IB-Case 3

Answer the following questions:

1

China has accused Australia’s winemakers of dumping and imposed tariffs in response. What is dumping? Who gains from dumping and who loses? What are tariffs? Who typically pays for tariffs?

2

How should Australia’s winemakers respond to the tariffs imposed by Beijing on wine imports from Australia? Is Australia overly dependent on China?

3

Australia claims that Beijing’s moves are unfounded and politically motivated. Do you agree? Is China using wine tariffs as a political tool? Explain. How should Australia respond to China’s actions?