Association of Southeast Asian Nations Zero-Tariff to Stimulate Exports of Chinese Shoes

uropean Union is China's shoe exports to majordomestic shoe market over the layout of many
markets by the impact of anti-dumping duty onbrands for many years, has become saturated, the
Chinese shoe exports to the EU shoe has droppedbrand, though they have their own territory, but
for two consecutive years. Chinese shoe to ease thewant to continue large-scale expansion of market
pressure on the EU market, last year increased theshare, has been very difficult, while the Association
pioneering efforts of the ASEAN market. Sinceof Southeast Asian Nations have hundreds of millions
January 1, 2010, China - ASEAN Free Trade Areaof population, its market still much room for the
established, is one of China's foreign trade zoneearlier contention entering the market share of the
established in the first. China - ASEAN Free Tradebrand will be better opportunities; and zero tariffs,
Area will have 1.9 billion people, nearly 6 trillion grossfootwear brands to enter the market cost would be
domestic product, 4.5 trillion dollars total trade. Such asubstantially reduced, such as exports to the ASEAN
large volume of trade, tariffs reduced to zero greatlycountries, dealer, or a Direct goods to the local store,
on the export good shoe is a shoe with anthe right dealers or directly operated stores, not only
opportunity to establish a free trade area the bestdo not need to pay customs duties, other costs will
time to advance the ASEAN market.be reduced. More importantly, the Chinese shoe
What is a zero-tariff? Under the FTA agreementbrand with their counterparts from Europe and the
between China and ASEAN are about 7000 kinds ofUnited States, whether international brands or local
products enjoying zero tariff treatment. In otherbrands, compared with the Association of Southeast
words, the two sides 90% of the products willAsian Nations, have a great competitive advantage.
achieve zero-tariff trade. This is a remarkable"As the ASEAN market, the level of consumption is
achievement. China and the ASEAN spirit of mutualgenerally low, therefore, compared with Europe and
benefit and win-win cooperation and commonthe United States international brands, China's
development, the principle of bilateral cooperation infootwear brands will have a very strong price
various fields has continued to deepen and expand.competitiveness. But with the Association of
Will give zero-tariff benefits of the two sides isSoutheast Asian Nations to local brands compared to
obvious. In recent years, economic and trade tiesthe cost of the two sides to narrow the gap
between China and ASEAN closer bilateral trade andbetween the after China's shoe has the brand of
investment has expanded rapidly. ASEAN is China'sChina's domestic market for many years operating
fourth largest trading partner, China is ASEAN's thirdexperience in the local market brand building and sales
largest trading partner. Chinese Enterprisessystem, there will be a great advantage, but a
Association of Southeast Asian Nations is becomingrelatively strong capital strength.
an important market for foreign investment. WithAt the same time, there are many shoe factories
China - ASEAN Free Trade Area of the formalthought of Association of Southeast Asian Nations to
completion, China's absorption of foreign investmentcircumvent trade barriers, with the help of China -
from ASEAN will increase steadily. 16, released byASEAN Free Trade Area "zero tariff," the
Guangzhou Customs statistics show thatopportunity, be prepared to shift part of their
January-February 2010, Guangdong exported 700production lines to the South-East Asia, which is later
million pairs of shoes, worth 1.81 billion U.S. dollars,to avoid trade friction will play great help , Indonesia,
compared with same period last year were up 42.5%and Cambodia have a certain shoe-making countries
and 12.8%. The export value over the same periodare based on the intention of the local shoe
have exceeded pre-crisis levels. Among them, theinvestment. However, for the shoe itself, to the
ASEAN exports 140 million U.S. dollars, an increase ofASEAN Investment to set up factories there will still
91.4%. Customs and Excise Department analysis saidbe some risk. While the Association of Southeast
that Guangdong shoe exports noticeable growth wasAsian Nations to local labor costs lower than in China,
mainly attributable to strong start on China - ASEANbut far less supporting ASEAN's shoes in China, needs
Free Trade Area fully completed, the zero tariff toa lot of raw materials from domestic supply,
stimulate export growth.production efficiency is relatively slow, skillful workers,
The two sides most of the products to achieve athe extent than in China, the most important or the
zero tariff on Chinese shoes enterprises, for both theshoe did not know the local cultural background, in
Association of Southeast Asian Nations to export ormanagement and operation encountered many
import products from the Association of Southeastdifficulties. Therefore, before or shoe to be careful,
Asian Nations, the cost will be greatly reduced. Thisone into the Association of Southeast Asian Nations,
will be very beneficial to the market in the ASEANwe must follow the local rule out the card, more
started shoe brands. However, if the shoe intendedresearch is the best way.
to OEM's to enter the Association of SoutheastWith the "zero tariff" era, China and ASEAN trade will
Asian Nations, no doubt, there is no advantage, thefurther speed up the shoes, but also conducive to
Association of Southeast Asian Nations factors ofsome Chinese footwear brands into the ASEAN
production even cheaper than China's.market. ASEAN is to be a blue ocean battles,
Shoe order to gain a firm foothold in the ASEAN, thefootwear enterprises should seize the opportunity to
brand can be imported, set up shop in the ASEAN orcreate exciting.
the development of the local dealer. Because the