AOKANG Prepares Legal Material To Sue For Dumping To High Court

In April 12th, the Chinese government sent a letter to the chairman of the WTO dispute settlement body (DSB) through the permanent WTO (WTO) delegation, requesting the establishment of the expert group's request for the anti-dumping case against China's leather shoes by the European Union, and officially launched the trial process of the expert group on WTO dispute settlement.

The anti-dumping case for leather shoes in China and Europe, which expired in October 2006, expired in October 2008 and entered the stage of review.

After nearly a year's review, in December 2009, the European Commission decided to extend anti-dumping duties on Chinese leather shoes for 15 months, regardless of the opposition of most member states. The tax rate remained unchanged at 16.5%, and was implemented in January 2010.

In February 4, 2010, the Chinese side raised a request for consultations under the WTO dispute settlement mechanism.

In March 31st, China and the EU held consultations, but consultations failed to resolve China's demands.

Therefore, China requests the WTO to set up an expert group to hear the case and resolutely safeguard the legitimate rights and interests of Chinese enterprises.

At the same time, China hopes that the EU can attach importance to the Chinese demands, resolve disputes in good faith, and resume the free trade of leather shoes at an early date.

The director of the law department of the Ministry of Commerce pointed out that there are discriminatory provisions against China in the EU anti-dumping law. The EU's anti-dumping investigations and rulings on Chinese leather shoes are unfair and pparent, violating the relevant rules of the WTO and damaging the legitimate rights and interests of Chinese enterprises.

Moreover, the EU has carried out trade protection for its footwear industry for 14 years. At present, there is no damage to the EU footwear industry. Extending the anti-dumping measures will not benefit the EU footwear industry, but will only harm the interests of EU consumers.

Reporters call the relevant departments of AOKANG group learned that in 2006, AOKANG and other five Chinese shoe companies were sued by the European Commission to the European Court of justice.

The first instance has been dismissed by the court.

"We will fight this lawsuit to the end, and we will not give up."

Wang Zhentao, chairman of AOKANG group, told reporters that AOKANG will take the European Commission to the EU high court together with the China Leather Association.

It is also hoped that Chinese shoe companies should not give up and unite to deal with the EU anti-dumping case against leather shoes.

The Chinese lawyer, Pu Ling Chen, who is in charge of the case, told reporters that through reading the preliminary judgment of the European Court of justice, it was found that there were still many problems in the evaluation of the legal facts, which was necessary for the appeal of the EU high court.

According to European law, China will submit litigation documents and relevant evidence to the European Union High Court before May 4th.

"We strongly support the continued appeal of AOKANG. On the one hand, there are many doubtful points in the first instance of the European Court of justice. Appeals to the European Union High Court still win the victory. On the other hand, in the process of opening the trade settlement mechanism, the Chinese government needs to show its attitude and position, which will be beneficial to the end of the anti-dumping case in March next year."

Wei Ya Fei, director of shoe making office of China Leather Association, told reporters that the Chinese government and Leather Association will continue to support China's shoe enterprises in winning the anti-dumping case and do everything possible to provide corresponding help.