AOKANG Appeals: The Lawsuit Between Chinese Shoe Enterprises And EU Has Reached The Final Stage.

Court of first instance dismissed Chinese shoe companies' request

Chinese lawyers believe that there are many doubtful points.

It is reported that in 2006, 5 Chinese shoe companies such as AOKANG thought that the European Commission had violated the law fact in the investigation process, and filed a judicial review in the first instance court in December 2006.

The lawsuit that lasted nearly 4 years finally came to an end in March 2010: the European Court of first instance rejected the claim of 5 Chinese shoe companies.

"By reading the verdict of the European Court of first instance, we found that the verdict was unfair."

The Chinese lawyer, Pu Ling Chen, who represented the shoe case, told reporters that in calculating the magnitude of damage, the EC's practice actually violated the first article of the EU anti-dumping regulations. When commenting on the EC's change of the way and method of calculation, the European Commission gave the Chinese enterprises an unreasonable comment (only 5 days), and it did not meet the 10 day deadline stipulated by the regulations. The interpretation of the court of first instance was intriguing in interpreting the 3 and ninth 5 of the EU anti-dumping regulations.

"The EU has imposed restrictions on leather shoes exported to China for nearly 15 years. This unequal treatment should come to a stop."

Wang Zhentao, vice chairman of the China Leather Association and chairman of AOKANG footwear Limited by Share Ltd, Zhejiang, said that AOKANG continued to appeal to the EU high court because the EU's discrimination against Chinese leather shoes was no longer tolerated, no matter from time to time or on the loss of Chinese leather shoes exports.

This is the reason why AOKANG continues to follow the legal proceedings to the end of the lawsuit.

China's export shoes are reduced by 40 million pairs.

According to a press survey, the rise of China's footwear industry has shaken the monopoly position of EU countries such as Italy and Spain.

Some European countries have formed alliances to protect their footwear industry and maintain prices. The launching of a "barrier" that restricts the entry of China's footwear industry into the European market has imposed an "import quota" restriction on Chinese leather shoes since the beginning of 90s. The decision lasted 14 years and was lifted only after China's accession to the WTO.

But joy is a flash in the pan for Chinese shoe companies.

In 2006, the EU moved out of the "anti-dumping" banner, launched anti-dumping investigations on leather shoes in China, and decided in October 5, 2006 to impose anti-dumping duties for a period of 16.5% years.

In 2008, two years after the expiration of the anti-dumping duty, we decided to continue to levy anti-dumping duties for 15 months in 2009.

According to the latest statistics from China Leather Industry Association, the previous anti-dumping duty resulted in a 20% reduction in the output of Chinese leather shoes exported to Europe.

About 40 million pairs of shoes were exported to the EU, which caused about twenty thousand workers to lose their jobs.

"If Chinese shoe companies continue to acquiescence, it will be a matter of course to take this inequality into account, and it will be very serious for the future export of Chinese leather shoes.

Other countries initiated anti-dumping activities, such as Brazil, Turkey, Argentina and so on.

Wang Zhentao said, "Chinese shoe enterprises must learn to protect their own rights by law."

The pformation and upgrading of enterprises is imminent.

Guangdong and Wenzhou are China's two largest export bases for shoes, and they are also among the most injured in the EU's 4 year anti-dumping measures.

Zhou Shijian, a researcher at the Sino US trade and Economic Relations Research Center at University of International Business and Economics, predicts that after the steel and tires, China's textiles and footwear and household appliances will likely become the "hardest hit" of protectionism in Europe and the United States this year.

In this regard, Wang Zhentao said that in addition to the EU anti-dumping lawsuit "to the end", AOKANG has increased the attention of the relevant laws and regulations in the United States, and will strengthen the use of its international R & D center, accelerate the development of new products.

Reporters also learned that following the EU's decision to extend anti-dumping duties on imports of leather shoes from Vietnam and China for 15 months, the EU recently proposed to extend the ban on the main ingredients of the two methyl fumarate (dried shoes and clothing and other products) for a year to March 15, 2011.

According to the European Union's ban, if the product contains two methyl fumarate and exceed the standard, it will cause the whole batch of products to be returned or recalled.

Zhou Shijian pointed out that in the context of "remanufacturing" proposed by the US and Europe, the use of technical barriers will be inevitable.

At the same time, AOKANG is also actively carrying out enterprise pformation and upgrading, and making strategic adjustments in the way of product production and export.

We should enhance the core competitiveness of the industry through technological innovation, promote the cultivation and construction of domestic brands, open up a diversified international market, and optimize the export product mix and industrial layout.

This is a way for Chinese shoe enterprises to fundamentally solve the anti-dumping problem.