THE THREAT OF SANCTIONS BETWEEN THE U.S. AND CHINA OVER PIRACY AND TRADEMARK INFRINGEMENTS ARE HURTING SMALL COMPANIES LIKE COLLEGE CONCEPTS, A LICENSED APPAREL PRODUCER, WHICH IMPORTS SOME OF ITS PRODUCTS AND SUPPLIES FROM CHINA, SAID MICHAEL W. DICKERSON, PRESIDENT AND FOUNDER OF THE ATLANTA-BASED COMPANY AT A SEMINAR ON CHINA TRADE SANCTIONS SPONSORED BY ATLANTA WOMEN IN INTERNATIONAL TRADE (AWIT) ON JUNE 27.
WHEN THE U.S. THREATENED SANCTIONS AGAINST CHINA IN 1995, COLLEGE CONCEPTS HAD SOME ITEMS IN PRODUCTION IN CHINA THAT HAD TO BE FLOWN TO THE U.S. INSTEAD OF BEING SHIPPED BY SEA IN ORDER TO MAKE THE CUTOFF DATE OF JULY 15, SAID MR. DICKERSON. ALTHOUGH THE SANCTIONS WERE NOT IMPOSED, “THE EXTRA $18,000 AIR FREIGHT CHARGE WIPED OUT OUR PROFIT ON THAT PRODUCT,” HE ADDED.
“THE GOVERNMENT IS CHANGING THE ODDS OF WHICH COMPANIES WILL SURVIVE BY SUPPORTING CERTAIN INDUSTRIES. SANCTIONS AND QUOTAS MAY BE THE RIGHT DECISION, BUT THERE IS A DANGER OF HURTING SMALL COMPANIES,” HE SAID.
EVEN THOUGH THE TWO COUNTRIES AVOIDED IMPOSING SANCTIONS ON EACH OTHER LAST MONTH, SAID MR. DICKERSON, THE CONSTANT THREAT OF ACTION BY ONE COUNTRY OR ANOTHER MAKES IT DIFFICULT FOR HIM TO GUARANTEE TO RETAILERS THAT HIS PRODUCTS WILL ARRIVE IN TIME.
MR. DICKERSON ALSO MENTIONED PROBLEMS WITH QUOTAS. WHEN QUOTAS WERE IMPOSED IN JULY OF 1994, A SHIPMENT OF HIS COMPANY’S CLOTHING WITH COLLEGE AND NFL LOGOS WAS STOPPED AND HELD UNTIL JAN. 1, AFTER THE FOOTBALL SEASON WAS OVER AND DEMAND FOR THE CLOTHING HAD DROPPED DRAMATICALLY.
TO DECREASE THE RISK OF FUTURE PROBLEMS, SAID MR. DICKERSON, COLLEGE CONCEPTS IS TRYING TO MOVE SOME PRODUCTION TO OTHER COUNTRIES AND LESSEN ITS RELIANCE ON CHINA. MR. DICKERSON CAN BE REACHED AT (770) 859-1420.