Vietnam & China Support their Shoemakers

BRUSSELS, Belgium (Feb 23) - The European Commission has gathered enough ‘conclusive evidence’ that Vietnam and China are actively supporting their shoe producers. The evidence proves to the EU commission, that direct or indirect state support is the rule, rather than the exception. Shoe producers in Vietnam and China get deals on taxes, cheap loans and can rent premises below the current market value. The EU has suspected these practises for years, but this is the first time conclusive proof has been brought to the attention of the Commission. Euro commissioner Mandelson (Trade) is considering sanctions. A 20% anti-dumping duty is said to be the most logical step. What this implies for the bike industry is hard to guess: in theory, finding proof in a case against one industry, will make it far easier to investigate another. Considering the general feeling within the European bike industry, it would be only logical if new investigations will be instigated, incorporating the finding in the shoe industry.(MH)