Import Taxes on Leather Shoes have been extended for 15 months

Once more the EU anti-dumping system appears as an instrument for Protectionism not for Protection. Today a minority of EU Member States explicitly voted in favour of the extension for 15 months of the anti-dumping duties on leather shoes from China and Vietnam. The abstentions of a few Member States (which according to the EU anti-dumping rules are counted as votes in favour) determined the final result of prolonging the duties. The consequence is that imports of leather shoes from China and Vietnam will continue to be more expensive by 16,5 per cent and 10 per cent respectively.

Betty van Arenthals, President of AEDT commented: “Once more the EU anti-dumping system appears as an instrument for Protectionism not for Protection”.

The anti-dumping system is supposed to protect EU companies from unfair competition, more specifically when a product is exported to the EU at prices lower than its normal value which is determined by the domestic prices of the product or the cost of production. The whole procedure should be based on careful investigations and objective findings. However, too often, decisions on anti-dumping cases are just the result of bargaining and political negotiations among Member States driven by their specific national interests (e.g. the promise that they will get support in other anti-dumping cases to protect other sectors of special relevance for their economy). This explains why even Member States with no footwear production and which are only harmed by these measures contributed to adopt the extension of these unfair and unjustified import taxes.

AEDT is very unsatisfied for how the investigations were conducted and believes that the Commission failed to demonstrate that in this case dumping is occurring. This is also why such decision will negatively affect the trade relations of the EU with China and Vietnam. This situation is very frustrating for EU footwear retailers, importers and consumers as they are the ones bearing the costs and consequences of protectionism and of a politicized and untransparent anti-dumping system.

In order to regain some credibility the EU anti-dumping system needs to be improved, starting from the voting rules which are incredibly unbalanced. AEDT calls on the Member States to terminate once and for all the duties after this 15 months period.