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Chinese companies' difficulties 'ignored'

By Yan Yiqi and Andrew Moody | China Daily European Weekly | Updated: 2011-07-01 10:32
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In May, the EU also imposed duties on coated fine paper that could prove as high as 47.1 percent as an anti-dumping measure.

Yao Jian, a spokesman for the Ministry of Commerce, says the EU was stepping out of line with World Trade Organization rules and was taking measures merely to protect its own industries.

"It is safe to say the EU did not take into account the market-oriented transformation that is taking place in China. It is taking these steps to make doubly sure it is protecting its own industries," he says.

There have also been recent moves against producers of herbal traditional Chinese medicine (TCM) products.

From April this year, Chinese companies need a license to sell their products in Europe, but none have been granted so far.

Chinese companies have complained bitterly about the high registration fees.

An industry insider, who is the chair of a TCM college in Europe, says the legislation was the result of lobbying by major pharmaceutical companies.

"The multinationals will get bigger market shares if TCM companies fail to pay the high registration fees they now need to enter the EU market," says the insider, who did not want to be named.

Zhou Xiaoyan, director of the fair trade bureau under the Ministry of Commerce, says that Europe is increasingly adopting a protectionist attitude against China.

"We are seeing increasing trade frictions between China and the EU, especially in manufacturing industries like iron and steel, shoes, aluminum products and toys," she says.

"Chinese companies have to be increasingly aware about these moves as sometimes there will be chain reactions. If the US initiates an anti-dumping case toward one product, for example, the EU or some other markets will follow in its steps."

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