Holding free trade and open market principles, Britain has great
concerns over the rising trade protectionism against Chinese goods
inside the European Union (EU), said the British Minister of State
for Trade Ian Pearson.
"We do not like to see trade barriers, and we are completely
against protectionism," Pearson said in an interview on Thursday in
Beijing. "We are concerned that some EU states are using
anti-dumping rules as a cloak to disguise their protectionist
behavior."
The minister, who is on a business visit to China, also
mentioned that the EU should grant the Chinese mainland market
economy status as soon as possible, without which, Chinese exports
are often left as victims of rampant anti-dumping measures.
The trade protectionism resulted in a couple of recent dumping
restrictions that the EU imposed on some Chinese exports including
shoes and TV sets.
The EU punitive measures on shoes will last half a year, include
provisional tariffs from 4.8 percent to 19.4 percent on imports of
Chinese leather shoes.
"We have strong concerns about the proposals for dumping
restrictions on footwear," Pearson said, adding that his country
decided to discuss the issue with the European Commission and try
to negotiate as many exceptions as possible.
Britain was successful in getting the commission to agree to
exemptions to what is called special-technology athletic footwear
and children's shoes.
"We want the British consumers to benefit from it," said
Pearson, who believes that the EU won't benefit in the long term by
using high tariffs to block affordable Chinese goods.
Pearson said the British Government also wants China to get
market economy status, and will promote the idea to be agreed upon
at the EU level.
The minister said last July when he visited China that China
should be treated equally as Russia, which was granted market
economy status in 2002. "My view has not changed," Pearson
said.
He said some EU states had concerns about giving China the
status, and the European Commission felt that there had to be
further discussions.
Without the status, the cost of Chinese enterprises will not be
accepted in anti-dumping cases but will instead be replaced by cost
in other countries such as India, Turkey and Mexico. Higher
expenses in these countries usually leads to the conclusion that
Chinese products are selling under the prices lower than cost.
At present, more than 50 countries have recognized China's
market economy status. But a number of Western countries, including
the EU and the United States, still have not granted the market
label to Chinese products.
Britain now is China's largest investor among EU members, with a
contracted investment of US$24 billion and 4,897 projects.
(China Daily April 8, 2006)