The Four Major Associations Are Meeting In Wenzhou To Deal With EU Anti-Dumping On Chinese Footwear.

Since the European Union announced that it would maintain anti-dumping duties on leather shoes produced by two countries in Vietnam and China, in October 8th, relevant ministries and commissions gathered in Wenzhou to discuss the countermeasures.

At the beginning of the meeting, the organizers laughed and said that the important personnel on this front have basically been present today.

The EU's anti-dumping measures against leather shoes in China expired in October, but the EU extended anti-dumping restrictions by extending the deadline.

Against this background, the anti dumping front of China's leather shoes, led by four major industry associations in China (China leather shoes Association, Wenzhou shoe leather industry association, China Light Industry Crafts Import and Export Chamber of Commerce, and Guangdong Leather Footwear Association), is expected to be filed for sunset review.

The so-called sunset review means that the measures are not changed, but whether the ruling is "maintained" or "cancelled".

The meaning of the review is that the measures can be changed, but the decision to apply for market economy status and appropriately reduce the tax rate is acceptable.

"Our goal is to introduce the latest situation of anti-dumping, and hope that more shoe companies will take part in anti-dumping."

Xie Rongfang, Secretary General of Wenzhou shoe leather association, said.

20 recently replied to the EU that the case of anti-dumping is relatively tight. In October 5th, we said that we should reply to the European Union within 15 days. Our enterprises involved in three provinces in Guangdong, Zhejiang and Fujian, so we need to coordinate our businesses in such a short time, leaving us with very short time.

Xie Rongfang said.

According to the lawyer concerned, there is not much difference between the "sunset review" investigation and the anti-dumping investigation procedure two years ago. China's respondent shoe enterprises should submit the sampling questionnaire within 15 days, and submit a questionnaire response within 40 days.

Individual enterprises can also apply to the European Union to examine whether their tax rates are appropriate.

According to the survey, the EU will decide whether to continue to maintain anti-dumping duties.

At the sampling stage, the associations as organizers will provide free technical support for participating enterprises.

The lawyer said at the meeting, "a questionnaire response must be placed on the European Union table 20 days ago, so the deadline for the enterprise is 18 days. This questionnaire needs to submit your 2007 audit report (Chinese and English version).

We expect that this sunset sampling business will not exceed the last time, fill in a sample questionnaire, and directly become our alliance cooperative enterprise.

Compared with the original trial, the sunset review procedure has been much simplified.

In October 7th 2006, the EU began to take anti-dumping measures against Chinese leather shoes. In addition to the anti-dumping duty rate of a market economy enterprise, it was 9.7%, and the other enterprises had a tax rate of 16.5%, with a duration of 2 years.

This case is known as the EU's largest anti-dumping case against China.

In March 26th this year, the European Union announced that anti-dumping measures against Chinese and Vietnamese leather shoes will expire in October 7th of this year. EU related enterprises may apply for "sunset review" in written form 3 months before the expiration date. The European Commission will examine whether to extend the original anti-dumping measures accordingly.

According to the procedures, if the relevant EU enterprises do not apply for sunset review at that time, anti-dumping measures will be terminated in October 7th.

However, the Federation of footwear industries in Italy requested an extension of the anti-dumping period to the EU this summer, which means that Chinese shoe manufacturers will also receive a high export tax rate of 12 to 15 months.

Two years ago, 67 enterprises in Wenzhou shoe leather industry association responded to the lawsuit. Xie Rongfang promised that he would further help persuade enterprises to participate in this work, and would send people down to help enterprises fill in the form, publicize the current situation and help enterprises complete the form together.

The opportunity to "beat the sun" is aimed at the collective action of the enterprise to cope with the sunset review of the European Union. The industry believes that collective action of the involved enterprises can achieve a unified thinking and give greater pressure to the EU in the momentum.

About the sunset review, the industry often laughs that it is "never declining," and our goal is to knock it down, one participant said.

It is understood that the sunset review is mainly aimed at "completely abolish the anti-dumping duty" for the purpose, "fight no damage defense" as a foothold.

The investigation authorities took the sampling procedure. 20 days ago, the enterprises involved submitted the sampling table. In the beginning of November, the European Union would announce the sampling enterprises, and the enterprises being extracted entered the written defense procedure, which lasted for 37 days.

Xie Xie Rong Fang said, began to worry that some enterprises are relatively negative, but later found that this is an opportunity.

"On the one hand, it is related to 16.5% of the anti-dumping duty. Enterprises are concerned about it. On the other hand, the situation really benefits us. This is an encouragement for me. It is hard to do this thing. It is regretful not to participate, although there is pressure, but there are also good news."

