HANOI - The
American Apparel and Footwear Association (AAFA),
a US footwear industry group, has joined European
shoe importers and retailers in opposing the
possible imposition of anti-dumping tariffs on
shoe imports from China and Vietnam.
The
AAFA has urged the European Union (EU) to
carefully consider the overall economic impact on
the European economy - not just the short term
advantages to a small group of
shoemakers - of anti-dumping
tariffs on shoe imports from China and Vietnam.
Imposing duties on European shoe imports,
which account for 80% of footwear sold in Europe,
would be "devastating" to European consumers and
workers, said AAFA President and CEO Kevin M.
Burke. "If the Europeans liked the embarrassing
debacle that was last summer's apparel crisis [ed:
a reference to the "bra wars" dispute], they will
love the nightmare they will create if they do the
same thing with shoes," said Burke.
The
European Confederation of the Footwear Industry,
representing European shoe makers, filed a lawsuit
against shoe importers from China and Vietnam,
suggesting an anti-dumping margin of 130%. The
Vietnam Leather and Footwear Association (Lefaso)
has rejected the dumping allegations. Lefaso
chairman Nguyen Gia Thao said most of the shoe
makers in Vietnam are subcontractors
forinternational corporations, so they completely
depend on subcontractors' orders, and have no
authority to decide consumer prices.
Currently it is very difficult for
Vietnam's shoe makers to secure contracts, as
importers are uncertain of the outcome of the
pending EU decision. The EU market accounts for
70% of Vietnam's total footwear exports.
The EU's provisional decision to impose
anti-dumping tariffs has faced opposition from
retailers and importers. Brussels-based Footwear
Association Importers Retailchains, the European
Branded Footwear Coalition and the Federation of
European Sporting Goods Industries (FESI) have
filed formal complaints with the EC. FESI
represents Adidas, Nike, Puma, and many other
athletic brands. The Netherlands, Sweden and
Denmark have also formally opposed the tariffs.
EU nations are expected to discuss
possible countermeasures at a meeting on March 9.
If approved, provisional measures could come into
force for six months on April 7 while the EU
continues its investigations.
Vietnam's
Foreign Ministry denied that the country dumped
leather shoes on the European market and called
for "objective and fair decisions" on tariffs.
"Vietnamese manufacturers do not dump leather
shoes in the European market. They are functioning
according to the rules of the market economy and
fair competition," said Foreign Ministry
spokesman, Le Dung. "The Vietnamese government
does not intervene and does not [subsidize]
business activities."
Dung said that
Vietnamese enterprises had actively cooperated
with European Union examiners during the
inspection. He urged the EU to consider the
negative impact tariffs would have on Vietnamese
laborers, European consumers, the European
footwear retailing industry and footwear companies
with business operations in Vietnam.
