Lefaso Opposes EC's Preliminary Verdict

The Vietnam Leather and Footwear Association (Lefaso) has strongly objected against the European Committee (EC)’s preliminary verdict, which said eight Vietnamese inspected firms do not met criterions relating to market-oriented economy.

 

After nearly two months of inspection, the EC held that no firm meets the first three out of five criterions in its basic regulation.

 

However, Ms Laura Atlee, the counsel of Lefaso, said the verdict is totally groundless.

 

She said that the EC had misunderstood the prevailing law on foreign investment in Vietnam when it held that Vietnamese exporters are not free to sell their products as a result of the regulation in their licenses that allows them to export only 80 per cent of the total output.

 

The lawyer also rejected the EC’s statement saying accounting and auditing in Vietnamese firms are not accordant with international standards as Vietnam is now already a member of the International Federation of Accountants (IFAC).

 

With this verdict, Vietnam’s leather and footwear industry will face the risk of being imposed a 130 per cent anti-dumping tax as required by the European Footwear Producers Association. If so, more than one million workers in the industry would face difficulties.