Tải bản đầy đủ - 83trang
Comparison between WTO and EU anti-dumping laws
The Advisory Committee does not have the right to make decision but it may inform the Commission of the supporters and opposers among Member
States. Through the Advisory Committee, Member States may put political pressure on the Commission.
Preliminary decision shall be summarized in written form and sent to Member States. The decision shall be discussed at the Advisory Committee.
Provisional duties shall be imposed in case the Commission defines that there is dumping and consequent injury to the Community industry.
1.3. Comparison between WTO and EU anti-dumping laws
Making comparison between the export price and the normal value in the EUs law is the same as the WTOs. It must be fair, specific, shall be made at
the same level of trade and in respect of sales made at as nearly as possible the same time and with due account taken of other differences which affect price
comparability. The EU lists in detail those factors for which adjustment can be made: physical characteristics, import charges and indirect taxes, discounts,
rebates and quantities, level of trade, transport, insurance, handling, loading, and ancillary costs, packing, credit, after-sales costs, commissions, currency
After calculating dumping margin, the next step is to define whether dumped imports have cause, or threaten to cause damage to the Community
industry or material retardation of the establishment of such an industry. Level of damage will be evaluated by indicators such as profits, productivity, and
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market share. If damage is proved, the European Commission will apply anti- dumping measures.
Judging, making decision on imposing provisional measures falls within the competence of the European Commission, however, the European Council
is able to make another substitution decision by voting. The WTOs provisional measures have three forms, but the EU only apply the second one.
Provisional duties shall be secured by a guarantee. The amount of the provisional anti-dumping duty should be less than the margin of dumping if it
would be adequate to remove the injury to the Community industry.
Investigations may be terminated without the imposition of provisional or definitive duties upon receipt of satisfactory voluntary undertakings from any
exporter to revise or to cease exports to the area in question at dumped prices, so that the Commission is satisfied that the injurious effect of the dumping is
If the European Commission has appropriate proves to impose definitive duties, the Commission will present to the Advisory Committee a proposal
which is then submitted to the European Council. The Council will make final decision on imposing anti-dumping duties by voting.
The anti-dumping duties will be imposed only when the following
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conditions are met:
- A finding of dumping: the export price at which the product is sold on the Community market is shown to be lower than the price on the producers
- A material injury to Community industry: the imports have caused or threaten to cause damage to a substantial part of the industry within the EC,
such as loss of market share, reduced prices for producers and resulting pressure on production, sales, profits, productivity etc.;
- The interests of the Community: the costs for the Community of taking measures must not be disproportionate to the benefits.
Unlike the WTOs Anti-dumping Agreement, besides the interests of domestic producers, the third condition is also concerned with the interests of
consumer and producers who use imported products as input. The EUs determination on imposing anti-dumping duties bases on the interests of the
Community that is different from the WTOs one.
The anti-dumping regulation of the EU and the WTO has both similarities and differences. On exporting to foreign markets, Vietnamese
enterprises have to carefully research their anti-dumping regulations. Getting familiar with complicated rules on investigation and imposition anti-dumping
measures is necessary for exporters and related producers to avoid anti- dumping activities in foreign markets. As Vietnam is on the way to WTOs
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accession, the experience on the EU market may be useful for Vietnam to adapt in the bigger field of the WTO.
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Chapter 2 THE FOOTWEAR CASE
2.1. Overview of the Vietnam footwear industry 2.1.1. The importance of Vietnam’s footwear industry
Vietnam is one of the 10 largest footwear exporters in the world. Annually, about 90 of Vietnams footwear products are exported to various
markets, in which EU, the US and Japan account for nearly 59 this does not include the products exporting through the third countries, 20 and 3
Figure 1. Vietnam’s share in the world’s footwear market
Source: Lefaso, 2005
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According to the countrys General Statistics Office, Vietnamese footwear has found market in over 40 countries. From 2004, it ranks as the
fourth largest footwear exporter in the world after China, Chinese Hong Kong, and Italy, with an annual export value of US2.6 billion, increasing 15 over
2003. Up to the year 2005, the footwear industry export volume has reached 3.039 billion USD 2.34 billion Euro., of which sport shoes accounted for
around 67, lady shoes 19.5, canvas shoes 7, and slippers and sandals 6.
