International business briefs: China spares major cognac brands from hefty EU brandy duties

Shanghai/Paris — China spared major cognac producers Pernod Ricard, LVMH and Remy Cointreau from hefty duties on EU brandy on Friday, a rare bright spot at a time of trade tensions between Brussels and Beijing as the two sides row over tariffs on Chinese-made EVs.

China will from Saturday levy duties of up to 34.9% for five years on brandy originating in the EU, most of it cognac from France, the Chinese commerce ministry said in a final ruling of an investigation lasting more than a year.

But most of France’s cognac industry, including big brands LVMH-owned Hennessy and Remy Martin, will be exempt from the duties provided they sell at a minimum price, the ministry said in a statement. It did not disclose the minimum prices.

Beijing launched its anti-dumping probe on EU brandy in January last year, in what was widely viewed as retaliation for the EU's decision to impose big import tariffs on China-made electric vehicles.

French cognac makers generate global exports of $3bn a year combined. With premium aged bottles of the liquor selling for hundreds of dollars, they have complained they are collateral damage in the broader trade row between Brussels and Beijing.

China limits imports of EU medical devices

Hong Kong — China’s finance ministry said on Sunday it was restricting imports of medical devices from the EU that exceed 45-million yuan ($6.3m) in value.

China will also restrict imports of medical devices from other countries that contain EU-made components worth more than 50% of the contract value, the finance ministry said. The measures come into force on Sunday. Reuters

Azoria postpones Tesla ETF on Musk’s new party

Bengaluru — Azoria was set to launch the Tesla exchange-traded fund (ETF), which would invest in the electric vehicle company’s shares and options, next week.

However, after Musk’s announcement Azoria CEO James Fishback posted on X several critical comments of the new party and repeated his support for US President Donald Trump.

That culminated in a post where Fishback announced the postponement of the ETF.

“I encourage the board to meet immediately and ask Elon to clarify his political ambitions and evaluate whether they are compatible with his full-time obligations to Tesla as CEO,” Fishback said. Reuters

Also read Musk forms America Party in pushback against Trump

Ingram Micro probes ransomware on systems

Bengaluru — Ingram Micro said on Saturday it recently identified ransomware on certain of its internal systems.

The information technology company took steps to secure the relevant environment, including taking certain systems offline, it said in a statement.

The Irvine, California-based company also launched an investigation with the assistance of leading cybersecurity experts and notified law enforcement, it said. Reuters

Petrobras considers sale of onshore oilfields

Rio de Janeiro — Brazil’s state-run oil firm Petrobras is weighing options for its Polo Bahia onshore oilfields, including a potential sale, CEO Magda Chambriard said on Saturday, adding that any decision will prioritise returns and shareholder interests.

The Polo Bahia hub, comprising about 28 onshore fields, was previously listed for sale under former president Jair Bolsonaro’s divestment strategy. President Luiz Inacio Lula da Silva pulled it off the market after he took office in 2023 and ended Bolsonaro’s divestment strategy.

Chambriard said the operation at the Polo Bahia produces little oil but requires significant effort. Extracting from those onshore fields was more viable when oil prices were higher, at $90-$100 per barrel, than it is at the current $65 per barrel, she said. Reuters

Canada aims to support large aluminium producers

Montreal — Canada has discussed offering financial support to large aluminium producers such as Rio Tinto affected by a US-led trade war, in the event that Washington’s 50% tariff on imports of the metal persist in the medium term, the CEO of a key industry trade group said on Saturday.

Aluminium Association of Canada CEO Jean Simard said in an interview that the early talks could help the sector in the event that Ottawa is unable to reach a planned deal with its top trading partner by July 21. While the major aluminium producers operating in Canada do not have liquidity problems, Simard said, a 50% US tariff on aluminium imports would inevitably have an effect on finances if it continues.

About half of all aluminium used in the US is imported, with the vast majority coming from Canada, which exported 3.2-million tonnes of the metal to the US last year. Reuters

Petronas starts drilling oil wells in Suriname

Paramaribo — Petronas began drilling on Sunday, the first of three wells in an exploration campaign aimed at finding additional oil reserves at its offshore Block 52 in Suriname, state company Staatsolie said in a release on Saturday.

Petronas hired Noble Corporation to drill the wells through the Noble Developer drilling platform, which arrived in Surinamese waters at the beginning of July. Suriname’s National Environmental Authority granted a permit for the drilling programme in mid-June, Staatsolie said. Reuters

Honda halts development for electric SUV 

Bengaluru — Honda has stopped the development of a large electric SUV, which is a major part of its EV strategy, as demand for electric vehicles in the US is expected to continue to decline, Nikkei reported on Saturday.

Reuters could not immediately verify the report. Reuters