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Help fight anti-dumping duties

Footwear retailers and suppliers have lambasted the European Commission’s decision to propose an extension of anti-dumping duties on leather footwear sourced in China and Vietnam.

Drapers has launched a Dump The Duties campaign, calling for the duties at 16.5% and 10% respectively - which have adversely impacted the troubled footwear market and pushed up prices for the consumer - to be stamped out.

Dune Group chief executive John Egan said: “Currency fluctuations mean we cannot offset the duty costs. Retailers either have to take less margin or put prices up and most people will have to do a combination of the two.”

Tim Cooper, managing director of branded and private label supply business OPS, said: “Proposing to lift the duties would have given everybody the chance to offer better value to their consumer.”
Harvey Jacobson, managing director of footwear supplier Jacobson Group, added: “All anti-dumping duties have served to do is introduce a further tax on the public, increase prices and negatively impact retailers and trade, contributing to the loss of jobs on the high street.”

One retailer agreed: “Our biggest fear is that if this proposal is agreed to then in reality these anti-dumping duties could actually run beyond 15 months. In this current climate, the ability of retailers and consumers to continue to absorb these additional costs without negative consequences for employment and long-term investment has to be the real concern.”

Director of the British Retail Consortium Brussels Alisdair Gray said: “All these duties have done is divert imports from China to India. It has had no impact on EU producers.”

Richard Kottler, chief executive of the British Footwear Association, said: “Anti-dumping duties penalise the ultimate consumer; it is not commercially rational, and is having a negative impact on the bulk of the UK footwear sector both in terms of margin and the ability to counter the current economic downturn.”

Financial services firm PricewaterhouseCoopers’ international trade consultant Emma Ormond said: “There is no justification for the extension of measures.”
Interested parties have until November 3 to lodge objections.

To find out more information on our campaign visit www.drapersonline.com/news/footwear/dump-the-duties-campaign or email amy.shields@emap.com

Timeline

  • October 22 European Commission (EC) Anti-Dumping Committee meeting (footwear not currently on the agenda but expected to be discussed)
  • October 27 Deadline for EC to take proposal to member states
  • November 3 Deadline for interested parties to make opinions known
  • November 10-27 EU member states vote on proposal
  • November 20 Deadline for EC to get the proposal and vote result to the European Council, which rubberstamps the decision
  • December 20 Final Council meeting and vote
  • January 3 Deadline for completion of review of anti-dumping measures
  • January 8 Expiry of measures if extension not agreed

Readers' comments (5)

  • Many retailers are part of the 'stupid brigade' - when the EU has even less jobs, who will buy their shoes?

    They should offer much better shoes, save a lot on their own waste, reduce prices - just to manage to keep these customers which they still have.

    Footwear which they sell now is seriously overpriced, very poorly done, and the big majority does not fit well - otherwise not bad shoes.

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  • Could we please add our support to the anti dumping campaign this is just a stealth tax on companies with no regard for size of the company and their ability to absorb this cost. the impact on us as a small distributor of brands from Chinese factories is huge it affects cash flow and margin and ultimately puts us under huge pressure with a turnover of around 600k we paid around 55k in anti dumping duties nearly 10% of turnover it makes our product more expensive and thus harder to sell and with the dollar problems we don’t need any more financial burdens.the government must realise that this tax is unfair and irrelevant to controlling markets such as ours we are never likely to be dumping in the high end branded sector as controlling brand image is far more important therefore anti dumping is just a tax it doesn’t make any difference to the amount of product we sell and if it was lifted it would only mean we could reduce prices and really breath again we would not all of a sudden dump thousands of branded high end ladies shoe on the market this is not how it works.

    lee davies, Yum Yum Shoes

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  • My experience of working with Italian and Spanish factories are very jaded.
    The quality was poor. The price a rip-off and the shipping nearly as expensive as a container from china.
    The Italians are notorious for being untrustworthy and I was open minded but later proved wrong.

    If the Italians were not so greedy, quality conscious and got their products out on time then we all could understand
    why they want footwear manufacturing to stay in europe.

    The anti dumping just gives the government another excuse to earn from people trying to make a living
    and does not bring any manufacturing back to Italy or Spain.

    It should be abolished to give business people a chance to earn a living.

    Roll on china and a nation with a great work ethic.
    Why should they be taxed.

    In fact compare a chinese made leather outsole shoe to an Italian and 9 out of 10 times the quality is
    better than Italy.

    This is why Dior, Cavali and many italian brands make their shoes at NARINI in Guangzhou.

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  • Good to see Drapers supporting this.

    The fact is the UK footwear industry doesn't support or want the ADD’s and nobody is listening.


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  • Jessica Good

    This tax is as ridiculous as the window tax was in the middle ages!

    I agree with the comment ''does not bring any manufacturing back to Italy or Spain.''

    I've never seen any evidence of this and I work with European and Chinese factories. Depends on the client's product requirements where we decide to work and not the stupid tax!

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