EU could reconsider duties on Vietnam

Published: 16 June, 2006

The European Union could be about to reconsider the anti-dumping system currently in place against shoes imported from Vietnam and China because of the effect the system is having on European companies. EU manufacturers and retailers that produce in Asia have claimed that the EU duties are affecting their business. The duties began at 4.2% in April but increased in June to as much as 16.8%. The Vietnam Leather and Footwear Association (Lefaso) claims that up to 90,000 Vietnamese workers could lose their jobs.

EU commissioner Peter Mandelson told the UK's Financial Times that changes could be made by the end of the year. These would have to be approved by fellow commissioners and then the majority of member states. Mandelson had already announced in May that the EU was in talks with Vietnam about alternatives to long-term dumping duties on leather shoe imports. Vietnam had proposed 'deferred tariffs' which means that quotas would limit the amount of exports for a period of time before anti-dumping duties came into force.

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