Core Viewpoint - China has implemented a temporary anti-subsidy tax of up to 42.7% on dairy products from the EU, signaling a strong response to perceived unfair trade practices and agricultural subsidies that undermine local industries [6][10][30] Group 1: China's Response - Starting December 23, 2025, all dairy products from the EU, including whole milk powder, skim milk powder, whey protein, and cheese, will be subject to a temporary anti-subsidy tax guarantee [6][10] - This measure is a significant escalation compared to previous diplomatic protests and symbolic resistances, indicating a more robust approach to trade disputes [10][30] - The anti-subsidy tax is aimed at countering the EU's agricultural subsidies, which have historically allowed EU dairy products to be sold at lower prices in China, threatening local dairy producers [8][10] Group 2: EU Agricultural Policy Critique - The EU's Common Agricultural Policy has relied on substantial subsidies, amounting to hundreds of billions of euros annually, creating an unfair competitive advantage for EU farmers [8][10] - The subsidies lead to artificially low production costs, which, when exported, disrupt local markets in countries like China [8][10] - China's actions are framed as a challenge to the EU's narrative of "fair trade," exposing the hypocrisy of using subsidies while promoting high environmental standards [10][26] Group 3: Broader Implications for Global Trade - The coordinated actions of China and Brazil against the EU represent a collective awakening among Southern countries, challenging the existing trade order that has favored Western nations [4][19][21] - Brazil's President Lula has criticized the EU for delaying free trade negotiations under the guise of environmental concerns, reflecting a broader discontent among developing nations [14][19] - This situation highlights a shift in global trade dynamics, where emerging markets are asserting their rights and demanding a more equitable trading environment [21][30] Group 4: Future Trade Landscape - The recent actions by China and Brazil signal a move towards a new global trade order that prioritizes mutual respect and equality among nations [21][30] - There is a growing recognition that the rules of trade must evolve to include the voices of developing countries, rather than being dictated solely by Western powers [23][30] - The response from China and Brazil indicates a strategic adjustment in how Southern countries engage with global trade, moving away from passive acceptance of existing rules [30][31]