Bangladesh Shoes Export Zero Tariff In China

Since July 1st, Bangladesh has exported zero tariff treatment to China's 4721 export commodities, leather and footwear.

An anonymous insider told reporters in the daily economic news that Bangladesh has already started international famous brands in the field.

It is understood that Bangladesh's leather has a good reputation in the international market due to its excellent quality.

Leather and its products earn more than US $200 million per year for Bangladesh. It is the fourth largest export commodity in Bangladesh besides textiles, clothing, frozen food and jute and products.

The leather industry also plays an important role in the national economy of Bangladesh.

According to the insiders, as Adidas, Nike and other international famous brands have procurement channels for their factories in Bangladesh, and Bangladesh's manufacturing costs such as manpower are lower than that of China, many international first-line brands have shifted their purchasing channels from China to Bangladesh. After Bangladesh's zero tariff on China's exports, internationally renowned first-line brands are likely to increase their share of procurement in Bangladesh, making China's world-class brand representative factory facing challenges.

China resident

The daily economic news reporter learned that Bangladesh's leather products exported to Europe and the United States are low tariffs or zero tariffs, and China's export countries will be charged 16.5% anti-dumping duty. Bangladesh is undoubtedly superior to the mainland in terms of cost. After the domestic shoe manufacturers have changed their leather products to non leather shoes, Bangladesh will undoubtedly gain huge profits.

Insiders said that in the past, Bangladesh's leather industry was also regarded as a symbol of low price products in the hearts of European and American buyers. In recent years, especially after the introduction of the famous international brands into Bangladesh, the image of "low price products" is changing slowly.

"This will bring impact to China's sportswear and export footwear industry."

According to the introduction, Bangladesh garment export industry is the most profitable industry in the country.

In the 2008~2009 fiscal year July 2008 (June 2009 to June 2009), foreign exchange earnings from garment exports amounted to US $12 billion 300 million, accounting for 79% of total foreign exchange earnings.

Insiders say that China's leather clothing and footwear enterprises should avoid EU anti-dumping duties, and one way to avoid losses is to re export from Bangladesh.

Regarding this, the relevant person in charge of AOKANG Footwear Company told the daily economic news reporter that their company has no export business with Bangladesh in leather at present. "Unless some specialized middlemen are exporting, they may take this approach."