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EU Cancels Tariff Preferences For Vietnamese Export Shoes (GSP)
According to Vietnam's Xigong Liberation Daily reported on June 17th, the European Commission recently informed Vietnam that, from January 1, 2009, the EU will cancel tariff preferences for Vietnamese export shoes (GSP).
Rand, chairman of Vietnam footwear association (Nguyen Duc Thuan), said the EU's move would reduce the competitiveness of Vietnamese export shoes.
After the implementation of the decision, Vietnam's exports to the EU's shoes will increase the import tax of 3.5-5% per pair.
According to Vietnam's export of EU shoes in 2007, the value of US $2 billion 200 million will result in a tax of US $100 million, which will result in the reduction of orders for Vietnamese shoe making enterprises.
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