Trade Commissioner Peter Mandelson will, on 4 October 2006, present a review of EU trade policy, which he has announced will focus on “defending Europe’s openness to imports while taking a more ‘activist’ approach to opening markets and securing fair treatment for EU companies abroad”.
However, despite claiming to be a strong proponent of free trade, Mandelson has recommended imposing anti-dumping tariffs – which would raise prices for consumers and have been termed as protectionist by retailers and free marketeers – on imports of leather footwear from China and Vietnam (see EurActiv 28 September 2006).
A spokesman for Mandelson, supported by shoe manufacturing countries such as Italy – who say imports of under-priced Asian shoes are putting their industries at risk and threatening thousands of jobs – said: "There's a difference between protectionism and protection of European industry in the face of evidence of dumping."
However, consumers and businesses claim that Europe’s anti-dumping mechanism is flawed because it does not take into account the benefits to consumers of lower prices. They call on the Commission to reform “Europe’s antiquated antidumping mechanism”.
EuroCommerce Secretary-General Xavier Durieu said: “Reforming Europe’s defunct trade defence system is long overdue. The current system adds to ever-growing costs for retailers and pushes up prices for customers,” while BEUC Director Jim Murray called for a halt to all new antidumping investigations: “Until proper weight is given to consumers’ welfare, it is unwise to start new anti-dumping investigations.”
A group of European sectoral federations, including CEFIC and Eurometaux disagree saying: “We do not agree on embarking on possible reforms that would, in fact, twist the operation of [trade defence] instruments towards objectives which they are not meant to pursue,” adding that TDI should primarily address injury caused to European producers from unfair trade practices and already “balance the needs of Community producers and consumers when assessing antidumping measures”.
