A new anti-dumping policy from the European Union on Chinese-made leather shoes has
entered into force. Chinese shoemakers and academics have shown their dissatisfaction and
disappointment at the two-year-long duty but also say they need to build up international
brands to gain competitive advantage. CRI's Xu Weiyi has more.
Under the EU's new policy, European shoe importers will pay a 16.5 percent tariff on
Chinese-made leather shoes. Children's shoes, which were not covered by the provisional
anti-dumping duties, are also now subject to the definitive duties.
Liang Yanfen with the International Economy and Trade Institute of the Ministry of
Commerce says the duty indicates unfair protectionism.
"According to WTO regulations, an anti-dumping duty needs to pass a certain procedure
before it's imposed. This includes the confirmation of damage through trade, as well as
proper investigation and consultation. However, we didn't see the complete evidence before
the decision was made."
In the meantime, Chinese shoemakers are strongly dissatisfied at the EU's measures. The
majority of them are private companies and they worry that the policy will result in many
industry workers losing their jobs.
Wu Zhenchang is one of the people to set up associations to fight the anti-dumping policy.
"I think because of the high percentage that European importers have to pay, 90% of the
buyers there will shift their sights to new sellers in other countries."
Wu Jiahuang, Vice-chairman of China's WTO Research Centre, says although Chinese
manufacturers produce the cheapest shoes with the best quality, they should also learn to
update their development strategy to gain competitive advantage in the globalised market.
Cooperating with foreign producers and building up good international chain brands are
both recommended.
"The way they produce, the way they push their sales to the European market could reflect
whether they could improve their way of business. They should do business in a better way,
not just produce cheap shoes without making much money."
He also suggests that Chinese enterprises should think of asking for a review from the EU
authorities to see whether the case could be reversed, or turn to the WTO for dispute
settlement.
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