According to the Federation of the European Sporting Goods Industry and other press reports, the European Commission has concluded its preliminary investigation into the alleged dumping of Chinese and Vietnamese leather footwear on the European market and has proposed high anti-dumping duties on these shoes.
The Federation of the European Sporting Goods Industry (FESI) continues to be seriously concerned by the impact of such measures on Europe's consumers. Consumers will end up paying the antidumping duty, as shoe prices will increase by 25%, with a negative impact on overall buying behaviour.
FESI is also concerned by the impact of such measures on both importers and retailers, although the Commission's proposal to limit the scope of the duties by excluding Special Technology Athletic Footwear (STAF) is a reasonable step in the right direction.
“The exclusion of STAF from the product scope of the investigation is the obvious response to the lack of EU production of such shoes and a sign that EU Trade Commissioner Peter Mandelson is making a genuine effort to minimise the harmful effects of anti-dumping,” said FESI President Horst Widmann.
“STAF is a well established category of sport footwear which has been excluded from quota restrictions and anti-dumping measures for over a decade. However, the investigation continues to cover products that lack any justification for being included,” he added.
“The investigation continues to cover many other sports shoes that are not produced in Europe and which pose no threat to European shoe makers, only the threat of lost jobs in the retail sector and higher prices for Europe's consumers,” he added. “These measures are against the interests of the European economy,” Widmann said.
Approximately one-quarter of all leather footwear imported by the European sporting goods industry will still be affected by the proposed antidumping measures.
The same reasons that convinced the Commission to put forward STAF exclusion in its December 2005 proposal apply to all other footwear imported by FESI members: there is virtually no European production of such shoes and imports from China have remained stable over the last few years in volume and price.
The nearly undifferentiated treatment of Vietnam and China is also unjustified. Vietnam is among the 20 poorest countries in the world. Furthermore, EU leather footwear imports from Vietnam have actually declined during 2005 while the average unit price has increased.
“Clearly Vietnam and China should not be lumped together in this case,” said Karl Sedlmeyer, vice-president of FESI. “Antidumping measures will be a serious set-back to Vietnam's development prospects. There are no winners from these measures as they stand. Jobs will be lost in Vietnam, China and Europe.”
