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Anti-dumping measures against Chinese shoes short-sighted

(Xinhua)
Updated: 2006-10-09 17:11

China has criticized the newly imposed European Union (EU) tariff on Chinese shoes as short-sighted and a cave-in to protectionist sentiment in a small number of countries.

An official with the Ministry of Commerce said Monday that the European Commission had violated the principle of free and fair trade advocated by the World Trade Organization (WTO) in its investigation and ruling on the case.

The new measures would hurt Chinese shoe makers but could not benefit the EU, said the official.

The EU's final ruling last week states that shoes from China are subject to 16.5 percent duty for two years starting October 7.

Dumping does not exist with Chinese products, said the official, adding that China's shoemaking industry is highly competitive. More than 1,000 companies exported shoes to the EU, most of which are private or foreign-invested.

"It is impossible for those companies to sell their products at a price lower than cost," said the official.

The official denied that there were any government subsidies to the companies, saying China had abolished export subsidies after joining the WTO.

According to EU figures, China exported 1.25 billion pairs of shoes to Europe in 2005 and holds 50 percent of the European market. The Chinese figures show that China exported 700 million pairs of shoes to Europe in 2004.