China: New Retaliatory Measures Against EU Dairy Products
Texas governor urged state-owned companies to “stop investing in China” and sell assets in China as soon as possible
China announced that the scope of the investigation into alleged subsidies on dairy products imported from the European Union will be “broadened and deepened.” Chinese authorities have sent requests for additional information to Denmark, France, Italy, and the Netherlands. As China’s Ministry of Commerce wrote in a press release, “questions about additional subsidy programs will be included in questionnaires sent to EU agri-food companies as part of the investigation.” The decision came after consultations held by Chinese and European officials on November 19.
Beijing’s new measures make it clear that trade disputes between China, the European Union, and the United States are light years away from a political solution. Last week, Texas Governor, Republican Greg Abbott (pictured), ordered state-owned companies to “stop investing in China” and sell their assets in the Asian country as soon as possible. In a letter to Texas companies, Abbott, citing unspecified “financial and security risks,” suggested that Texas investors in China “withdraw froim investments at the earliest opportunity.” The Texas government actively monitors its agencies’ investments and has already banned public pension funds from doing business with certain Wall Street firms that have “embraced environmental, social, and governance principles.”
Specifically, Texas prohibited its public pension funds from investing in funds managed by BlackRock and Invesco. The new Texas policy aims to protect the state’s important interests in the energy sector, especially oil and gas. The move reflects Texas officials’ stance against what they consider “discriminatory practices” against the oil and gas industry.
