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Gov't Backs Shoemakers' Legal Action
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The Chinese Government on Friday backed domestic firms' legal action against EU anti-dumping tariffs on Chinese leather shoes.

At least four Chinese leather shoemakers have said they will sue the European Commission over the 16.5 percent duty it slapped on Chinese-made shoes last month.

"It is the right of our enterprises. The Ministry of Commerce respects and supports their option," said Gao Hucheng, China's vice-minister of commerce.

The firms have until December 6 to launch legal action at EU courts against the European Commission's punitive duties.

According to the ministry, the European Commission violated EU regulations in the dumping charge against Chinese leather shoes, and was not justified in deciding separate treatment, granting market economy treatment, the calculation of dumping rates or information release.

The ministry has been monitoring the situation and has made its opinion clear to the European Commission and EU member states.

"The European Union said in its latest trade policy paper it would be cautious about trade remedies against China," Gao added. "We hope it could keep this promise."

He said the alleged abuse of dumping charges would spur the growth of protectionism in the European Union.

The EU ruling against Chinese leather shoes is so far the largest anti-dumping case China has faced, affecting exports worth around US$730 million a year.

The EU charges have also been condemned by a German shoe manufacturer.

"It is certainly a one-size-fits-all anti-dumping duty on shoes from China," said Peter Kern, from Peter Kaiser Shoes, a German shoemaker founded in 1838.

Speaking at a promotional conference for the Global Shoes and Accessories Exhibition, which will be held next year in Dusseldorf, Germany, Kern claimed that the anti-dumping duties benefit neither Chinese makers nor the European Union.

"If they continue for a longer time, the anti-dumping duties will not bring any shoe production to Europe, which depends greatly on shoes imported from China," said Kern.

Last year, China exported more than 1.2 billion pairs of shoes to the European Union, which only witnessed a production of 641 million pairs, according to Kern.

"In addition, duties on footwear products are not levied within European countries," Kern said. "As a result, it is certainly unfair for Chinese shoemakers since the anti-dumping tariff is only levied on shoes from China and Viet Nam."

Kern, also a consultant for the German-based Messe Dusseldorf GmbH, has been trading in the Chinese shoe market for 12 years.

"China has developed into one of the leading shoe producers in the world. The European Union will not benefit if there are fewer shoes from China," Kern told China Daily.

(China Daily November 18, 2006)

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