After imposing anti-dumping and countervailing duties on Australian barley, China switched to purchasing more barley from France, Canada, and Argentina. (Compiled by Shen Jian)
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