Vietnam will intensify export of footwear to traditional markets, including the United States and the European Union EU, in a move to reap
6.2-6.5 billion U.S. dollars from exporting the products in 2010. The footwear industry is considered as one of the strategic economic
sector of Vietnam. It has been developing very fast over the last decade. It is today the third largest foreign currency earner of the country after crude oil
and garments. The footwear industry has some 300 manufactures engaged in footwear manufacturing and leather tanning, including 35 sate-owned
companies, 191 private enterprises and 134 foreign invested companies. Private and foreign invested companies are playing an increasingly important
role. Foreign invested units have demonstrated its prevailing advantage in production capacity, output and market as a result of huge investment with a
number of efficient projects. The share of export contributed by these non- state companies has increased from around 73.5 in 2000 to around 83 in
The footwear industry plays an important role in Vietnams exports, accounting for 10 of the annual total.
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Table 1. Footwear exports compared to total exports in 2000-2005
2005 USD Euro USD Euro USD Euro USD Euro USD Euro USD Euro
Footwea r export
1,468 1.130 1,575 1,212 1,846 1,421 2,267 1,745 2,640 2,032 3,039 2,340
8 11,124 15,10
Source: Lefaso, 2005 1USD = 0.77euro
Vietnam is estimated to earn nearly 2.1 billion dollars from exporting footwear to the world market in the first seven months of this year, a year-on-
year rise of 22.3 percent.
Table 2. Vietnams export in July and seven moths of 2006
Units: Thousand tones; Million USD 6 months
July 7 months
7 months on year over 2005
Quantity Valu e
Crude oil 8240
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s, metals 73
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Vegetable , animal
Green tea 44
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Source: Ministry of Trade.
Along with its contribution to the national export figures, the industry plays a major role in attracting labor. It has created half-a-million direct jobs
and an equal number of jobs in supporting industries, making it a significant contributor to reducing poverty. At the end of 2004, workers in the footwear
industry accounted for 6.5 of the total number of industrial workers, who come from rural areas outside the surveyed enterprises, is approximately 50-
70. In certain businesses it is higher than 80. The proportion of women workers aged 18 to 25 is approximately 70. The high proportion of women
workers is an advantage for the industry, as women in Vietnam are preferred to men in jobs requiring attention to detail and skill. However, these
immigrant women workers are the most vulnerable when there is an external factor affecting their income and employment, as they are living far from
home and are easily exploited.
2.1.2. Footwear exports to the European Union
EU is a major market for Vietnamese footwear. This is a robust market of 400 million people whose living standards are quite high and demand for
shoes is big. With annual imports of 800 pairs of footwear, this market amounts to 29,3 of the total world footwear consumption. While in 1995
Vietnamese footwear earned only US 400m in exports, this increased sharply to US800 million and nearly US1 billion in 1998 and 1999 respectively.
The surge in footwear exports to the EU is attributed to the Generalized System of Preferences that EU has granted to Vietnam under which
preferential tariffs equal only 70 of the normal tariff rates and have given the Vietnamese footwear industry a comparative advantage over neighbor
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competitors who do not enjoy similar favorable conditions. As the EC data, since 1996, Vietnam has ranked third largest in footwear exported to the EU,
after China and Indonesia. Europes colder climate and weather characteristics create high demand for leather footwear.
At present, Vietnam ranks second after China in terms of footwear export earnings. The European Union is the industrys primary market, accounting for
59 of Vietnams total annual footwear export. Moreover, the footwear industry also generates Vietnams largest export to the EU. Vietnams total
export revenue to the EU was 5.51 billion in 2005, of which 2.1 billion was from the footwear industry. This amounted to 38 of Vietnams total annual
exports to the trade bloc. Among the EU member nations, the United Kingdom, Germany, Belgium, France and the Netherlands are the main
importers of Vietnamese footwear.
In the coming years, the EU will likely to continue to be the dominant market for Vietnams footwear. Vietnam also eyes revenue of over 4.7 billion
dollars for footwear exported to the EU in 2010, accounting for more than 7.5 percent of the blocks total footwear import turnover in the year.
2.2. Overview of the ECs anti-dumping petition