Exports of Vietnamese leather shoes to countries in the European Union will continue to experience difficulties next year.

That was the prediction made on Tuesday at a meeting between the Industry and Trade Ministry, the Vietnam Leather and Footwear Association (Lefaso) and Southern shoemakers.
 
The meeting was called to discuss measures to minimize the impact of anti-dumping lawsuits and boost leather shoe exports to the EU.
 
Leather shoe exports are predicted to decrease by 20-30 percent next year due to the global economic crisis.
 
The footwear industry will also be under tremendous pressure because Vietnam will be removed from a list of countries given preferential treatment by the EU on January 1. Exports of Vietnamese leather shoes to the EU will also be subject to a 10 percent anti-dumping tariff for an extra 12 to 15 months.
 
The EU’s decision to remove Vietnam from the preferential list and extend the anti-dumping tariffs on shoes will make Vietnamese shoe exporters lose their advantages in competing with foreign shoemakers in terms of price.
 
According to a Lefaso report, before the European Commission imposed anti-dumping tariffs on Vietnamese leather-capped shoes, 60-80 percent of shoemakers’ production was exported to the EU.
 
Two years after the anti-dumping duties were imposed, only 55 percent is exported to EU countries.
 
However, the EU remains Vietnam’s biggest shoe export market. Due to the current difficulties, the industry can target a growth rate of only 10 percent, or about US$5 billion, next year.
 
Leather shoes export revenue is forecast to amount to US$4.5 billion this year.

By M. Hanh – Translated by Hoang Yen

Wednesday, Dec 17, 2008, Posted at: 16:34(GMT+7)

Source: www.saigon-gpdaily.com.vn