The European Commission has formally approved the introduction of anti-dumping duties on leather shoes imported from China and Vietnam, a plan that has generated protests by both Asian countries.
Irish industry group Retail Ireland criticised the commission move, saying it was bad for Irish consumers, and damaging to the Irish retail sector and the wider Irish economy.
The EU has said it found evidence of state intervention helping shoemakers in China and Vietnam and it will impose duties of 16.8% on shoes from Vietnam and 19.4% from China to be phased in over five months from April 7. Sports shoes and footwear for children will be exempted from the duties.
China and Vietnam have denied their shoe exports are being dumped in the EU. China has said it might consider a complaint to the World Trade Organisation, which regulates global trade.
Trade Commissioner Peter Mandelson today reiterated his willingness to work with both countries 'to address the questions of competitive distortions raised by the Commission's investigation', the statement said. The case also generated protests from some of the world's biggest shoemakers that have invested in factories in China and Vietnam, and it split the EU.
Some countries with shoe industries of their own, led by Italy, pushed for higher duties than those planned by Brussels.
In a statement, Retail Ireland said shoe sales in Ireland had increased by almost 50% since 2000, supporting many jobs in the retail and logistics sectors. It said higher prices for shoes would inevitably mean reduced sales, jeopardising some of these jobs. Retail Ireland said the move was 'protectionist' and that EU producers were unable to meet market demand.
