Press Release

EU must accept shoe taxes now dead

17 September 2008

Retailers are urging the European Commission to accept that its plans for import taxes on shoes from China and Vietnam are dead and buried.

With 15 EU countries declaring their opposition today (Wednesday), to proposals to extend the life of import taxes on shoes from China and Vietnam, the British Retail Consortium (BRC) is calling on the Commission to recognise that carrying on with its review of the duties is now pointless.

In a surprise move, a large number of EU member states opposed moves to extend footwear tariffs beyond October 2008. Europe currently imposes a tax on Chinese and Vietnamese imports of up to 16.5 per cent which ultimately pushes up shop prices.

The BRC has waged a campaign of opposition in recent years, saying the duties drive up prices for low income families and wipe out retailers’, already modest, margins.  The retailers’ organisation is praising this rejection of protectionism at a time when consumer confidence is at a record low.

British Retail Consortium Director General Stephen Robertson said: “After years of determined BRC opposition we are close to a victory that will benefit both customers and retailers. Enough countries have now come out against import taxes to kill them off for good. The Commission must acknowledge its review of the duties’ future is now pointless and abandon them.

“The 16.5 per cent tax has had a serious impact on low income families and retailers already struggling to absorb a range of costs rising well above inflation.

“Anti-dumping duties are too often about protecting the interests of a few uncompetitive European producers at the expense of consumers and retailers.  

“We hope the opposition to these duties on footwear is an indication of a new determination among the majority of EU states to face down protectionism across other products such as homeware and clothing.”