Situation of the European footwear sector, one year after liberalisation
26.1.2006
ORAL QUESTION WITH DEBATE O-0005/06
pursuant to Rule 108 of the Rules of Procedure
by Enrique Barón Crespo, on behalf of the Committee on International Trade
to the Commission
On 1 January 2005, the last restrictions on import of footwear from China were removed, and all footwear items have been allowed to enter the Community without restrictions.
The European Commission introduced a twofold surveillance system aiming to monitor import trends from China as well as from other exporting countries into the EU. Chinese goods entering the Community were in particular subject to a system of prior import licences (the so-called ex-ante surveillance).
Community surveillance showed that imports from China increased substantially in 2005 (up to +500%). This severely impacted on the competitiveness of the European footwear sector, which was unable to face the flooding of imported goods at very cheap prices.
This led to a further shrinking of the footwear sector in the Community, triggering an increasing number of bankruptcies and a substantial reduction of the sector's workforce.
Furthermore, traditional shoe and component suppliers from third countries, including certain candidate countries and developing countries, have been wiped out from the Community market.
Last year the European industry lodged a complaint against China (and Vietnam) claiming that their exports to the Community were priced artificially low. The European Commission opened an anti-dumping investigation. This investigation is, in terms of size and importance, the biggest anti-dumping case ever opened by the Community.
Parliament wishes to seek further information on the following aspects of the Commission initiatives in support of fair trade in the footwear sector.
Can the Commission comment on the impact of the disappearance of the quota system for both the Community industry and developing countries?
How does the Commission intend to face up to the inevitable restructuring of the European footwear sector?
What is the Commission's assessment of the results of the footwear monitoring system?
Bearing in mind that cases are confidential, can the Commission provide a short description and an evaluation of the ongoing anti-dumping investigation, the results of which are about to be made public? In particular, what is the Commission's approach to 'Community interest' in this case?
Does the Commission envisage undertaking further international initiatives (similar to what happened to textiles) to defend the footwear sector from unfair trade?
If requested by Member States, would the Commission consider whether it would be appropriate to open a TPSSM (Transitional product-specific safeguard mechanism) investigation against China?
Tabled: 26.01.2006
Forwarded: 30.01.2006
Deadline for reply: 06.02.2006