Treasure Wine Estates (ASX:TWE), the Australian wine conglomerate, has seen its shares rise 3.3% to A$12.690, reaching their highest level since May 24, 2023.

This significant increase comes in response to the anticipated removal of Chinese tariffs on Australian wine which analysts at Jefferies term as a ‘material positive’ for the company.

The company announces that China’s Ministry of Commerce has drafted an interim proposal to remove these tariffs.

Though not final, Jefferies believes it’s unlikely the final determination, expected in the ensuing weeks, will significantly differ.

The brokerage firm expects the tariff removal to accelerate growth as supply continues to build.

Additionally, it anticipates an enhancement of pricing power and improved earnings predictability for Treasury Wine Estates (ASX:TWE).

Current stock ratings show twelve of fifteen analysts rating the stock as a ‘buy’ or higher, two as ‘hold’, and only one as ‘sell’.

According to LSEG’s data, their median price target is A$13.10.

Treasury Wine Estates (ASX:TWE) shares have seen a 13.9% increase year to date, based on the last closing figures.

Treasury Wine Estates is Australia’s top wine maker.