TWE) share price sinks lower on China update

The Treasury Wine Estates Ltd (ASX: TWE) share price is sinking lower on Monday morning.

In early trade, the wine company’s shares are down 4% to $10.37.

Why is the Treasury Wine share price sinking?

Investors have been selling Treasury Wine shares on Monday after China’s Ministry of Commerce (MOFCOM) confirmed that it would be placing tariffs on Australian wine for five years.

This was the result of the MOFCOM’s final determination in its anti-dumping and countervailing investigations into certain Australian wine exports into China.

What was the final determination?

According to the release, MOFCOM’s final determination is that a combined anti-dumping and countervailing duty rate of 175.6% shall be applied to Treasury…