Brazil begins new anti-dumping investigation

06/10/2011
The Brazilian government has begun a formal investigation into the practices of exporters of shoes from China to the South American country.

A statement from the ministry of development, industry and external trade in Brasilia said that there were "substantiated suspicions" that Chinese footwear manufacturers were shipping shoes to Indonesia and Vietnam to have only the laces and the soles added so that they could export the footwear from there to avoid a $13.85 per pair tariff that Brazil has applied to shoe imports from China since 2010.

Brazil imposed this tariff as an anti-dumping measure in the face of what it considered uncompetitive practice from Chinese manufacturers, who it said were offering shoes at a cheaper price in Brazil than the same products cost in shops in China itself.

"If our investigation concludes that this practice is taking place," the ministry statement said, "Brazil will extend its anti-dumping measures to Indonesia and Vietnam."

A separate investigation is examining the possibility that shoes imported into Brazil from Paraguay and Uruguay may also be made in China.