Trade Protectionism Is On The Rise. Shoe Companies Need To Be Cautious.

Four months ago, at the financial summit of the group of 20 (G20), leaders called for a boycott of trade protectionism and promised to avoid setting up new barriers to trade and investment in the coming year. However, the world bank's latest report points out that 17 countries have implemented trade restrictive measures in G20, reflecting the rising trend of trade protectionism. (15%) entitled "trade protection: emerging trend, but the trend is worrisome", the report points out that since the outbreak of the financial crisis, there are about 78 protectionist measures launched or proposed in the world, of which 47 have been implemented. Recently, trade protectionism measures launched by various countries mainly include tariff increase, trade ban, export subsidy and various forms of non-tariff trade barriers. The trade protection measures in developed countries are basically subsidized, while developing countries adopt more traditional trade protectionist practices such as tariffs and trade embargo. The World Bank report pointed out that many other events also reflected the trend of trade protectionism but did not take into account the above trade protection measures. For example, the anti-dumping measures introduced by various countries in the second half of 2008 increased rapidly. The number of anti-dumping investigations launched by the whole year increased by 15% compared with the previous year. The number of cases eventually recognized as dumping and punitive tariffs increased by 22%. Others include financial and industry rescue measures that are introduced to save domestic enterprises, restrictions on hiring foreign workers and so on. Trade protection measures are more subtle. The Academy of social sciences has also submitted a research report on the trade situation to the higher authorities. The report also holds that, with the worsening economic situation, countries are calling for trade protectionism to avoid competition for imported goods, thus increasing the political pressure to protect domestic employment. Trade protection measures may be more hidden, so that enterprises can not guard against it. Li Youhuan, deputy director of the Institute of industrial economics of the Provincial Academy of Social Sciences, said, if a country believes that the import of Chinese footwear products is too large and the price is low, it will not enter the anti-dumping proceedings and other legal procedures, but may give notice to the customs to strengthen the supervision of China's footwear products. Li Youhuan said, "in this way, the products that can be imported quickly for 10 days or 8 days have great impact on the enterprises." "There may also be such a situation. Some countries have initiated anti-dumping investigations to achieve an impact on imported products." Li Youhuan said that once the anti-dumping is put on file, importers, suppliers and producers will form a psychological expectation of trade disruption. For example, importers worry that once they are ordered, but the final product can not be imported, the loss may reduce the import of related products. The improvement of import standards such as green barriers and corporate social responsibilities is also a number of hidden trade measures. Mr Li suggested that, from the perspective of the provincial government, we should strengthen the track understanding of international trade protectionism and provide timely reference information for the development trend of trade protection for enterprises. For example, we need to conduct a detailed analysis of the countries and industries that take trade measures, and provide suggestions for the export market direction of the enterprises. More shoes and hat investment information, click here to enter the responsibility editor: Wang Xiaonan