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EU extends Chinese shoe tariffs | EU extends Chinese shoe tariffs |
(about 2 hours later) | |
The European Union has voted to extend tariffs on shoes from China and Vietnam in order to help European producers compete with cheaper imports. | The European Union has voted to extend tariffs on shoes from China and Vietnam in order to help European producers compete with cheaper imports. |
The tariffs, which were first introduced in 2006, will last for a further 15 months. | The tariffs, which were first introduced in 2006, will last for a further 15 months. |
A number of countries in the EU were opposed to the extension. | A number of countries in the EU were opposed to the extension. |
China is involved in a number of trade disputes, and on Monday lost an appeal to the World Trade Organization regarding US film and music imports. | China is involved in a number of trade disputes, and on Monday lost an appeal to the World Trade Organization regarding US film and music imports. |
The organisation ruled in August that China's policy of allowing the goods to be imported only by state-run firms broke global trade rules. | The organisation ruled in August that China's policy of allowing the goods to be imported only by state-run firms broke global trade rules. |
The tariffs on Chinese shoes will remain at 16.5%, and those on Vietnamese shoes will remain at 10%. | The tariffs on Chinese shoes will remain at 16.5%, and those on Vietnamese shoes will remain at 10%. |
'Inflated prices' | |
The decision to extend the tariffs was not unanimous. | |
UK Business Secretary Lord Mandelson said: "I am disappointed the EU has decided to extend these duties - they should have been allowed to end as originally agreed. | |
"A small majority of member states did not oppose the measures even though they are no longer justified." | |
He said that maintaining the duties "damages trade, harms the reputation of Europe and forces consumers to pay higher prices at a time when they can least afford it". | |
He also called on the EU to "turn its back on protectionism". | |
While the extension will benefit EU shoemakers, it has also proved unpopular among some retail groups in Europe. | |
"This will be a signal to failing companies around Europe that the Commission will step in and protect them from foreign competition," said the British Retail Consortium. | "This will be a signal to failing companies around Europe that the Commission will step in and protect them from foreign competition," said the British Retail Consortium. |
"Consumers will have to keep paying inflated footwear prices." | "Consumers will have to keep paying inflated footwear prices." |
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