AOKANG's attorney general Pu Ling has recently returned to Belgium from Belgium.

According to his introduction, in a non binding vote conducted by the European Union in September 17th, 15 of the 27 EU Member States opposed the extension of anti-dumping measures.

This shows that we hope to abolish anti-dumping duties and European countries are in the majority.

The EU's internal industry also has some degree of disagreement. Many EU leather shoe importers and multinational investors in China, in the current economic downturn, they also hope that the EU will lift the high tariffs on leather shoes in China and Vietnam as soon as possible.

In addition, European consumers, in order to reduce the cost of consumption, also said they did not want the EU to maintain anti-dumping duties on leather shoes in China and Vietnam.

As a result, the European Union said that the sunset review will take the fastest procedure. The average review period of 12 to 15 months is expected to be completed in about 6-7 months.

Four advantages have made the participants generally agree that this is an opportunity.

First of all, 15 EU member states have stood on the Chinese shoes stand.

"The last time it was 12:13, there was a waiver, and it was the result of our massive persuasion. This time we haven't started yet, there are 15 of us standing on our side. What's interesting is that some of the supporters came from the last camp."

One participant said.

Second, the industry within the EU is divided.

For example, the importers' organization is resolutely opposed to the extension, which is the alliance that Chinese shoe industry can strive for.

Third, customs data show that in the first half of 2008, the export volume of leather shoes in Zhejiang decreased by 22% and the total export volume dropped by 12%.

The figures show that the unit price of Chinese shoe exports is rising, but at the same time, the rising part is offset by the rising cost of various factors.

This shows that the export of Chinese shoes is decreasing day by day, and the price tends to be stable, and the impact pressure on the European Union has also declined.

In the past, people feared that due to the decline in the export ability of Chinese shoes, there would be an explosive rise after the abolition of anti-dumping duties in the EU, but this may be much smaller than before. The dumping conclusions made in the original trial have been difficult to stand.

Fourth, in September this year, under the unified organization of the provincial foreign trade and Economic Cooperation Department, Wenzhou, as an important export base for leather shoes, sent a "lobby group" with Kangnai group as its main member. On behalf of the Wenzhou footwear industry, it sincerely expounded to the EU the reasons and reasons for wishing to terminate anti-dumping measures.

Although the move did not stop the European Commission's decision, China's footwear industry was more prepared than the last time, and some European Union officials also had discussions with some European importers, as well as Vietnam's allies.

As Zhou Jinmiao, vice president of Kangnai, said, "I visited Sweden's anti dumping officials not long ago and generally felt that our situation was very favorable.

The anti-dumping cases of Jiaxing fasteners are also some positive factors for Chinese enterprises to deal with anti-dumping cases.

Zhejiang may be drawn from two to three. Because of the large number of responding enterprises, the European Union will choose enterprises through sampling.

"They may choose enterprises in four ways: export volume, domestic sales, production volume and different product types."

A participant from AOKANG group said.

As early as two years ago, Wenzhou AOKANG and Tamar two shoe companies joined the three shoe companies in Guangdong to sue the European Court of justice.

At present, AOKANG group expresses its readiness to carry out "two line operations": in 2006, five Chinese shoe companies, such as AOKANG, filed anti-dumping proceedings against the European Court of justice. After two years' written reply by the court, the oral defense procedure will be held at the end of this year or early next year.

On the other hand, AOKANG and other Wenzhou shoe enterprises are actively preparing for sampling materials, and jointly with other domestic shoe enterprises, collectively to deal with "sunset review".

In view of the behavior of AOKANG and other shoe companies, AOKANG's lawsuit against the European Union's attorney is also the main representative of the Chinese shoe company, which is to review the sunset.

If the collective protest is successful and the anti-dumping duty is abolished, AOKANG and other shoe enterprises can continue to make an apology with the European Court of justice, make the European Union apologize or cancel the lawsuit. If the worst intention is to make collective failure to respond, then the lawsuit between AOKANG and other European enterprises and the European Union can continue to fight for market economy status.

A spokesman for China's Ministry of Commerce said in a statement on 3 July that China regretted the EU's anti-dumping investigation of Chinese leather shoes "sunset review". The Chinese government opposes the European side's extension of the measures in any form.

A spokesman for the Ministry of Commerce pointed out that the EU's anti-dumping measures against leather shoes in October 2006 lacked sufficient legal and factual basis, which caused great controversy within the European Union.

In the final ruling, the European Commission took account of the strong internal opposition to change the anti-dumping measures from five years to two years. This measure should be terminated after two years.